After a nearly six-week delay caused by the longest government shutdown in U.S. history, the Bureau of Labor Statistics released its September 2025 economic report Thursday. The report showed the unemployment rate rose slightly to 4.4%, with hiring still below historic norms.
The data will help guide the Federal Reserve in deciding whether to adjust interest rates. The Federal Open Market Committee meets Dec. 9–10 and is expected to lower rates.
HOW JOBS AND INTEREST RATES INTERACT
September’s unemployment rate was the highest in nearly four years after a stretch of unusually low joblessness. The economy added 117,000 jobs in September — an improvement from August’s weak gain of 22,000, and above some expectations — but still below the decade-long monthly average of 146,000.
Some elements of the economy, like tech and health care, are showing gains. Job losses were in manufacturing, warehousing and the federal government.
Affordability concerns are still high among Americans, and not everyone feels the same way about the state of the economy.
"It's inappropriate, I think, to make broad brush stroke pronouncements about, 'oh, the job market is good, or the job market is not good.' It really relates to what people are experiencing and whether they're able to accomplish their financial goals," said Mark Hamrick, a senior economic analyst with Bankrate.
Worker pay continues to outpace inflation, with average weekly earnings rising 3.8% between September 2024 and September 2025.
But September's data showed unemployment ticked up to 4.4%, the highest it's been since October 2021.
"Approximately 7.5 million people are unemployed, many people are not making the money they would like, even if they are employed or they're experiencing some other form of financial stress," Hamrick said.
The BLS issues preliminary employment reports each month based on its Current Employment Statistics survey of employers. The estimates are released just days after the month ends and may be revised later.
The agency’s data has faced heightened scrutiny since President Donald Trump fired BLS Commissioner Erika McEntarfer in August following a disappointing jobs report.
Considering this September data, experts think the Federal Reserve will hold rates steady when they meet in December. But they'll meet again in January, and by that meeting, government data and economic reports should be back on schedule, giving them more robust information to work with.
