US employers cut a surprising 92,000 jobs as unemployment rate rises to 4.4%

"American employers unexpectedly cut 92,000 jobs last month, a sign that the labor market remains under strain. The unemployment rate blipped up to 4.4%. The Labor Department reported Friday that hiring deteriorated from January, when companies, nonprofits and government agencies added a healthy 126,000 jobs."

"Construction companies cut 11,000 jobs last month, which likely reflects reflect frigid weather. And healthcare firms shed 28,000 jobs after a four-week strike by more than 30,000 nurses and other front-line workers at Kaiser Permanente in California and Hawaii. Health care has been one of the job market's strong points."

"Employers were reluctant to hire last year because of uncertainty over President Donald Trump's tariffs - and the unpredictable way he rolled them out. High interest rates, engineered by the Federal Reserve to combat a burst of inflation following the COVID-19 pandemic, also weighed on the job market in 2025."

The U.S. labor market deteriorated significantly in February with employers cutting 92,000 jobs, contrary to economist expectations of 60,000 new positions. The unemployment rate increased to 4.4%, and previous months saw downward revisions totaling 69,000 jobs. Construction shed 11,000 positions due to cold weather, while healthcare lost 28,000 jobs following a Kaiser Permanente strike. Manufacturing continued declining with 12,000 job losses, marking 14 of the last 15 months of losses. Restaurants, bars, and administrative services also experienced significant cuts. Financial services added 10,000 jobs. Hourly wages rose 0.4% monthly and 3.8% annually. The job market faces headwinds from geopolitical tensions, tariff uncertainty, and lingering high interest rates.

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