US economy loses 92,000 jobs in February, defying expectations

ISTANBUL

The US economy lost 92,000 jobs in February, sharply missing market expectations for a gain, according to data released Friday by the Bureau of Labor Statistics.

The decline followed a downwardly revised increase of 126,000 jobs in January. Economists had expected nonfarm payrolls to rise by 58,000 last month.

"Employment in health care decreased, reflecting strike activity. Employment in information and federal government continued to trend down," the department said.

Meanwhile, the unemployment rate edged higher to 4.4% in February from 4.3% in January, above forecasts.

The number of unemployed people "changed little" at 7.6 million in February, while the labor force participation rate was 62%.

Meanwhile, the employment-to-population ratio was stable at 59.3% in the same month, according to the Labor Department.

Health care employment fell by 28,000 after a strong gain of 77,000 in January, with physician offices losing 37,000 jobs largely due to strike activity.

Employment in the information sector continued to decline, dropping by 11,000 and averaging monthly losses of 5,000 over the past year.

Federal government employment also decreased by 10,000 and has fallen by 330,000, or 11%, since peaking in October 2024.

Social assistance employment rose by 9,000, driven by gains in individual and family services.

Transportation and warehousing employment was little changed, declining by 11,000 as losses in couriers and messengers were partly offset by gains in air transportation. Employment in the sector has dropped by 157,000, or 2.4%, since February 2025.

The average hourly earnings for all employees on non-farm payrolls rose 0.4% to $37.32 in February compared to January, while it was up by 3.8% on an annual basis.