Actalent Labor Market and Economy Report: A Look at Trends in June 2025

Executive Summary

Job Growth

The U.S. economy added 147,000 jobs in June. Notable gains occurred in state government (+47,000) and healthcare (+39,200) while employment continued to decline in federal government (-7,000).

Other industries Actalent supports experienced the following job growth and loss last month: aerospace and defense (-1,300), architecture and engineering (+2,700), automotive (-500), construction (+15,000), manufacturing (-7,000), scientific research and development (-5,700) and utilities (+600).

Unemployment and Labor Force Participation

The unemployment rate declined slightly from 4.2% in May to 4.1% in June. The labor force participation rate declined from 62.4% to 62.3%.

Unemployment rates specific to the industries Actalent supports were as follows for June: hospitals (1.3%), utilities (1.0%), professional and technical services (3.0%), manufacturing (3.6%) and construction (4.2%).

Among skilled labor categories Actalent sources talent for, unemployment in software-IT-mathematics was 3.3%; architecture and engineering was 2.0%; and sciences (life, physical and social) was 2.4%.

Inflation

The year-over-year inflation rate increased by 2.7% between June 2024 and June 2025, an increase from May’s reading of 2.4%. The Federal Reserve has maintained interest rates at current levels throughout the first half of 2025, citing heightened economic uncertainty.

Wage Growth

Average hourly earnings increased by 3.7% for the 12 months ending June, slightly below May’s increase of 3.8%. “Real” average hourly earnings (wages adjusted for inflation) increased by 1.0% between June 2024 and June 2025. In other words, average hourly earnings are keeping up with inflation, but consumers may still be feeling the pressure of higher prices.