What the November U.S. Jobs Report Reveals About Workers, Wages, and the Economy
The November U.S. jobs report, released by the Bureau of Labor Statistics (BLS) on December 16, offers a detailed snapshot of where the American labor market stands as the year winds down. This monthly report is closely watched not just by economists, but also by policymakers at the Federal Reserve, business leaders, and everyday workers trying to make sense of job security, wages, and economic direction.
At first glance, the numbers show that the economy is still adding jobs. But when you look more closely, the picture becomes more complicated—and in some ways more concerning. Job growth is slowing, unemployment is edging higher, and more people are piecing together multiple jobs or working part-time when they would prefer full-time work.
Below is a clear breakdown of what the report says, why it matters, and what it could mean going forward.
A Labor Market That Is Moving, But Slowly
In November, payrolls increased by 64,000 jobs. On its own, that sounds like progress. However, context matters. This modest gain follows a loss of 105,000 jobs in October, along with downward revisions to job creation numbers from the summer months. Taken together, these trends suggest that the labor market is still expanding—but at a much slower pace than earlier in the year.
Economists often describe this kind of situation as an economy stuck in “first gear.” Jobs are being added, but not fast enough to keep momentum strong or absorb all workers who want stable, full-time employment.
Unemployment Is Rising, Especially for Younger Workers
One of the most closely watched figures in the report is the unemployment rate, which rose to 4.6% in November. That is up from 4.4% in September and significantly higher than the 4% rate recorded at the start of the year.
This increase is not evenly distributed. The rise in unemployment has been particularly concentrated among younger workers, who often face more unstable job prospects during periods of economic slowdown. For new graduates and early-career workers, this can mean longer job searches and greater competition for entry-level roles.
Underemployment Is Becoming a Bigger Issue
Beyond unemployment, the report highlights a sharp rise in underemployment—a term used to describe people who are working part-time but want full-time jobs.
In November alone, the number of underemployed workers jumped noticeably. Over the past year, it has increased by more than one million people. When unemployed and underemployed workers are combined, they now make up 8.7% of the labor force, up from 8% just one month earlier.
This matters because underemployment often signals hidden weakness in the labor market. People may technically have jobs, but they are not earning as much as they need or want, which affects household stability and spending power.
Where Jobs Are Growing—and Where They Are Disappearing
Not all sectors are experiencing the same trends. In November, job growth was concentrated in health care, social assistance, and construction. These areas helped offset losses elsewhere, but the gains were uneven.
On the decline side, transportation and warehousing continued to lose jobs, and federal government employment dropped sharply. Over the past year, unemployment has also increased in agriculture, sales, and professional occupations, suggesting broader softness beyond traditionally volatile industries.
This uneven sector performance makes the overall labor market feel unpredictable, especially for workers whose skills are tied to shrinking fields.
More Americans Are Holding Multiple Jobs
One of the most striking findings in the November report is the rise in multiple job holding. The share of workers with more than one job increased from 5.4% in September to 5.8% in November.
That may not sound dramatic, but historically it is significant. This is the highest rate since 1999, representing more than 9 million people, the largest number ever recorded.
Holding multiple jobs can sometimes reflect opportunity, but more often it signals financial pressure or job insecurity. Many workers are taking on extra work to hedge against possible layoffs, reduced hours, or stagnant pay.
Wages Are Rising, But Concerns Remain
There is some good news in the data. Average hourly earnings are $1.25 higher than they were one year ago, indicating that wages are still rising. This is important because it helps workers keep pace with inflation and maintain purchasing power.
However, wage growth alone does not erase concerns about job security. Rising underemployment and multiple job holding suggest that many workers are unsure whether their current income is sustainable long term.
What This Means for the Federal Reserve
The Federal Reserve relies heavily on jobs data when setting interest rate policy. Ahead of this report, the Fed had already anticipated some labor market cooling. In its most recent meeting, policymakers voted 9–3 to reduce interest rates, aiming to support economic activity without reigniting inflation.
Looking ahead, the Fed faces a delicate balancing act. Cutting rates further in 2026 could stimulate hiring, but it also risks pushing inflation back up. Holding rates steady, on the other hand, could slow job creation even more if borrowing remains expensive.
What the Report Says About the Broader Economy
From a big-picture perspective, the November jobs report suggests that the U.S. economy is weaker than it was last year, but not yet in recession. Employment is still growing, wages are still rising, and households are largely continuing to spend.
At the same time, there are clear warning signs. More workers are hedging their bets, taking on extra jobs, or settling for part-time work. These behaviors often show up before broader economic slowdowns become official.
What This Means for Workers and Households
For American workers, the takeaway is mixed. On one hand, there is reassurance that automation and artificial intelligence are not yet causing widespread job losses or pay cuts. On the other hand, uncertainty is growing.
Many households may feel uneasy about future income, even if their current situation is stable. This uncertainty can influence decisions about spending, saving, and taking financial risks.
Monthly labor market data like this can help workers gauge whether it is a good time to look for new opportunities, negotiate pay, or build up savings as a precaution.
Understanding Underemployment and Job Quality
It is worth pausing to talk more about job quality, not just job quantity. A labor market can look healthy on the surface while still leaving many workers dissatisfied or financially stretched.
Underemployment and multiple job holding often mean:
- Fewer benefits
- Less predictable schedules
- Greater stress and burnout
- Slower career progression
These issues do not always show up in headline unemployment numbers, but they play a major role in how people actually experience the economy.
Final Thoughts
The November jobs report paints a picture of an economy that is still functioning, but losing momentum. Job growth continues, wages are rising, and inflation pressures appear manageable. Yet the rise in unemployment, underemployment, and multiple job holding points to growing fragility beneath the surface.
For workers, employers, and policymakers alike, the message is clear: the labor market is no longer roaring ahead. It is moving cautiously, with increasing signs that many Americans are preparing for tougher times—even if those times have not fully arrived yet.
Research reference:
U.S. Bureau of Labor Statistics – Employment Situation Summary (November)
https://www.bls.gov/news.release/empsit.htm
