By Matthew Holloway |
The United States added 162,000 nonfarm payroll jobs in August, and the unemployment rate remained unchanged at 4.1 percent, according to the Bureau of Labor Statistics’ (BLS) monthly employment report.
Republicans on the Joint Economic Committee (JEC), chaired by Arizona Republican Rep. David Schweikert (AZ-01), reported that the increase included 127,000 private-sector jobs and 35,000 government jobs. The total was more than three times the 53,000-job forecast cited in the committee’s Monthly Employment Update.
August’s national gain exceeded the average monthly increase of 31,000 jobs recorded during the preceding 12 months. The national labor force participation rate increased by 0.2 percentage points to 61.6 percent, and the broader U-6 unemployment rate declined by 0.2 percentage points to 7.7 percent.
The latest state-level figures cover July, while the newest national report covers August. Arizona added 2,300 seasonally adjusted nonfarm payroll jobs during July, and the state unemployment rate remained at 4.9 percent.
Arizona’s July gain followed an increase of 2,700 jobs in June. The state’s private sector added 1,900 jobs in July after adding 2,500 during the preceding month. Arizona’s total nonfarm and private-sector payroll employment each increased during nine of the 12 months ending in July.
Over the 12 months ending in July, Arizona added 23,100 seasonally adjusted nonfarm payroll jobs and tied for 11th among the states and District of Columbia in percentage payroll growth. The private sector added 29,900 jobs during the same period, placing Arizona in a tie for ninth in percentage private-sector payroll growth. The difference reflects a net decline of approximately 6,800 government payroll jobs during the period.
Private education and health services recorded Arizona’s largest monthly sector gain in July, adding 1,600 jobs. Professional and business services added 1,300. Leisure and hospitality employment declined by 1,600 jobs, and construction declined by 1,300.
From July 2025 through July 2026, Arizona’s private education and health services sector added 18,900 jobs, and professional and business services added 11,700. Leisure and hospitality employment declined by 7,900 jobs, and financial activities declined by 4,500 during the period.
Arizona’s 4.9 percent unemployment rate was unchanged from June and stood 0.6 percentage points above its July 2025 rate of 4.3 percent. A total of 181,297 Arizonans were unemployed in July.
The state’s labor force participation rate declined from 60.3 percent in June to 60.1 percent in July, placing Arizona 37th nationally. The July figure was Arizona’s lowest participation rate in 10 years and stood two percentage points below its July 2025 level.
Arizona’s seasonally adjusted labor force decreased by 14,355 people during July and by 92,368 over the preceding 12 months. The state had approximately 3.286 million seasonally adjusted nonfarm payroll jobs in July.
Nationally, leisure and hospitality led sector growth in August with 62,000 jobs, followed by state and local government with 40,000. Information employment declined by 23,000 jobs, and financial activities declined by 11,000.
The BLS revised July’s national payroll estimate upward by 44,000 jobs, changing the previously reported loss of 23,000 jobs to a gain of 21,000. June’s estimate was revised upward from the previous calculation of 20,000 jobs to a final gain of 31,000. The revisions increased the combined June and July total by 55,000 jobs.
Average nominal weekly earnings for all private nonfarm employees increased 3.69 percent nationally from August 2025 through August 2026, and average nominal hourly earnings increased 3.09 percent. Average hourly earnings reached $37.75 in August.
Separate federal data showed 7.271 million job openings nationwide in July, an increase of 89,000 from June. The job-openings rate increased by 0.1 percentage points to 4.4 percent, with the BLS characterizing both measures as little changed in its Job Openings and Labor Turnover Survey.
The BLS is scheduled to release its September national employment report on Oct. 2.
Matthew Holloway is a senior reporter for AZ Free News. Follow him on X for his latest stories, or email tips to Matthew@azfreenews.com.
