‘Hard to Find’: US Adds 165,000 Jobs as Average Unemployment Duration Hits 27 Weeks
The U.S. added 165,000 jobs in October, beating expectations, while the unemployment rate fell to 4.1%. However, the average duration of unemployment rose to 27.1 weeks from 24.8 weeks in September, highlighting the growing challenges facing jobseekers.
Nearly 2 million Americans had been unemployed for at least 27 weeks, accounting for 27.6% of the unemployed population. The median unemployment duration also increased to 11.9 weeks, underscoring the gap between continued job growth and the difficulties many workers face in finding employment.
US Job Growth Beats Economists’ Expectations
U.S. employers added 165,000 nonfarm payroll jobs in October, exceeding economists’ forecast of 65,000, while unemployment fell to 4.1% from 4.2% in September. The labor force expanded by 421,000 people, and payroll estimates for August and September were revised upward by a combined 84,000 jobs.
Professional and business services led hiring with 70,000 new positions, followed by health care with nearly 42,000 and manufacturing with 19,000. However, accommodation and food services lost 10,600 jobs. Despite October’s stronger gains, employers added an average of 86,000 jobs monthly so far in 2026, below the 166,000 monthly average recorded in 2023 and 2024.
Nearly 2 Million Americans Face Long-Term Unemployment
The BLS reported that approximately 1.963 million Americans had been unemployed for at least 27 weeks in October, accounting for 27.6% of the unemployed population. The figure was little changed from September, when 1.944 million people were classified as long-term unemployed.
The average duration of unemployment climbed to 27.1 weeks in October, up from 24.8 weeks a month earlier. The median duration also increased to 11.9 weeks from 11.5 weeks in September.
The figures highlight the difficulties facing long-term jobseekers despite continued hiring. While the headline unemployment rate measures people without jobs who are actively seeking work, it does not capture how long they have struggled to find employment.
A Low-Hire, Low-Fire Labor Market Complicates Job Searches
The labor market has entered what economists describe as a “low-hire, low-fire” phase, with employers retaining existing workers but remaining cautious about recruitment. This makes it harder for new entrants and recently unemployed people to secure jobs despite limited layoffs.
Associated Press quoted Edward Jones strategist Angelo Kourkafas calling October’s figures a “blowout jobs report,” citing stronger payroll growth, positive revisions and lower unemployment. However, the broader hiring environment remains cautious, limiting opportunities for jobseekers.
AI adoption is also influencing recruitment decisions. SharkNinja CEO Mark Barrocas told AP that the company had slowed planned hiring growth to 5% next year from 8% to 10% in previous years as AI tools took over certain tasks. “It’s allowing people to work on much higher-impact initiatives as opposed to more tedious tasks,” he said, adding that AI was also creating new roles requiring specialized skills.
Wage Growth Offers Limited Relief to Workers
Average hourly earnings rose by 14 cents, or 0.4%, in October to $38, according to the BLS. Annual wage growth reached 3.1%, although inflation-adjusted hourly earnings had fallen 0.7% year over year in September.
The figures highlight the pressure on workers’ purchasing power despite continued job creation. Stronger monthly wage gains have not necessarily translated into improved real earnings for households.
Overall, October’s report presents a mixed picture: employers added more jobs than expected and unemployment declined, but the rise in average unemployment duration shows that millions of Americans continue to struggle to find work.
