August 2026_________________________
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The BLS Establishment Job Report with data released August 7, 2026.
Commentary From This Month’s Establishment Jobs Press Report
The Bureau of Labor Statistics (BLS) published its August report for jobs in July. The Household Survey for July shows the adult civilian population increased by 116 thousand. However, the labor force declined again, this month by 264 thousand, as did the employed, down 87 thousand and also the unemployed, down 178 thousand. Those not in the labor force went up 381 thousand; the number of adults not in the labor force totals 106.189 million, an amount 6 million more than July two years ago. The decrease in the unemployed was large enough to offset the decrease in the employed and cause a small decrease in the unemployment rate of .1 percent to 4.1 percent. The labor force participation rate declined again by .1 percent to 61.4 percent, a very low level.
The seasonally adjusted total of establishment
employment was down 23 thousand for July. The decrease was 5 thousand more jobs
in the private service sector combined with an increase of 25 thousand jobs
from goods production. The total of 30 thousand new jobs in the private sector
combined with a(n) decrease of 53 thousand government service jobs accounts for
the total change.
Goods production had 25 thousand new jobs after last
month’s smaller increase. Natural resources decreased 2 thousand jobs; construction
added 22.1 thousand new jobs. Specialty trade contractors added 18 thousand
jobs. Construction of buildings added another 3.7 thousand jobs. Heavy and
civil engineering construction added 400 jobs. Manufacturing had a net increase
of 5 thousand jobs with 18 thousand more durable goods jobs but with a loss of 13
thousand jobs in non-durable goods production. Among durable goods, transportation
equipment had 11.9 thousand new jobs with 7.9 thousand of them in automobile
manufacturing. Non-durable goods
production did poorly. Food processing lost 6.2 thousand jobs but no
non-durables did well with jobs in textiles, chemicals, plastics and rubber
products, beverages, tobacco and leather products all down.
Government service employment decreased 53 thousand
jobs, a much bigger decrease than last month. The federal government dropped 3
thousand jobs. State government jobs were up 7 thousand but local government was
down 57 thousand jobs. State and local government excluding education both lost
jobs, down a combined 9 thousand jobs. State public education was up 8.7
thousand jobs while local government education declined by 49.6 thousand seasonally
adjusted jobs. Private sector education added 2.8 thousand jobs for a net education
job loss of 38.1 thousand jobs.
Health care took first place among service sectors but
with only 23 thousand new jobs, a very low number for the biggest increase in a
month’s jobs. Three of the four health care subsectors added some employment
with ambulatory care adding 18.1 thousand jobs; hospitals were down 400 jobs;
nursing and residential care added 4.3 thousand jobs. Social assistance
services added a net of 600 jobs but with 7.8 thousand new jobs in individual
and family services but a decrease of 5.7 thousand jobs in child care services.
The growth rate for health care was down from last month to 1.14 percent, well below
the average of 2.27 percent per month of the last 15 years.
Professional and business services were up a net of 18
thousand jobs, less than last month. The professional and technical service sub
sector was up a net 5.1 thousand jobs; management of companies went up 7.8 thousand
jobs, an unusually large increase. The third sub sector, administrative and
support services including waste management, added 5.1 thousand jobs.
Among professional and technical services scientific
research and development services added 5.3 thousand jobs and architecture and
engineering services added 4.6 thousand jobs. However, both computer systems
and design services and management scientific and technical consulting lost
jobs, down a combined 4.3 thousand jobs. Among administrative support services,
employment services added 4.1 thousand jobs among other small job gains and
losses.
Trade, transportation and utilities lost a net 4
thousand jobs again, with wholesale trade up 4.7 thousand jobs but retail trade
down 19.4 thousand jobs. Transportation had 9.7 thousand jobs but with the couriers
and messengers sub sector posting 14.9 thousand new jobs among other smaller
net gains and losses.
Leisure and hospitality had another off month down 40
thousand jobs, after last month’s bigger decrease. The arts, entertainment and
recreation sub sector lost 16.1 thousand jobs with performing arts and
spectator sports down 6.3 thousand jobs and amusement, gambling and recreation
down another 10.1 thousand jobs. Restaurants lost 26.1 thousand jobs, another
large job loss for a month. Accommodations made a slight come back adding 2.6
thousand jobs.
Information services added 11 thousand jobs after last
month’s large losses. Motion picture and sound recording added 9.9 thousand
jobs. Computing, data processing and web hosting also added jobs, 2.4 thousand,
but no sub sector did well for information services.
Finance and real
estate lost 14 thousand jobs, another month of job losses. Finance and
insurance lost 14.1 thousand of the jobs where insurance carriers lost 6.7
thousand and all the banking sub sectors lost jobs as well. Real estate added 1.4
thousand jobs offset with job losses in rental and leasing services for a net
increase of 200 jobs.
The other services
category had a net of 10 thousand more jobs, up slightly from last month. Repair
and maintenance services added 15.9 thousand jobs, an unusually large increase,
but offset by job losses in personal and laundry services and non-profit
associations.
