The Bureau of Labor Statistics released its February 2026 Employment Situation on March 6, showing that U.S. employers shed 92,000 jobs last month — sharply below economist expectations of a 50,000–59,000 gain — as the unemployment rate rose to 4.4 percent from 4.3 percent in January. It marked the sixth month in which nonfarm payrolls have contracted during the Trump administration's second term, and the third such contraction in the past five months. Fox Business confirmed the numbers in detail, calling it a report "well below expectations." NPR reported that the data "dashed hopes that the job market was stabilizing," noting rising energy costs from the Iran war's oil supply disruption as a concurrent pressure on consumers.

Prior months were also revised down substantially: December was revised from a previously reported 48,000-job gain to a 17,000-job loss, and January was cut from 130,000 to 126,000. The combined revisions erased an additional 69,000 jobs from previously published tallies. Sector-by-sector, health care shed 28,000 positions, primarily because a Kaiser Permanente nurses strike in California and Hawaii occurred during the Bureau of Labor Statistics survey reference week — a strike that has since been resolved. Manufacturing lost 12,000 jobs, leisure and hospitality shed 27,000, construction fell 11,000, and transportation and warehousing declined 11,300. Federal government employment fell 10,000.

Labor Secretary Lori Chavez-DeRemer appeared on Fox Business and conceded: "I think we have to address the fact that this is not a good report in its raw numbers," before attributing losses to the California labor strike and weather disruptions in the construction sector. She said the underlying trend would improve as the Iran war's energy disruption stabilized. JPMorgan economist Elyse Ausenbaugh noted that "the pace of job gains over the last few months is still dramatically slower than it was in 2024," while LPL Financial's Jeffrey Roach described the labor market as "coming to a standstill."

University of Michigan economist Justin Wolfers told NPR that "recession questions are back on the menu" given the February data. Federal Reserve markets priced a 95.5 percent probability the Fed would hold rates at its March 17–18 meeting — which it did — while the odds of a June cut climbed following the report. Average hourly earnings rose 3.8 percent year-over-year, 0.1 percentage point above forecast, providing a modest positive signal. Gasoline prices reached $3.32 per gallon nationally, 21 cents higher than a year earlier — a figure NPR cited as evidence that Iran-war oil costs were squeezing household budgets even as workers kept their jobs.