Over 1.8 Million Americans Face Extended Joblessness Amid Slower Hiring
United States, Sunday, 3 August 2025.
More than 1.8 million Americans have been unemployed for over six months, highlighting a shift in hiring and broader economic challenges, with many considering themselves ‘semiretired’ due to job search struggles.
Current State of Unemployment
As of August 2025, over 1.8 million Americans have been unemployed for at least 27 weeks, marking the highest long-term unemployment figures since 2017, aside from the pandemic-related spike. This rising figure highlights the persistent economic challenges despite reported growth in the second quarter of 2025 [1][2].
Impact on the Economy
Long-term unemployment contributes significantly to reduced consumer spending and overall economic stagnation. Individuals facing prolonged joblessness often exhaust savings, impacting their purchasing power and hampering economic recovery [3]. This trend is compounded by the recently reported slowdown in hiring, with only 73,000 new jobs added in July 2025, falling short of economic expectations [4].
Shifts in Labor Market Dynamics
The dynamics of the U.S. labor market are gradually shifting, as evidenced by the increasing time to find employment and many individuals considering themselves ‘semiretired.’ The median length of unemployment is now over 10 weeks, having risen from 9.5 weeks a year ago, reflecting a challenging job search environment [2][5].
Uncertain Economic Outlook
The slowing job market and increased long-term unemployment cast doubt over previous economic recovery projections. While job additions have been revised downward for both May and June 2025, maintained uncertainty regarding future inflation and interest rate adjustments underscores the precarious state of the economy [4][6].