What to Expect From Friday’s High-Stakes Jobs Report

Washington, September 5, 2025: All eyes are on Friday’s monthly U.S. jobs report, and the expectations are not optimistic. Warning signs have been flashing for months that the once-resilient labor market is losing steam. Economists say this report could confirm that slowdown.

⚠️ Signs of Weakness Already Showing

Jobless claims rise: First-time claims for unemployment benefits climbed to an 11-week high this week.

Hiring slowdown: Private-sector hiring sharply declined last month, suggesting businesses are becoming more cautious.

Worst August since the Great Recession: Excluding the pandemic years, August employment numbers were the weakest in over a decade.

💬 Expert View

“The labor market is showing signs of cracking,” wrote Heather Long, senior economist at Navy Federal Credit Union. “It’s not a red siren alarm yet, but the signs keep growing that businesses are starting to cut workers.”

📊 Why It Matters

The jobs report will provide the clearest signal yet of whether the U.S. economy is headed toward a soft landing or a deeper slowdown. Investors, businesses, and the Federal Reserve are all closely watching:

For Wall Street: Weak numbers could push markets lower.

For workers: Rising layoffs and slower hiring may mean tougher times ahead.

For the Fed: A cooling labor market might strengthen the case for future interest rate cuts.