The labor share of U.S. gross domestic product fell to 52.8% in the second quarter of 2026, the lowest level since the data began in 1947, down from 53.6% in the previous quarter and a decade average of 55.6%. The decline came as Fortune 500 profits reached a record $2.1 trillion in 2025 and economic growth exceeded forecasts. Meanwhile, unemployment rose to 4.2% in September and employers added only 584,000 jobs in 2025, compared with 2 million in 2024. Economists attribute the jobless growth to automation, the shrinking foreign-born workforce and income concentrating toward capital owners. More welcoming immigration policies, workforce training and reskilling, and faster job creation are identified as the main ways to rebuild the U.S. labor force.
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