The U.S. job market wasn’t as strong as it appeared to be in much of 2023 and early 2024, according to a new government revision of jobs data.
Employers added 818,000 fewer jobs in the 12 months ended March 2024 than were originally reported, the Bureau of Labor Statistics said Wednesday. Job growth averaged 174,000 a month in the year that ended in March — a drop of 68,000 a month from the 242,000 jobs that were initially reported.
The revised data comes after July’s weak employment report that sparked concerns the U.S. economy could be cracking under the highest interest rates in 23 years. The downward revision adds evidence of a slowing labor market, and could reinforce the Federal Reserve’s plan to start cutting interest rates soon, economists said.
“The labor market appears weaker than originally reported,” noted Jeffrey Roach, chief economist for LPL Financial, in an email. “A deteriorating labor market will allow the Fed to highlight …