The economy lost 23 thousand jobs for July. Establishment employment in July was reported as 158.858 million with an annual growth rate of -.17 percent. It is the second consecutive month that the labor force, the employed and the unemployed all decreased. While the unemployment rate remains low, it is becoming irrelevant as a way to measure a bad economy. Again, health care had a low job increase, about a quarter of the jobs it should have. Professional and business services did poorly as did education. This month’s job total is 316 thousand above July a year ago and 1.110 million jobs above July two years ago. These numbers keep falling month by month; the 316 thousand number should set off alarm bells it is so low for a year of new jobs.
July Details
Jobs
Total
Non-Farm Establishment Jobs down
23,000 to 158,858,000
Total
Private Jobs up
30,000 to 135,588,000
Total Government Employment down 53,000 to 23,270,000 Note
Civilian
Non-Institutional Population up 116 thousand to 275,282,000
Civilian
Labor Force down
264 thousand to 169,094,000
Employed down 87 thousand to 162,177,000
Employed
Men up
124 thousand to 84,978,000
Employed
Women
down 211 thousand to 77,199,000
Unemployed down 178 thousand to 6,916,000
Not in the Labor Force up 381 thousand to 106,189,000
Unemployment
Rate
decreased .1 percent to 4.1% 6,916/169,094
Labor Force Participation Rate decreased .1 percent to 61.4%, or 169,094/275,282
Summaries by Industry
Non Farm Total -23
The Bureau of Labor Statistics (BLS) reported Non-Farm employment for establishments decreased from June by 23 thousand jobs for a(n) July total of 158.858 million. (Note 1 below) A decrease of 23 thousand each month for the next 12 months represents an annual growth rate of -.17% The annual growth rate from a year ago beginning July 2025 was +.20%; the average annual growth rate from 5 years ago beginning July 2021 was +1.65%; from 15 years ago beginning July 2011 it was +1.24%. The higher five year growth rate derives from the low Pandemic employment. America needs growth around 1.5 percent a year to keep itself employed.
Sector breakdown for 12 Sectors in 000’s of jobs
1. Natural Resources -2
Natural Resources jobs including logging and mining decreased 2 thousand from June with 607 thousand jobs in July. A decrease of 2 thousand jobs each month for the next 12 months would be an annual growth rate of -3.94 percent. Natural resource jobs were down 3 thousand from a year ago. Jobs in 2000 averaged around 603 thousand with little prospect for growth. This is the smallest of 12 major sectors of the economy with .4 percent of establishment jobs.
2. Construction +22
Construction jobs were up 22 thousand from June with 8.343 million jobs in July. An increase of 22 thousand jobs each month for the next 12 months would be an annual growth rate of +3.17 percent. Construction jobs are up 82 thousand for the 12 months just ended. The growth rate for the last 15 years is 2.76%. Construction jobs rank 9th among the 12 sectors with 5.3 percent of non-farm employment.
3. Manufacturing +5
Manufacturing jobs were up 5 thousand from June with 12.611 million jobs in July. An increase of 5 thousand jobs each month for the next 12 months would be an annual growth rate of +.45 percent. Manufacturing jobs were down for the last 12 months by 14 thousand. The growth rate for the last 15 years is +.48%. Manufacturing ranks 6th among 12 major sectors in the economy with 7.9 percent of establishment jobs.
4. Trade, Transportation &
Utility -4
Trade, both wholesale and retail, transportation and utility employment were down 4 thousand jobs from June with 28.708 million jobs in July. A decrease of 4 thousand jobs each month for the next 12 months would be an annual growth rate of -.17 percent. Jobs are down by 36 thousand for last 12 months. Growth rates for the last 15 years are +.92 percent. Jobs in these sectors rank first as the biggest sectors with combined employment of 18.1 percent of total establishment employment.
5. Information Services +11
Information Services employment was up by 11 thousand jobs from June with 2.780 million jobs in July. (Note 2 below) An increase of 11 thousand jobs each month for the next 12 months would be an annual growth rate of +4.77 percent. Jobs are down by 81 thousand for the last 12 months. Information jobs reached 3.7 million at the end of 2000, but started dropping, reaching 3 million by 2004 but has stayed below 3.0 million for more than a decade. Information Services is a small sector ranking 11th of 12 with 1.8 percent of establishment jobs.
6. Financial Activities -14
Financial Activities employment was down by 14 thousand jobs from June to 9.090 million in July. (Note 3 below) (Note 2 below) A decrease of 14 thousand jobs each month for the next 12 months would be an annual growth rate of -1.85 percent. Jobs are down by 114 thousand for the last 12 months. This sector also includes real estate as well as real estate lending. The 15 year growth rate is +1.12 percent. Financial activities rank 8th of 12 with 5.8 percent of establishment jobs.
7. Business and Professional
Services +18
Business and Professional Service jobs went up 18 thousand from June to 22.518 million in July. An increase of 18 thousand each month for the next 12 months would be an annual growth rate of +.96 percent. Jobs are down 32 thousand for the last 12 months. Note 4 The annual growth rate for the last 15 years was +1.77 percent. It ranks as 2nd among the 12 sectors now. It was 2nd in 1993, when manufacturing was bigger and third rank now with 14.1 percent of establishment employment.
