President Donald Trump oversaw the weakest year of job growth in decades, based on new federal data showing slow hiring through the end of 2025, even with a slight drop in the unemployment rate.
The U.S. economy added just 50,000 jobs in December, according to the latest report from the Bureau of Labor Statistics released on Friday. The unemployment rate fell to 4.4% from a revised 4.5% in November. This reflects slower hiring and a cooling labor market.
According to CNN, the December report capped a year of unusually weak job growth. Employers added a total of 584,000 jobs in 2025, marking the weakest annual gain outside of a recession since 2003. Most economists had predicted that around 55,000 jobs would be added in the final month, showing how muted hiring had become as 2025 came to a close.
Some analysts warned that seasonal adjustments might revise December’s figure higher. Holiday hiring typically boosts employment late in the year. Some economists believe seasonal factors could push the December total above 100,000 jobs. However, even with potential revisions, annual job growth remains historically low.
“This is the worst hiring outside of a recession since 2003,” said Heather Long, chief economist at Navy Federal Credit Union. She noted that current trends suggest total job gains for 2025 may reach about 710,000, still far below recent averages.
The unemployment rate has steadily increased over the past year, hitting a four-year high of 4.6% in November before being revised down to 4.5%. December’s drop to 4.4% hints at some stabilization, though economists point out that slower hiring can reduce unemployment if fewer people join or stay in the labor force.
CNN: A lot of the economically sensitive sectors, they’re losing jobs, manufacturing lost 8000 jobs in December. That’s the eighth straight month where that sector has lost jobs.
When you zoom out, 2025, it was a very weak year for the U.S. economy when it comes to job growth.… pic.twitter.com/MiHgCB36A9
— Acyn (@Acyn) January 9, 2026
During Trump’s second term, the labor market has shifted to what economists call a “low-hire, low-fire” scenario. Employers have generally avoided mass layoffs but have also slowed new hiring due to higher interest rates, tighter credit, and uncertainty regarding trade and fiscal policies.
While the White House has highlighted falling inflation and recent tax measures as signs of economic strength, job creation has lagged far behind the levels seen earlier in the decade. In contrast, the U.S. economy added over 2.6 million jobs in 2023 and more than 3 million in 2022, according to federal data.
Economists believe several factors led to the slowdown in 2025, including lower consumer demand, weaker business investment, and hesitance among employers as tariff disputes and global economic issues affected outlooks. Labor force participation has remained fairly stable, limiting both hiring and layoffs.
The administration has not commented directly on the December jobs report. Trump has previously claimed that his economic policies would strengthen domestic employment and reduce dependency on foreign supply chains. However, critics argue that these policies have increased uncertainty for employers.
Despite the weak hiring statistics, analysts state that the lack of a sharp rise in unemployment suggests the economy is slowing rather than contracting. “This is not a collapse,” one economist noted, “but it is clearly a labor market that has lost momentum.”
As 2026 begins, economists will closely watch to see if hiring rebounds or if the U.S. enters a prolonged period of slow job growth. For now, the data indicate that 2025 stands out as one of the weakest years for job gains in over two decades.
