economy
The job market is much stronger than economists expected. Why?
Updated on: June 5, 2026 / 6:08 PM EDT / MoneyWatch
TL;DR
- Employers added 172,000 jobs in May, surpassing analyst expectations.
- Average monthly job growth has tripled compared to the previous year.
- Strong corporate profits, bolstered by tax cuts, are a key driver of hiring.
- The health care industry is the top sector for job creation.
- Leisure and hospitality also saw significant job gains ahead of summer and the World Cup.
- Despite overall strength, some sectors like government and financial services have lost jobs.
- Job seekers, particularly recent graduates and long-term unemployed, still face difficulties finding work.
- Worker pessimism persists, with many believing it would be difficult to find a new job.