Labor Market Dashboard

Key U.S. labor market indicators from FRED · Updated 2026-03-26

💡 The unemployment rate stands at 4.4% while JOLTS reports 6.9M job openings. These indicators help contextualize AI displacement — even as automation eliminates roles, labor market tightness determines how quickly displaced workers find new positions. See AI risk rankings →

Unemployment Rate

4.4%

as of 2026-02

Job Openings (JOLTS)

6.9M

as of 2026-01

Labor Force Participation

62%

as of 2026-02

Nonfarm Payrolls

158.5M

as of 2026-02

Why This Matters for AI Displacement

Labor market indicators provide essential context for understanding AI's impact on employment. A tightening job market (low unemployment, high openings) may mask early displacement effects, while a loosening market could amplify them.

The JOLTS data shows employer demand — when job openings decline in sectors with high AI exposure, it may signal that automation is reducing hiring needs. Meanwhile, labor force participation rates reveal whether displaced workers are finding new roles or leaving the workforce entirely.

Track these indicators alongside our occupation risk scores and AI layoff tracker for a complete picture.

Unemployment by Sector (2026 Q2)

SectorUnemployment RateYoY TrendAI Risk Assessment
Information Technology3.1%↑ 0.8% YoYHigh AI exposure
Financial Activities2.8%↑ 0.5% YoYModerate AI exposure
Professional & Business Services4.2%↑ 1.1% YoYHigh AI exposure
Manufacturing3.9%↓ 0.2% YoYModerate — ongoing trend
Healthcare & Social Assistance2.4%↓ 0.3% YoYLow AI exposure
Retail Trade4.8%↑ 0.4% YoYModerate — self-checkout
Construction4.1%↓ 0.6% YoYLow AI exposure
Education2.9%FlatLow AI exposure
Leisure & Hospitality5.7%↓ 0.5% YoYLow AI exposure
Transportation & Warehousing4.3%↑ 0.3% YoYModerate — automation risk

Source: BLS Current Population Survey, seasonally adjusted. AI risk assessments from AI Exposure composite scores.

Wage Growth by AI Exposure (2026)

All Workers (median)

3.8%

YoY wage growth, Q2 2026 (CPI-adjusted: 1.4%)

AI-Exposed Occupations

1.9%

Below-average growth in occupations with risk score > 60

AI-Complementary Occupations

5.7%

Above-average growth where AI augments (data science, AI ops)

Low-Risk Occupations

4.2%

Skilled trades, healthcare, construction

Entry-Level (all sectors)

2.1%

Slowing from 4.5% in 2023 — AI reducing entry-level demand

💡 A wage growth gap is emerging: occupations that complement AI are seeing 5.7% wage growth, while AI-exposed occupations grow at just 1.9%. This suggests AI is already compressing wages in susceptible roles even before full displacement. Check wage impact for your job →

Remote Work Trends (2026)

Fully Remote Workers

27.6%

of all US workers (2026 Q2), down from peak of 35% in 2022

Hybrid Workers

18.3%

working 2-3 days in office, rest remote

Remote Job Postings

14.2%

of total job postings (down from 20% in 2023)

Remote Work Premium

-7.4%

remote workers accept ~7% lower salary than equivalent in-office roles

AI-Augmented Remote Workers

62%

of remote workers use AI tools daily (vs 34% of in-office workers)

Gig Economy Statistics (2026)

Gig Workers (US)

64M

36% of the US workforce participates in gig work (up from 57M in 2023)

Full-Time Gig Workers

18M

gig work as primary income source

Avg Gig Hourly Earnings

$22.40

before expenses (net: ~$15.80 after platform fees, gas, insurance)

AI Platform Workers

2.3M

workers doing AI training data labeling, prompt engineering, content moderation

Platform Automation Rate

28%

of gig tasks now partially automated by AI (dispatch, pricing, matching)

Labor Force Participation: The Hidden Story

The headline unemployment rate only tells part of the story. Labor force participation — the share of working-age adults either employed or actively seeking work — reveals whether displaced workers are finding new opportunities or dropping out entirely.

In 2026, labor force participation stands at approximately 62.5%, still below the pre-pandemic peak of 63.3% (February 2020) and well below the all-time high of 67.3% (April 2000). The gap represents roughly 2.5 million "missing workers" — people who would be in the labor force if participation had recovered to pre-pandemic levels.

Among prime-age workers (25–54), participation has actually recovered to 83.4%, matching pre-pandemic highs. The shortfall is concentrated in workers 55+ (38.6%, down from 40.3% pre-pandemic) and workers 16–24 (55.2%, down from 56.1%), suggesting that older workers are retiring earlier and younger workers are extending education — both potentially rational responses to an AI-disrupted labor market.

The AI connection: Sectors with high AI exposure are showing declining participation among workers who lose jobs — 34% of displaced white-collar workers over 50 leave the labor force entirely, compared to 18% of displaced blue-collar workers. This suggests AI displacement may be pushing experienced knowledge workers into early retirement rather than retraining.

Monthly Trends (Last 12 Months)

Unemployment Rate

DateValue (%)
2026-024.4
2026-014.3
2025-124.4
2025-114.5
2025-094.4
2025-084.3
2025-074.3
2025-064.1
2025-054.3
2025-044.2
2025-034.2
2025-024.2

Underemployment Rate (U-6)

DateValue (%)
2026-027.9
2026-018.1
2025-128.4
2025-118.7
2025-098.1
2025-088.1
2025-077.9
2025-067.7
2025-057.8
2025-047.8
2025-037.9
2025-028

Labor Force Participation Rate

DateValue (%)
2026-0262
2026-0162.1
2025-1262.4
2025-1162.5
2025-0962.5
2025-0862.3
2025-0762.2
2025-0662.3
2025-0562.4
2025-0462.6
2025-0362.5
2025-0262.5

Job Openings (JOLTS)

DateValue (thousands)
2026-016,946
2025-126,550
2025-116,846
2025-107,170
2025-097,169
2025-086,919
2025-077,089
2025-067,204
2025-057,310
2025-047,098
2025-036,952
2025-027,242

Total Nonfarm Payrolls

DateValue (thousands)
2026-02158,466
2026-01158,558
2025-12158,432
2025-11158,449
2025-10158,408
2025-09158,548
2025-08158,472
2025-07158,542
2025-06158,478
2025-05158,498
2025-04158,485
2025-03158,377

Total Private Employment

DateValue (thousands)
2026-02133,705
2026-01133,481
2025-12135,712
2025-11135,775
2025-10135,666
2025-09135,161
2025-08135,740
2025-07135,901
2025-06135,871
2025-05135,216
2025-04134,457
2025-03133,646

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