The U.S. job market has experienced unusually large downward revisions in payroll numbers for May and June 2025, with May revised down by 125,000 jobs from an initial 144,000 to 19,000, and June revised down by 133,000 from 147,000 to 14,000. These revisions are the largest outside recessionary periods since 1968, according to Goldman Sachs, which also anticipates further substantial revisions in the upcoming monthly reports. Overall, 2025 has seen a cumulative downward revision of 461,000 jobs, following a 625,000 downward revision in 2024. Quarterly Census of Employment and Wages (QCEW) data suggests that nonfarm payrolls were overstated by approximately 88,888 jobs per month over the nine months ending December 2024, with a likely total downward revision of nearly 800,000 jobs for that period. The three-month average change in payrolls has dropped to 35,000, the lowest since June 2020 and the lowest outside the 2020 crisis in 15 years. Concurrently, wage growth for the lowest-paid U.S. workers has slowed sharply to 3.7% year-over-year as of June 2025, the lowest in seven years and down from a peak of 7.5% in 2022. In contrast, the top 25% of earners have seen wage growth of 4.7%, widening income inequality. Nearly 40% of American workers now earn less than the median wage. Economic indicators also show a decline in inflation-adjusted consumer spending at an annualized rate of 0.15% over the last six months, the weakest since the 2020 crisis, with retail sales flat over the past four years after adjusting for inflation. Manufacturing employment is down 4.2% year-over-year, retail jobs have declined by 32,000 since March, and construction job growth has stalled. These trends have raised concerns about the overall health of the U.S. economy and have intensified scrutiny on President Donald Trump’s record on inequality.