by Ethan Faverino | Mar 10, 2026 | Economy, News
By Ethan Faverino |
The U.S. labor market experienced a sharp downturn in February 2026, with nonfarm payroll employment declining by 92,000 jobs, according to the latest Employment Situation report from the Bureau of Labor Statistics, released March 6. This marked a significant reversal of January’s stronger-than-expected performance and fell well short of economists’ consensus forecasts for modest gains.
The Joint Economic Committee highlighted the figures in its Monthly Employment Update, noting that the decline consisted of -86,000 jobs in the private sector and -6,000 in government.
The headline unemployment rate (U-3) rose 0.1% to 4.4% while the broader U-6 measure—which includes underemployed workers—improved slightly, falling 0.2% to 7.9%. The labor force participation rate dipped 0.1% to 62%, and the employment-to-population ratio decreased to 59.3%.
Significant downward revisions to prior months compounded the weaker outlook. December 2025 was revised to show a net loss of 17,000 jobs (from an initial gain of 45,000), and January 2026 was adjusted down by 4,000 to 126,000 jobs. Combined, these revisions reduced reported employment gains for December and January by 69,000 jobs.
Sector performance in February showed mixed results. Gains were led by financial activities (+10,000 jobs) and other services (+8,000 jobs). Losses were concentrated in private education and health services (-34,000 jobs, influenced by strike activity in health care) and leisure and hospitality (-27,000 jobs).
On a year-over-year basis (February 2025 to February 2026), total nonfarm payroll rose by approximately 156,000 jobs, with strong contributions from private education and health services (+658,000) and leisure and hospitality (+126,000). However, notable declines occurred in federal government (-314,000) and trade, transportation, and utilities (-191,000).
Wage growth remained positive amid the slowdown. For all private non-farm employees, average hourly earnings increased 3.84% year-over-year to $37.32, while average weekly earnings rose 4.14% to $1,280.08. Among production and nonsupervisory employees, hourly earnings grew 3.69% to $32.03, and weekly earnings advanced 4.31% to $1,082.61.
The latest Job Openings and Labor Turnover Survey data (for December 2025) indicated cooling demand, with nonfarm job openings falling by 386,000 to 6.54 million. Hires rose by 172,000 to 5.29 million, while separations increased by 107,000 to 5.25 million, including modest gains in quits and larger rises in layoffs and discharges.
The data points to emerging softness in the labor market, influenced by temporary factors including the severe winter weather and significant strike activity in health care, though broader indicators like wage growth and a still-low unemployment rate suggest resilience.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Jonathan Eberle | Oct 20, 2025 | Economy, News
By Jonathan Eberle |
A new national analysis reveals that Arizona’s job market is holding steady, ranking 12th in the nation for job openings with a rate that mirrors the U.S. average.
According to a new report from Podium AI, which analyzed the latest data from the U.S. Bureau of Labor Statistics, Arizona’s job opening rate sits at 4.4%, matching the national average. That equates to roughly 149,000 available positions across the state—placing Arizona in a balanced middle ground between neighboring New Mexico (5.1%) and Utah (4.2%).
West Virginia tops the national rankings with the highest job opening rate in the country—6%, which is 36% above the national average. Despite its smaller population, the state reports around 46,000 open positions, a sign of a particularly tight labor market. Meanwhile, Washington State ranks lowest with a 3.7% job opening rate, 16% below the national average, though it still reports 142,000 job openings in total.
Arizona’s mid-tier ranking suggests a stable labor environment, neither overheated nor stagnant. Economists often view such alignment with national averages as a sign of balance between worker demand and supply.
The data may also reflect Arizona’s ongoing economic diversification. With growth in industries like manufacturing, logistics, and healthcare, employers are competing to fill specialized roles while maintaining steady hiring across service sectors. Nationally, the report identifies roughly 7.4 million job openings, translating to a 4.4% rate. But that average conceals deep regional differences.
Eric Rea, CEO and founder of Podium AI, said the results underscore the complexity of comparing job markets across states. “What really stands out is the contrast between smaller states like West Virginia and Maine, which are posting the highest rates, and much larger economies like California and Texas, which sit near the bottom,” Rea said.
“It’s not that California and Texas don’t have jobs—they have hundreds of thousands—but because their workforces are so large, those openings represent a much smaller share overall.”
Rea added that high job opening rates can reflect both strong demand for workers and challenges for employers struggling to find qualified staff.
“States like West Virginia and Maine may be experiencing tight labor markets where businesses are competing harder to attract workers,” he said. “That can create opportunities for job seekers, but it also puts pressure on employers to raise pay and improve benefits.”
For Arizona job seekers, the state’s alignment with the national average means steady opportunities across sectors but not the intense competition—or leverage—seen in smaller, high-demand states. With roughly 149,000 openings on the books, Arizona’s workforce remains in a healthy equilibrium—a sign of resilience in a national economy still recalibrating after pandemic-era labor shifts.
Jonathan Eberle is a reporter for AZ Free News. You can send him news tips using this link.
