Two reports released over the last few days gave a fresh read on the US labour market: ADP’s July employment report, which was released yesterday, and the US Bureau of Labor Statistics’ (BLS) JOLTS report for June, released on Tuesday. Private businesses continued to add jobs in July, albeit at a slower pace than in June. Both reports showed ongoing signs of a stable labour market. Here’s more from the two reports.

• Private employers in the US added just 44,000 jobs in July, below the 65,000 economists had expected, according to a Bloomberg survey. This was the smallest gain since January and down from the 95,000 job additions in June.
• Education and health services led with 36,000 new jobs, while the leisure and hospitality industry and the trade and transportation industry lost workers over the month.
• Pay tells a different story than headcount. Wages were up 4.4% year-over-year in July, and pay for people who switched jobs accelerated at its fastest pace in nearly a year, a sign of ongoing supply constraints in certain parts of the US economy.
• The JOLTS report showed job openings fell to 7.36 million in June, from 7.54 million in May. Layoffs stayed roughly flat near 1.77 million.
• Job quits rose to their highest level of 2026 at 3.23 million in June. Workers voluntarily left their jobs, suggesting some workers feel confident enough to seek another job even as overall hiring cools.

Together, the reports describe a “low-hire, low-fire” labour market. Companies aren’t adding many jobs, but they aren’t cutting many either. Workers who do switch jobs are getting paid well for it. Friday’s official jobs report from the BLS will be the next test of the stability of the US labour market. If it continues to show signs of a steady labour market, the US Federal Reserve Board may be able to keep its attention on elevated inflationary pressures.

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