A brochure “We are hiring” at Mega Jobnewsusa South Florida Job Fair at the sounding Bank Arena from Sunrise, Florida, April 30, 2025. Employers continued to add jobs in April, even though Trump’s trade war was tolling on economic growth.
Joe Raedle / Getty Images from North America
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Joe Raedle / Getty Images from North America
Hiring slowed down a little in April, while President Trump’s trade war started to weigh on the wider economy.
US employers added 177,000 jobs last month, according to figures published on Friday by the Labor Department. It is modestly down compared to the previous month, when revised figures show that employers added 185,000 jobs, but the decline was smaller than forecasters expected the president’s trade war. The unemployment rate remained stable at 4.2%, while more than half a million people joined or joined the workforce.
Jobs were added to hospitals, restaurants and warehouses in April, while the federal government continued to lose workers. The employment gains for February and March were revised by a total of 58,000 jobs.
The president announced new prices at the beginning of last month. Although some of these import taxes have since been suspended, the average rate rate has always been the highest, since at least the great depression. The forecasters of the International Monetary Fund predict that import taxes will lead to higher prices and economic growth.
The trade war has already wreaked havoc on the stock market. Thursday, the S&P 500 index was down approximately 6.5% of the day of the inauguration. Trump’s prices have also shaken consumers, who are darker and darker on economic prospects. A consumer confidence index has dropped in April at its lowest level since the start of the pandemic.
Manufacturers are in shock
Manufacturers, many of which depend on imports for components or raw materials, also have difficulties.
The factories reduced 1000 jobs in April.
A survey by the Institute for the Management of the Offer revealed that orders and factory production decreased in April, while prices increased. The greatest concern of factory chiefs was by far the prices.
“We are at the forefront of a cliff,” said Tim Fiore, who oversees the monthly investigation. “I hope we will not review, but the signs are not positive, that’s for sure.”
The American economy was already hesitant when Trump announced the widespread prices on April 2. Economic production has decreased in the first three months of the year while businesses and households were preparing for the imminent trade war.
The health of the labor market will be an important factor for whether the economy continues to shrink or begins to bounce back. As long as people work and earn money, they can continue to spend, which is the main engine of the economy. If employment decreases sharply or if people fear losing their jobs, they can be more reluctant to spend, which could tip the economy in recession.
Average wages in April increased by 3.8% compared to a year ago. It is similar to the salary gains recorded in March, and probably more than sufficient to exceed the rise in prices.
