Economy lost nearly 100,000 jobs in February as sectors hanging by thread finally snap
The latest jobs report shows the United States lost 92,000 jobs in February 2026, with prior months revised down by 69,000 jobs. The unemployment rate remains elevated at 4.4% and is near its highest levels in four years. The February report reveals a labor market that is barely hanging on as Trump threatens to reignite inflation with his illegal war in the Middle East.
Groundwork Collaborative’s Chief of Policy and Advocacy Alex Jacquez released the following statement:
“The deterioration in the labor market is visible from space. Trump’s reckless economic agenda has forced the labor market into the negative, threatening the livelihoods of American workers. As the president piles on blanket tariffs and oil prices soar, today’s report confirms he’s sent the economy straight into a stagflation spiral.”
BACKGROUND
After months of stalling, the job market has ticked into the red. The private sector shed 86,000 jobs in February, driven by declines in manufacturing, construction, transportation, and warehousing. Revisions to December tip the month into the negative.
The last sector driving job growth has finally faltered. Job gains over the past year have been almost exclusively concentrated in health care. But in February, the industry shed 28,000 jobs due to strike activity, exposing the underlying softness in the rest of the economy.
Trump leads the economy into stagflation. January’s Personal Consumption Expenditures report showed price pressures mounting as the president presses forward with his reckless trade agenda. Oil and other commodity prices have spiked over the past week as a result of Trump’s war with Iran, with Wall Street trimming its forecasts for rate cuts as inflation warnings mount.