US labor force participation hits record low as 105.8 million fall out of workforce

Government data show that 105.8 million Americans were not in the labor force in June, a new record that exceeds figures from both the Great Recession and the COVID‑19 pandemic. About 832,000 people left the workforce that month, pushing the labor‑force participation rate down to 59%, the lowest level since September 2021.

Retirees account for roughly half of the non‑participants, while a notable surge of prime‑aged men is driving a dropout trend. Economists cite the increase in women’s workforce participation as a factor in the decline among men. Around 22% of those out of the labor force rely on long‑term disability benefits, and roughly 5% have left school without seeking employment.