US job growth slows in June; hospitality sheds roles despite World Cup

Labour force participation dropped to its lowest level since March 2021, reaching 61.5 percent in June.The United States economy added 57,000 jobs in June, marking a slowdown in economic growth following several months of steady gains.The weaker-than-expected hiring figures were released on Thursday in the US Labor Department’s Bureau of Labor Statistics (BLS) monthly employment report.Recommended Stories list of 4 itemslist 1 of 4Alibaba to pay $600m to settle illegal drug sales allegations in US probelist 2 of 4An extra 229,000 deaths: Is that the cost of US-UK drugs deal?list 3 of 4German coalition agrees on sweeping reform package in key breakthroughlist 4 of 4With Hormuz reopened, has the oil shortage turned into a glut?end of listThe report also revised down numbers for the previous two months. May jobs report: 129,000, down from the previously reported 172,000, and April was lowered by 31,000 jobs to 148,000 jobs.The June job gains were focused in a handful of sectors. Professional and business services added 36,000 jobs; Healthcare added 22,000, and Social assistance added 25,000 jobs.Other sectors, including mining, oil and gas extraction; construction; manufacturing; wholesale trade; retail trade; transportation and warehousing; and financial activities, remained stagnant.Leisure and hospitality employment lost 61,000 jobs before the normally busy summer season in the US, which was otherwise expected to be bolstered by an influx of World Cup-driven tourism. Goldman Sachs had forecast that the tournament would have added 40,000 jobs in June.The unemployment rate fell by 0.1 percent, from 4.3 percent to 4.2 percent. The broader U-6 unemployment rate, which includes discouraged workers, people marginally attached to the labour force, and those working part-time because they cannot find full-time work, fell from 8.1 percent to 7.9 percent.Slow growthHowever, labour force participation dropped by 0.3 percent to 61.5 percent, reaching its lowest level since March 2021.