U.S. Payrolls Jump 165,000 in October as Unemployment Slips to 4.1%

The U.S. economy added far more jobs than expected in October, according to the Bureau of Labor Statistics, as nonfarm payroll employment rose by a seasonally adjusted 165,000 and the unemployment rate edged lower to 4.1%. The figures, released Friday, Nov. 6, 2026, were stronger than Wall Street forecasts that had clustered around roughly 59,000 to 65,000 new jobs and a 4.2% jobless rate.

CNBC reported that the Dow Jones consensus called for a 59,000 payroll gain, while a Reuters poll of economists cited by Investing.com put the median expectation at 65,000. Both outlets said the official count of 165,000 substantially exceeded those estimates. The BLS Employment Situation Summary for October 2026 confirmed the payroll increase and said the unemployment rate “changed little at 4.1 percent.” CNBC’s Nov. 6 jobs report and Reuters coverage carried by Investing.com described the same headline results.

Revisions and wage details

Prior months were revised higher. The BLS said August payrolls were revised up by 53,000, from +133,000 to +186,000, and September was revised up by 31,000, from +29,000 to +60,000. Combined, employment in August and September was 84,000 higher than previously reported. Average hourly earnings for all private nonfarm employees rose 14 cents, or 0.4%, to $38.00 in October and were up 3.1% over the past 12 months. The average workweek for all private employees remained at 34.4 hours.

CNBC said those wage readings compared with estimates of a 0.3% monthly increase and a 2.9% annual gain. Production and nonsupervisory employees’ average hourly earnings rose 12 cents, or 0.4%, to $32.75, the BLS reported. The household survey, which underpins the unemployment rate, showed 463,000 more people at work, CNBC said, while the civilian labor force expanded by 421,000.

Where the jobs were added

Job gains were broader than in periods when health care accounted for most hiring. Professional and business services rose by 70,000 in October, well above that sector’s average monthly gain of 15,000 over the prior 12 months, the BLS said. Within that group, professional, scientific and technical services added 33,000 jobs, administrative and support and waste management services added 28,000, and management of companies and enterprises added 9,000. Professional and business services has added 269,000 jobs since a recent low in October 2025.

Health care added 42,000 jobs, above its 31,000 average over the prior year, with hospitals (+16,000), home health care services (+11,000) and outpatient care centers (+5,000) contributing. Transportation and warehousing added 25,000 jobs, including 17,000 in couriers and messengers and 4,000 in air transportation. Manufacturing employment rose by 19,000, with gains in computer and electronic products (+7,000), machinery (+4,000) and primary metals (+4,000). Manufacturing has increased by 101,000 since a recent low in December 2025, the BLS said. Other major industries showed little change over the month.

Participation, underemployment and long-term joblessness

The labor force participation rate edged higher to 61.9%, and the employment-population ratio stood at 59.3%, the BLS reported. A broader underutilization measure that includes discouraged workers and people working part time for economic reasons rose to 7.9%, up 0.3 percentage point, CNBC said, amid the labor-force increase. People employed part time for economic reasons increased by 339,000 to 4.8 million in October, according to the BLS.

Long-term unemployment remained elevated. The BLS said the number of people unemployed for 27 weeks or more was 2.0 million and accounted for 27.6% of all unemployed people. CNBC reported that the average duration of unemployment jumped to 27.1 weeks, up 2.3 weeks from the prior month and the highest since September 2021, with those unemployed more than 27 weeks rising to 1.96 million, the most since December 2021. The official unemployment count was 7.1 million people.

Market and policy context

CNBC said traders increased the probability of another quarter-point Federal Reserve rate hike at the Dec. 8–9 Federal Open Market Committee meeting, with CME Group FedWatch odds rising to 76.8%, while the tool still pointed to only one additional increase afterward. Reuters noted that the Fed had left its benchmark overnight rate in the 3.75%–4.00% range the prior week and that economists expected a December hike, with the October consumer inflation report due the following Tuesday. Market reaction to the payrolls release was muted, CNBC said, with mixed stock futures and higher Treasury yields across the board.

The report does not by itself settle the path of monetary policy or the durability of hiring. The BLS stressed that monthly revisions result from additional reports and seasonal-factor recalculation, and that household and establishment surveys can move differently. The next Employment Situation release is scheduled for Friday, Dec. 4, 2026, at 8:30 a.m. Eastern.

Sources: U.S. Bureau of Labor Statistics, Employment Situation — October 2026; CNBC, Nov. 6, 2026; Reuters via Investing.com, Nov. 6, 2026.