Labor Force Participation Rate Falls To Lowest Since Pandemic As Over 250K Leave Workforce

August 07, 2026 11:44 AM ET The U.S. labor force participation rate fell to 61.4 percent in July, its lowest level since the COVID-19 pandemic, as 264,000 people left the labor force last month, according to the Bureau of Labor Statistics (BLS).The labor participation rate is down from this year’s January high of 62.1 percent but remains above the decade’s lowest point, 60.1 percent, in April 2020. The overall rate of civilian labor force participation, which is seasonally adjusted, has been on a downward trend, dropping 4.7 percentage points since July 2006, the bureau found. (RELATED: JP Morgan’s Jamie Dimon Issues Warning, Says Hidden Moves Obfuscating Reality For Trump’s Economy)Citing the bureau’s Friday-published findings, Navy Federal Chief Economist Heather Long called the result a