The Bureau of Labor Statistics reported that U.S. payrolls declined by 92,000 in February and revised prior months downward. January payroll growth was revised from 130,000 to 126,000, and December was revised from an increase of 50,000 jobs to a decline of 17,000. The unemployment rate rose to 4.4% from 4.3% in January, and the labor force participation rate fell to 62%.
The report noted sector changes that included a decline in health care employment attributed to a major strike at Kaiser Permanente that temporarily removed about 31,000 workers. The information technology sector, the federal government, and transportation and warehousing also showed weakness, while several industries including manufacturing, construction, retail, oil and gas, and finance showed little change.
Following the release, government bond yields fell and stock futures dropped. The data arrived after Commerce Department figures showed 1.4% annualized GDP growth in the fourth quarter of 2025.