Labour market chill worsens in the United States

The weakness we are seeing is chilling and enables the Federal Reserve to cut rates in September, although not enough for the most dovish Fed governors, writes KPMG US Chief Economist Diane Swonk.

United States' payroll employment rose by 22,000 in August, a further cooling from an upwardly revised 79,000 in July. The two-month revision shaved another 21,000 from overall payrolls this year; June now shows a decline of 14,000. That is in addition to the 258,000 downward revision we saw last month and marks the first decline since the height of the Delta wave for COVID-19 in December 2020. The three-month moving average of job creation was 29,000, down from 122,000 over the last 12 mo...

Sign in below or register now to read the full article

Authors: Diane Swonk

Published Date: 08 September 2025