Brief
U.S. September payrolls add 29,000 jobs, unemployment rises to 4.2%
The Labor Department reported a modest gain of 29,000 jobs in September, missing forecasts and nudging the unemployment rate up to 4.2%.
By Felo News Desk · Published
Employers across the United States added 29,000 jobs in September, well short of the 90,000 economists had forecast, according to CBS News. The Labor Department said the unemployment rate rose to 4.2% from 4.1% in August.
What happened
The September payroll report showed a gain of 29,000 non‑farm jobs, while the Department also revised down July and August payroll gains by a combined 60,000. Wage growth slowed, with annual pay rising 3% – below the August CPI rate of 3.4%.
What the reports add
CBS News noted that outplacement firm Challenger, Gray & Christmas reported a 40% decline in layoffs year‑over‑year, and a 20% drop compared with September 2025, marking the lowest layoff level in four years.
What was said
Jerry Templeman, vice president of economic and fixed‑income research at Mutual of America, said the modest payroll gain “raises questions about the durability of the labor market after the Federal Reserve’s first interest‑rate increase since 2023.” Ken Mahoney, CEO of Mahoney Asset Management, argued the numbers “do not make a case for a rate increase in October,” adding that any hike would need to be driven by inflation data.
How it came about
The report follows a period of stronger hiring in August and the Federal Reserve’s first rate hike in three years, which analysts say could be tempering employer demand.
Key facts
- U.S. employers added 29,000 jobs in September 2026. (cbsnews.com)
- The unemployment rate rose to 4.2% in September. (cbsnews.com)
- Annual wage growth was 3% in September, below the 3.4% CPI rate. (cbsnews.com)
- Layoffs fell 40% year‑over‑year and 20% versus September 2025. (cbsnews.com)
Sources
- [1] cbsnews.com — originally reported as “Employers across the U. S. added 29,000 jobs in September, short of forecasts”
