This week delivered an exceptionally uncommon and closely scrutinized employment report, one that stood out not only for its timing but also for the unusual circumstances surrounding its release. The report, unveiled on Tuesday, arrived after an unprecedentedly long government shutdown—the most prolonged in U.S. history—which severely disrupted normal federal data collection procedures and delayed the publication of labor statistics that economists and policymakers depend upon to assess national economic health. The resulting document painted a complex, multifaceted picture of the job market, one that defied any simple narrative of progress or decline.

The newly available data underscored labor market dynamics that have been gradually unfolding throughout the year: unemployment has been rising incrementally, and many individuals in search of employment are encountering an increasingly competitive and unforgiving environment. The Bureau of Labor Statistics (BLS), the federal agency responsible for tracking the nation’s employment metrics, was forced to postpone the release of its regular monthly report—originally slated for December 5—in order to make up for lost time in gathering and processing data after its operations came to a standstill during the shutdown that stretched from early October to about mid-November.

This extended delay, though disruptive, made it possible for the BLS to issue a more comprehensive overview covering both October and November. Because the October report could not be produced the previous month, analysts, economists, job seekers, and journalists alike had been left without essential insights into labor conditions during that critical period. Although the newly released figures still omit specific indicators—most notably, the October unemployment rate—they nevertheless provide a much-needed snapshot of how employment activity evolved as the nation emerged from the shutdown.

From this fresh trove of information, four significant insights arise.

**The job market remains largely immobilized**
Experts agree that the U.S. labor market continues to exhibit signs of stagnation rather than robust recovery. Nicole Bachaud, a labor economist at ZipRecruiter, and Laura Ullrich, North America’s director of economic research at the Indeed Hiring Lab, both described present conditions as frozen or inert. In November, the U.S. economy recorded a gain of 64,000 jobs—surpassing modest expectations of 50,000—but this improvement followed a steep net loss the previous month. Much of October’s contraction stemmed from federal employees who had accepted deferred resignations earlier in the year as part of workforce reductions initiated under the Department of Government Efficiency (DOGE) reforms; their departures only became visible in the data once that deferment period concluded.

Meanwhile, statistics released by the BLS last week indicate that job openings, while beginning to edge upward as of October, still remain markedly below the levels job seekers had grown used to in the more vigorous pre-pandemic labor market. A further sign of workforce unease can be found in the declining rate of voluntary resignations: October’s quit rate was the lowest since 2020, suggesting that workers lack the confidence to leave existing positions in pursuit of higher pay or better opportunities. Bachaud observed that employment growth has been persistently sluggish throughout 2025, with no decisive turnaround yet visible. She attributes much of this hesitation on the part of employers to lingering economic uncertainty—concern about trade tariffs, fluctuations in inflation, and geopolitical instability—that continues to dampen hiring enthusiasm. As she put it, the critical unknown is when, if ever, such uncertainty will finally begin to fade.

**Healthcare’s job expansion conceals fragility elsewhere**
The overall job growth recorded in November, while better than forecasters had expected, was driven heavily by gains in the healthcare sector, a trend that Ullrich cautioned should not be misconstrued as a sign of generalized strength across the entire economy. Employment in healthcare and social assistance rose by a combined 64,000 positions during the month, but this concentration of hiring contrasted sharply with declines or minimal increases in many other industries. Manufacturing, for example, has continued its downward slide, suffering ongoing net losses that point to more systemic challenges.

Healthcare has been one of the few steady sources of employment throughout the year, bolstered by persistent demographic realities—chiefly the aging of the population and the resultant increase in demand for medical services and caregiving. Bachaud noted that the need for workers in this domain will likely remain elevated, yet transitioning into these roles presents difficulties for many job seekers because healthcare jobs often require specialized education, licensing, or training. Ullrich concurred, emphasizing that without such credentials, it is hard for displaced workers from other industries to pivot successfully. Another relative bright spot appeared in construction, which added roughly 28,000 jobs, largely within specialty trade contracting, as infrastructure projects and private development continue to sustain demand for skilled tradespeople.

**Employers retain bargaining power**
November’s data also confirmed that employers continue to hold the advantage when it comes to negotiating compensation. Wage growth, which had been slowing for months, cooled further to reach its lowest pace of the year—an annual increase of 3.5% in average hourly earnings. This slowdown means that workers face growing obstacles when trying to secure higher salaries or benefits, particularly in sectors where hiring demand is subdued. Ullrich noted that professionals in certain occupations, particularly physicians, still possess relatively stronger negotiating leverage due to their scarcity and ongoing demand. However, in many roles where numerous qualified candidates remain available, companies have little incentive to raise pay aggressively.

Moreover, the decline in voluntary turnover has reinforced employers’ position of strength. When fewer employees are quitting, organizations can afford to be more conservative with pay adjustments. As Ullrich explained, firms do not feel pressure to issue the same level of raises they might have offered in a tighter market where workers were readily leaving for alternative positions. Nonetheless, competition remains acute for certain highly specialized or in-demand roles, underscoring that the labor market, though broadly subdued, still contains pockets of intensity and opportunity.

**Unemployment climbs to its highest level since 2021**
The full picture of October’s unemployment situation will never be known, since the BLS was unable to conduct its standard household survey of approximately 60,000 households during or immediately after the government shutdown. Even so, the general trend of rising unemployment was evident prior to that interruption, and the November data confirmed that pattern’s continuation. The unemployment rate for November reached its highest point since September 2021, coming in slightly above economists’ expectations.

The Bureau of Labor Statistics cautioned, however, that analysts should interpret these figures carefully in the months ahead. Because the missing October survey creates a gap in the data, estimates of unemployment and related indicators may fluctuate as models are recalibrated. Still, the overall direction is unmistakable. Bachaud emphasized that the elevated jobless rate, coupled with persistently high levels of long-term unemployment—individuals out of work for 27 weeks or more who remain actively engaged in job searches—suggests that reentering the workforce has become increasingly difficult. This stickiness points to underlying structural fragilities that will not easily resolve even once the lingering effects of the government shutdown and economic uncertainty abate.

Taken together, the latest employment report provides not a simple story of progress or decline, but a nuanced reflection of an economy still struggling to regain equilibrium after months of disruption and hesitation. It illustrates both resilience and constraint: sectors like healthcare and construction still expanding, yet broader growth subdued; workers eager but constrained; companies cautious but capable. What remains clear is that the labor market’s path forward will hinge on whether confidence—among both employers and employees—can be restored in the months ahead.

Sourse: https://www.businessinsider.com/takeaways-from-november-jobs-report-unemployment-job-growth-earnings-2025-12