WASHINGTON — U.S. employers added 172,000 jobs in May, beating economists' expectations and pointing to continued resilience in the labor market, the Bureau of Labor Statistics reported on Friday.
The unemployment rate held steady at 4.3 percent, the agency said. Job gains occurred in leisure and hospitality, local government, and health care, while employment in financial activities declined.
The May figure exceeded forecasts, which had centered around 85,000 to 88,000 jobs, according to multiple economists cited in reports. Prior months also saw upward revisions, with total gains for March and April revised higher by a combined 93,000 jobs in some preliminary assessments.
The report comes as the labor market has shown stability after a period of moderation. The unemployment rate has remained in a narrow range of 4.3 percent to 4.5 percent since July 2025, the BLS said. The number of unemployed people stood at 7.3 million.
In the establishment survey, total nonfarm payroll employment rose by 172,000 in May, similar to the revised gain of 179,000 in April. Leisure and hospitality added jobs, with notable increases also in local government and health care sectors. Financial activities lost 22,000 jobs.
Average hourly earnings rose 0.3 percent in May to $37.53, up 3.4 percent from a year earlier, according to the data.
The stronger-than-expected report marks the third consecutive month of payroll gains exceeding consensus forecasts, according to analysts. Some observers noted it could influence Federal Reserve policy discussions on inflation and interest rates, though officials have not commented directly on the latest figures.
White House officials and supporters of current policies highlighted the results as evidence of economic strength. Critics and independent analysts pointed to ongoing challenges, including sector-specific declines and the pace of wage growth relative to inflation.
Details on broader participation rates and demographic breakdowns were included in the full BLS report but showed limited month-to-month shifts overall.
The labor market has added jobs at a moderate pace in 2026 following weaker performance in parts of 2025, which saw significant downward revisions to annual figures. Friday's release provides the latest snapshot as policymakers, businesses and households monitor economic conditions heading into the second half of the year.
The BLS compiles the data from surveys of households and establishments. Revisions to preliminary figures are common in subsequent months.
