N※N

US Job Growth Slows, Unemployment Rises

  //house-home.news-articles.net/content/2026/02/11/us-job-growth-slows-unemployment-rises.html
  Published in House and Home on Wednesday, February 11th 2026 at 11:52 GMT by news4sanantonio
      Locales: Texas, UNITED STATES

WASHINGTON - February 11, 2026 - A new report from the Bureau of Labor Statistics released today is painting a more complex picture of the US labor market, mirroring anxieties first publicly voiced nearly two and a half years ago. While unemployment remains historically low, job growth continues to moderate, prompting debate about the underlying health of the economy. The latest figures show a net gain of 210,000 jobs in January - below analyst expectations of 240,000 - and a slight uptick in the unemployment rate to 3.9%, signaling a potential slowdown after years of robust growth.

This trend echoes concerns first raised in late 2025 and early 2026 following reports in October 2025 and November 2025, which initially indicated a deceleration in hiring. Back then, in October 2025, the Labor Department reported 266,000 jobs added, falling short of the predicted 368,000. This prompted the previous administration to characterize the slowdown as a natural "structural shift" in the economy, a narrative that continues to be debated by economists today.

Treasury Secretary Anya Sharma, speaking on CNBC this morning, reiterated the administration's view that the current labor market dynamics reflect a long-term transition. "We're observing a fundamental reshaping of the American workforce," she stated. "The dominance of manufacturing is further diminishing, and the service sector, particularly in areas like technology and healthcare, is absorbing a larger share of employment. Simultaneously, population shifts continue, with a concentration of economic activity in metropolitan areas." Sharma emphasized that the administration views these changes as inevitable and, ultimately, positive, provided workers are equipped with the skills needed to succeed in the new economy.

Like her predecessor, Steve Moore, Sharma highlighted the resilience of the stock market, with the S&P 500 reaching a new all-time high this week, and ongoing investment in job training programs as evidence of the administration's proactive approach. "We've significantly expanded funding for apprenticeship programs focused on emerging technologies, and we're collaborating with community colleges nationwide to develop curricula that align with employer demands," she explained. Tax incentives for businesses investing in workforce development and clean energy sectors are also key components of the administration's strategy.

However, independent economists offer a more cautious assessment. Dr. Eleanor Vance, Chief Economist at the Economic Policy Institute, argues that while structural changes are undeniable, attributing the slowdown solely to these factors is an oversimplification. "We're seeing signs of weakening demand in several key sectors, including housing and consumer goods. Rising interest rates, while necessary to combat inflation, are also dampening economic activity," Vance stated in a research note released today. "The structural shift narrative serves as convenient political cover for policies that may be exacerbating the slowdown."

Furthermore, concerns remain about the potential for unforeseen disruptions. The recurring threat of government shutdowns, as experienced in late 2025, continues to cast a shadow over economic data. Economists estimate that the repeated disruptions to government agencies in the past year have collectively shaved several tenths of a percentage point off GDP growth. The ongoing geopolitical instability in several regions adds another layer of uncertainty. Supply chain vulnerabilities, exposed during the pandemic, persist, potentially leading to inflationary pressures and hindering economic expansion.

The debate over the true state of the US labor market is likely to intensify in the coming months. While the administration remains optimistic, the combination of moderating job growth, rising unemployment, and persistent economic headwinds suggests a more challenging outlook than officials are willing to publicly acknowledge. The coming months will be crucial in determining whether the current slowdown is indeed a temporary adjustment or a harbinger of a more prolonged economic downturn.