U.S. Unemployment Rises to Four-Year High as Job Growth Weakens

U.S. Unemployment Rises to Four-Year High as Job Growth Weakens
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Unemployment in the United States has climbed to 4.6 percent, marking its highest level in more than four years, according to a delayed government report cited by The Wall Street Journal. The data point to a cooling labor market amid policy uncertainty and recent government disruptions.

The report shows that the economy added 64,000 jobs in November, following a revised loss of 105,000 jobs in October. Earlier months also reflected weakness, with job losses recorded across three of the six months from July through September. Taken together, the figures indicate one of the softest periods for the U.S. labor market in several years.

While overall employment has still grown in 2025, gains have been concentrated largely in healthcare and education. Economists say broader hiring has been restrained by shifting trade policies and tighter immigration rules, which have reduced both labor supply and employer demand. These headwinds have contributed to slower job creation across multiple sectors.

Joseph Brusuelas, chief economist at RSM, said the challenges facing the labor market are closely tied to policy decisions made in Washington. He cautioned that the data do not yet signal a recession but noted that the economy is facing pressures that were not present a year ago. The unemployment rate for October was not published at the time because a 43-day federal government shutdown prevented officials from conducting the necessary labor survey. As a result, the Labor Department later released data covering two months instead of one.

Federal government employment also declined sharply. Payrolls fell by 6,000 positions in November, adding to a loss of 162,000 jobs in October. Since January, federal employment has dropped by approximately 270,000 positions, reaching its lowest level in more than a decade, according to the Labor Department. Reducing the size of the federal workforce has been a key element of President Donald Trump’s policy agenda.

Analysts note that the full impact of recent layoffs only appeared gradually in the data, as employees on paid leave are still counted as employed and some workers continued receiving deferred retirement compensation through the end of September. Overall, the latest figures underscore growing strains in the U.S. labor market as policy shifts and government actions weigh on hiring momentum.