US Labor Force Exit Hits Record 105.8 Million in June
The number of Americans not in the labor force rose by 832,000 in June to 105.8 million, an all-time high. The figure now stands 2.2 million above the pandemic-era peak, highlighting underlying weakness in the job market.
The number of Americans outside the labor force — those neither employed nor actively seeking work — surged by 832,000 in June, reaching a record 105.8 million, according to data cited by The Kobeissi Letter.
This total is now 2.2 million higher than the peak seen during the 2020 pandemic shutdowns. So far in 2026, 2.5 million people have exited the labor force. By contrast, at the beginning of the century, only 68.7 million Americans were not in the labor force.
As a percentage of the population aged 16 and over, the share has risen to 38.5%, the highest level since the 1970s, excluding the pandemic period. The data suggests the US job market remains weaker than headline employment figures may indicate.
Source: The Kobeissi Letter