8. Education including public and
private -38
Education jobs were down 38 thousand jobs from June at 14.802 million in July. A decrease of 38 thousand jobs each month for the next 12 months would be an annual growth rate of -3.08 percent. These include public and private education. Jobs are down 101 thousand for the last 12 months. (note 5) The 15 year growth rate equals +.62 percent. Education ranks 5th among 12 sectors with 9.4 percent of establishment jobs.
9. Health Care +23
Health care jobs were up 23 thousand from June to 23.912 million in July. An increase of 23 thousand each month for the next 12 months would be an annual growth rate of +1.14 percent. Jobs are up 552 thousand for the last 12 months. (note 6) The health care long term 15-year growth rate has been +2.27 percent lately compared to +1.14 percent for this month’s jobs. Health care ranks 2nd of 12 with 15.0 percent of establishment jobs.
10. Leisure and hospitality -40
Leisure and hospitality jobs were down 40 thousand from June to 16.931 million in July. (note 7) A decrease of 40 thousand each month for the next 12 months would be an annual growth rate of -2.83 percent. Jobs are down 94 thousand for the last 12 months. More than 80 percent of leisure and hospitality are accommodations and restaurants assuring that most of the new jobs are in restaurants. Leisure and hospitality ranks 4th of 12 with 10.7 percent of establishment jobs. It moved up to 7th from 4th in the pandemic decline.
11. Other +10
Other Service jobs, which include repair, maintenance, personal services and non-profit organizations were up 10 thousand from June to 6.039 million in July. An increase of 10 thousand each month for the next 12 months would be an annual growth rate of +1.99 percent. Jobs are up 50 thousand for the last 12 months. (Note 8) Other services had +.80 percent growth for the last 15 years. These sectors rank 10th of 12 with 3.8 percent of total non-farm establishment jobs.
12. Government, excluding education -12
Government service employment went down 12 thousand from June at 12.518 million jobs in July. A decrease of 12 thousand each month for the next 12 months would be an annual growth rate of -1.15 percent. Jobs are down 216 thousand for the last 12 months. (note 9) Government jobs excluding education tend to increase slowly with a 15 year growth rate of +.39 percent. Government, excluding education, ranks 7th of 12 with 7.9 percent of total non-farm establishment jobs.
Prices and inflation measured by the Consumer Price Index (CPI) for all Urban Consumers was up by a monthly average of 2.9 percent for 2025.
The CPI August report for the 12 months ending with July shows the
CPI for All Items was up 3.4%
CPI for Food and Beverages was up 2.9%
CPI for Housing was up 3.3%
CPI for Apparel was up 3.9%
CPI for Transportation including
gasoline was up 5.8%
CPI for Medical Care was up 1.7%
CPI for Recreation was up 2.6%
CPI for Education was up 2.7%
CPI for Communication was down 1.2%
Sector Notes__________________________
(1) The total cited above is non-farm establishment employment that counts jobs and not people. If one person has two jobs then two jobs are counted. It excludes agricultural employment and the self employed. Out of a total of people employed agricultural employment typically has about 1.5 percent, the self employed about 6.8 percent, the rest make up wage and salary employment. Jobs and people employed are close to the same, but not identical numbers because jobs are not the same as people employed: some hold two jobs. Remember all these totals are jobs. back
(2) Information Services is part of the new North American Industry Classification System(NAICS). It includes firms or establishments in publishing, motion picture & sound recording, broadcasting, Internet publishing and broadcasting, telecommunications, ISPs, web search portals, data processing, libraries, archives and a few others.back
(3) Financial Activities includes deposit and non-deposit credit firms, most of which are still known as banks, savings and loan and credit unions, but also real estate firms and general and commercial rental and leasing.back
(4) Business and Professional services includes the professional areas such as legal services, architecture, engineering, computing, advertising and supporting services including office services, facilities support, services to buildings, security services, employment agencies and so on.back
(5) Education includes private and public education. Therefore education job totals include public schools and colleges as well as private schools and colleges. back
(6) Health care includes ambulatory care, private hospitals, nursing and residential care, and social services including child care. back
(7) Leisure and hospitality has establishment with arts, entertainment and recreation which has performing arts, spectator sports, gambling, fitness centers and others, which are the leisure part. The hospitality part has accommodations, motels, hotels, RV parks, and full service and fast food restaurants. back
(8) Other is a smorgasbord of repair and maintenance services, especially car repair, personal services and non-profit services of organizations like foundations, social advocacy and civic groups, and business, professional, labor unions, political groups and political parties. back
(9) Government job totals include federal, state, and local government administrative work but without education jobs. back
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Notes
Jobs are not the same as employment because jobs are counted once but one person could have two jobs adding one to employment but two to jobs. Also the employment numbers include agricultural workers, the self employed, unpaid family workers, household workers and those on unpaid leave. Jobs are establishment jobs and non-other. back
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