U.S. job growth slowed dramatically in November, with the economy adding just 64,000 jobs as government employment continued to shrink while healthcare and construction sectors provided modest gains.
The tepid November figures, released by the Bureau of Labor Statistics, represent one of the weakest monthly job reports of 2025, highlighting ongoing concerns about economic momentum heading into the new year. The healthcare sector led employment gains with 46,000 new positions, while construction added 28,000 jobs — barely offsetting continued losses in federal government employment.
Government Contraction Continues
Federal government employment fell by 6,000 jobs in November, continuing a troubling trend. Since peaking in January, federal agencies have shed a staggering 271,000 positions over just ten months — representing one of the sharpest contractions in the federal workforce in decades.
What’s behind this dramatic pullback? Budget constraints, hiring freezes, and restructuring initiatives across multiple agencies have all contributed to the sustained decline. The contraction has particularly affected administrative support roles and temporary positions created during post-pandemic recovery efforts.
Healthcare Provides Stability
Healthcare employment continued its reliable expansion, adding 46,000 jobs in November. The gains were distributed across multiple subsectors, with ambulatory health services adding 24,000 positions, while hospitals and nursing facilities each contributed 11,000 new jobs.
“The healthcare sector has been our economic backbone throughout 2025,” said economist Maria Delgado of Capital Economics. “With an aging population and increased healthcare spending, it’s one of the few sectors that seems immune to broader economic uncertainties.”
Construction Shows Resilience
Construction employment grew by 28,000 in November, with nonresidential specialty trade contractors driving much of the increase by adding 19,000 workers. The sector has demonstrated unexpected resilience despite higher interest rates that have dampened residential construction.
Infrastructure spending and commercial building projects appear to be sustaining demand for construction workers, even as the housing market continues to face headwinds.
Labor Secretary Maria Chavez-DeRemer struck an optimistic tone despite the modest overall numbers. “With 64,000 jobs added in November, more and more Americans are coming off the sidelines and working in the private sector,” she stated in a press release.
Still, economists note that the Secretary’s positive spin doesn’t address the concerning trend of federal job losses or the fact that November’s gains fell well below the average monthly job growth of approximately 175,000 seen during the first half of the year.
As 2025 draws to a close, the labor market appears to be at a crossroads — with private sector growth barely outpacing government contraction, raising questions about whether the economy can maintain positive momentum into 2026.
