US adds disappointing 29,000 jobs and unemployment ticks up in fresh hurdle for Trump before midterms

U.S. employers added a meager 29,000 jobs last month as the unemployment rate edged upward, according to government figures released Friday, just four weeks before voters head to the polls for pivotal midterm elections amid persistent frustration over high living costs and the state of the economy.Job growth dropped significantly from a revised 133,000 in August, the Labor Department reported. The jobless rate rose to a still-low 4.2% from 4.1% in August.Economists had projected September payroll additions of 90,000.Revisions by the Labor Department also removed 60,000 jobs from the combined figures for July and August. Average hourly pay increased 3% over the past year, marking the smallest annual gain since May 2021.The U.S. job market has demonstrated durability despite facing multiple challenges, including trade conflicts, persistent inflation, high borrowing costs, and a conflict with Iran that raised energy prices. Friday's labor update is the final report scheduled prior to the Nov. 3 elections, which will determine whether President Donald Trump's Republicans retain full control of Congress.Futures for the S&P 500 and Nasdaq composite built on gains after the report's release, while bond yields fell. The yield on 10-year Treasuries dropped to 5.17% from 5.24% recorded a day earlier.Although the U.S. labor market has bounced back from a weak 2025, regular citizens remain unhappy about economic conditions and elevated living expenses.A Thursday survey from The Associated Press-NORC Center for Public Affairs Research indicated that only 17% of U.S. adults approve of Trump’s handling of the cost of living. A mere 26% approve of his broader economic management, marking a new low.Consumer confidence in the U.S. fell this month to its lowest point in more than ten years, according to an index from the Conference Board. Over 28% of respondents informed the business think tank that they anticipate fewer jobs in six months, double the 14% expecting an increase.Job platform Glassdoor reported that its employee confidence index, measuring how workers assess their own companies' prospects, dropped last month to its lowest level since data collection began in early 2016—a period including a global pandemic. It marked the index’s third record low this year."Employee confidence has been continuously grinding downward over the last year as workers grow increasingly anxious about everything from layoffs to AI,’’ said Glassdoor chief economist Daniel Zhao.Public anxiety over employment stems partly from an unusual feature of today's labor market: employers are not reducing headcount significantly, but they are not expanding hiring either. A Labor Department metric tracking gross hiring has been stalled for more than two years.Consequently, economists describe a " low-hire, low-fire ’’ employment environment where existing workers enjoy job security, but jobseekers struggle to land roles. In August, the average unemployed individual was out of work for over six months, the longest stretch of joblessness since February 2022."People know that being laid off is unusually costly right now," said Glassdoor’s Zhao. "They hear from their friends how long they’ve been out of work and had such a difficult time finding a job. That does make layoffs even more scary than usual.’’In this sluggish climate, fewer workers are choosing to quit. "They often feel stuck,’’ Zhao said. "Workers aren’t finding there’s opportunity on the open market to find a better job – one that pays more or offers better work-life balance.’’