US Job Market Shows Multiple Signs of Slowing Down

United states news

  October 3rd, 2025|Written by
IndexBox

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The US job market shows multiple indicators of slowing, based on data from a recent report. Hiring is slowing while firing plans have accelerated to their fastest pace since 2020, with the scheduled nonfarm payroll report for September likely delayed due to a government shutdown.

Read also: U.S. Jobless Claims Fall as Labor Market Remains Steady

The unemployment rate remains near a historic low of 4.3%, but data from ADP showed the private sector lost 32,000 jobs in September, badly missing expectations. A series of weak employment data on Thursday suggested the job market is stumbling.

Job Openings Are Falling

Data from workforce intelligence firm Revelio Labs shows there were 17 million job openings in September, down 17.2% year-over-year.  Seasonally-adjusted active job postings were at their lowest level in at least three years.

The steepest drop in job openings occurred in the professional and business services industry, which declined 31.4% year-over-year. This was followed by the government sector and “other services,” with openings in both areas down 30.5% year-over-year.

“Heightened uncertainty is prompting firms and investors to delay new projects and slow hiring, softening labor demand. Looking ahead, fewer postings point to even weaker job growth,” Revelio’s report said.

Hiring Plans Slowest Since Great Recession

According to data from Challenger, Gray & Christmas, employers have announced plans to hire 204,939 workers so far this year, down 58% compared to the same period last year. This is the lowest number of planned hires over the first nine months of the year since 2009.

The drop is largely attributed to subdued seasonal hiring. The firm recorded just 100,800 seasonal hiring plans last month, a fraction of the 401,850 seasonal hires planned by October of last year.

Source: IndexBox Market Intelligence Platform