WASHINGTON — America’s stores are on a hiring spree even as shoppers complain about high prices — and the latest government data backs it up. The Bureau of Labor Statistics reported on Friday, June 5, that the economy added 172,000 jobs in May, more than double the roughly 80,000 economists had expected, while the unemployment rate held steady at 4.3%. Within that, the retail trade has been a standout, recently pushing its payrolls to about 15.5 million workers — the most since July 2024.
“This is a labor market that is stronger than it was last year and is looking pretty darn solid, despite high energy prices and higher inflation generally,” said Gus Faucher, chief economist at PNC Bank. “There’s no indication that the labor market needs support.”
The Bureau of Labor Statistics also revised its earlier figures higher, adding a combined 93,000 jobs to its March and April counts. Retail added nearly 22,000 jobs in a recent month, accounting for almost one-fifth of all the hiring in the country — a striking share for an industry that spent much of last year bracing for layoffs. The biggest May gains came in leisure and hospitality, local government and health care, while financial activities lost jobs.
The hiring reflects a simple truth: Americans keep spending. The National Retail Federation expects retail sales to grow 4.4% this year, with its president and chief executive, Matthew Shay, saying he expects “consumer resilience to continue into 2026, with household spending once again serving as a pillar of economic support.” In 2025, many chains feared that President Donald Trump’s tariffs would raise costs and scare off shoppers. Instead, customers kept buying — through the war in Iran, higher gas prices and faster inflation — and retailers staffed up to keep shelves stocked.
Not everyone is convinced the good times will last. Mark Mathews, chief economist at the National Retail Federation, warned that “renewed tensions in the Middle East and the ripple effects across global markets are adding more uncertainty to the economic landscape.” Gasoline prices at multiyear highs could eventually force families to cut back on the extras that keep stores busy. There are softer spots beneath the strong headline, too: hiring has cooled in parts of the economy, and total job postings have edged down even as the unemployment rate stays low.
There is a hopeful wrinkle this week. The weekend deal to end the war in Iran sent oil prices tumbling on Monday, which could bring gasoline prices down in the coming weeks and hand shoppers more room in their budgets — exactly the kind of relief that would keep cash registers ringing and the hiring going.
The job numbers carry extra weight this year because of a fight over their credibility. In August 2025, President Trump removed the head of the Bureau of Labor Statistics, Erika McEntarfer, after a run of weak reports, accusing her of manipulating the data — which she denied — and replaced her with William J. Wiatrowski. That history has put every report under a brighter spotlight.
For ordinary workers, the retail hiring spree is good news. Store jobs rarely require a degree, offer flexible hours, and remain one of the main on-ramps into the workforce. More openings mean more bargaining power and a better shot at a raise. The question is how long it lasts. Retailers are hiring because shoppers are spending, and shoppers are spending despite real strain. If inflation bites harder or gas prices climb again, the same stores racing to staff up could find themselves overstaffed. For now, though, the help-wanted signs are out — and Americans are answering them.
JBizNews Desk
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