US Added 29,000 Jobs in September as Confidence Index Fell 6.7 Points

US employers added 29,000 nonfarm payroll jobs in September, the Bureau of Labor Statistics reported, falling short of the 45,000 monthly average over the prior 12 months. The headline unemployment rate held at 4.2%, while a separate Conference Board survey showed consumer confidence dropping 6.7 points to 81.9 from 88.6 in August.

What does the confidence slide tell job seekers?

The Conference Board's index, based on a survey conducted September 1-23, captured responses after a federal funds rate hike and amid ongoing geopolitical tensions. Chief Economist Dana M. Peterson described the move as a notable deterioration following two prior months of softening.

"The Present Situation Index fell sharply, while the Expectations Index slipped further into negative territory," Peterson said. "Consumer appraisals of current business conditions became negative for the first time since September 2024."

For workers, that pessimism translates into concrete signals. The share of consumers calling jobs "plentiful" fell to 23.6% from 24.5% in August. Those saying jobs were "hard to get" rose to 21.9% from 20.3%. The share expecting fewer jobs to be available six months out climbed to 28.4% from 26.1%, while only 14.0% expect more, down from 14.8%.

Which industries are still hiring?

Construction added 11,000 jobs in September, the seventh straight monthly gain. The split inside the sector matters more than the headline. Nonresidential specialty trade contractors added 12,000 positions, driven by data center development, while the residential side continues to contract.

"The construction industry added jobs for the seventh straight month in September," said ABC Chief Economist Anirban Basu. "Industry employment growth is increasingly concentrated on the nonresidential side as the data center boom continues to support rapid hiring of certain specialty trade contractors."

"At the same time, the residential segment continues to hemorrhage workers, and that side of the industry has now shed 1.0% of its employment base over the past year," Basu said.

For trades workers weighing their next move, that bifurcation points to where the openings sit: data center electrical, mechanical, and specialty contracting work, not single-family residential.

How are income expectations shifting?

Consumers grew more cautious about their own paychecks. The share expecting their income to rise fell to 17.9% from 19.0%. Those expecting a decline climbed to 15.4% from 13.5%. Confidence fell across all political affiliations and nearly all income brackets; the $125,000–$149,000 household income group saw the steepest six-month decline. By generation, Gen Z remained the most confident on a six-month moving average basis, followed by Millennials, while Gen X, Baby Boomers, and the Silent Generation all weakened.

What does this mean for workers' next move?

The macro reading is straightforward. Hiring is positive but slowing, residential construction remains a drag, and the consumers who fund consumer-facing businesses see the labor market softening. Workers with portable trade skills tied to data center and nonresidential pipelines hold the strongest near-term leverage; everyone else should expect employers to take their time on offers and salary bumps through year-end.

Looking ahead, the Conference Board's expectations components will be the leading indicator worth tracking. If the share of consumers expecting fewer jobs keeps climbing past 28.4%, the September payrolls underperformance of roughly 16,000 jobs versus the prior 12-month trend is more likely to widen than close.