Labor force in the United States
The labor force is the actual number of people 16 years and older available for work and is the sum of the employed and the unemployed. The U.S. labor force reached a record high of 170.7 million civilians in January 2025. In February 2020, at the start of the COVID-19 pandemic in the United States, there were 164.6 million civilians in the labor force. Before the pandemic, the U.S. labor force had risen each year since 1960 with the exception of the period following the Great Recession, when it remained below 2008 levels from 2009 to 2011. In 2021, The Great Resignation resulted in record numbers in voluntary turnover for American workers.
The labor force participation rate, LFPR, is the ratio between the labor force and the overall size of their cohort. Much as in other countries in the West, the labor force participation rate in the U.S. increased significantly during the later half of the 20th century, largely due to women entering the workplace in increasing numbers. Labor force participation has declined steadily since 2000, primarily because of the aging and retirement of the Baby Boom generation. Analyzing labor force participation trends in the prime working age cohort helps separate the impact of an aging population from other demographic factors and government policies. The Congressional Budget Office explained in 2018 that higher educational attainment is correlated with higher labor force participation for workers aged 25 to 54. Prime-aged men who are out of the labor force tend to be out due to disability, while a key reason for women is caring for family members.
Definition
The Bureau of Labor Statistics defines the labor force as:Included are persons 16 years of age and older residing in the 50 States and the District of Columbia who are not inmates of institutions, and who are not on active duty in the Armed Forces.
Gender and the U.S. labor force
Women
In the United States, there were three significant stages of women's increased participation in the labor force. During the late 19th century through the 1920s, very few women were employed. Working women were often young single women who typically withdrew from labor force at marriage unless their family needed two incomes. These women worked primarily in the textile manufacturing industry or as domestic workers.Between 1930 and 1950, female labor force participation increased primarily due to increased demand for office workers, the high school movement, and electrification, which reduced the time spent on household chores. In the 1950s to the 1970s, most women were secondary earners working mainly as secretaries, teachers, nurses, and librarians.
Starting from 1960, the world and the U.S. witnessed a significant increase in female LFP in the labor market, especially in developed countries such as Europe and the U.S. According to , the gap for LFP between women and men has been smaller since 1979. The cumulative percentage change in real wages for women increased by 9.6%, while for men it decreased by 7.7%, but still remained higher than that of women. Only men with bachelor's degrees or higher averaged higher actual earnings than women.
Claudia Goldin and others, specifically point out that by the mid-1970s there was a period of revolution of women in the labor force brought on by different factors. In the United States, the LFP rate rose from approximately 59% in 1948 to 66% in 2005, with participation among women rising from 32% to 59% and participation among men declining from 87% to 73%.
A common theory in modern economics claims that the rise of women participating in the US labor force in the late 1960s was due to the introduction of a new contraceptive technology, birth control pills, and the adjustment of age of majority laws. According to the , there was a significant change in women's first marriage and education careers. Most women interviewees answered that the change was because of the pill. However, from 1980, married women were willing to work regardless of their husband's employment situation. However, only 40% of the population actually used the birth control pill.
Another factor that may have contributed to the trend was the Equal Pay Act of 1963, which aimed at abolishing wage disparity based on sex. Such legislation diminished sexual discrimination and encouraged more women to enter the labor market by receiving fair remuneration to help raise children. The 1964 Civil Rights Act and Title IX in 1972 also increased women's LFP. The Equal Pay Act protects both men and women against discrimination on account of sex in the payments of wages.
According to Claire Cain Miller, NYT, other wealthy countries, such as Denmark, Germany, and Norway, spend an average of $14,000 annually for childcare while the U.S. government supports only $500.
Historical trends
According to the US Census in 1861, one third of women were in the labor force and of these one fourth were married women.According to Ellen DuBoise and Lynn Dumenil, they estimate that the number of women in the labor force from 1800 - 1900 are:
| By Year | % Women in Labor force | Women as % of Total Labor Force |
| 1800 | 4.6% | 4.6% |
| 1810 | 7.9% | 9.4% |
| 1820 | 6.2% | 7.3% |
| 1830 | 6.4% | 7.4% |
| 1840 | 8.4% | 9.6% |
| 1850 | 10.1% | 10.8% |
| 1860 | 9.7% | 10.2% |
| 1870 | 13.7% | 14.8% |
| 1880 | 14.7% | 15.2% |
| 1890 | 18.2% | 17.0% |
| 1900 | 21.2% | 18.1% |
According to the US Department of Labor and :
| By Year | % Women in Labor force | Women as % of Total Labor Force |
| 1920 | N/A | 20.3% |
| 1930 | N/A | 21.9% |
| 1940 | N/A | 24.4% |
| 1950 | 33.9% | 27.4% |
| 1960 | 37.7% | 32.2% |
| 1970 | 43.3% | 37.5% |
| 1980 | 51.5% | 42.2% |
| 1990 | 57.5% | 45.3% |
| 2000 | 59.9% | 46.5% |
| 2010 | 58.6% | 47.3% |
| 2019 | 57.8% | 47.4% |
According to the US Department of Labor, as of 2017 women make up 47% of the total labor force with 70% of them mothers with children under 18 years of age.
Men
According to the , men's LFP decreased since 1950 with 86.4%, 79.7% in 1970, 76.4% in 1990, and 73.3% in 2005. In addition, a decline in male education participation, age of marriage, the rise of substance abuse, and addiction to video games could lead to a decrease in Men LFP.According to the Federal Reserve Bank of Kansas City, from 1996 to 2015, men in the prime age with a high-school degree or associate's degree have a nonparticipation rate much higher than those holding advanced degrees. During the Great Recession, overall, the nonparticipation rate increased for everyone regardless of their education level, but the greatest increase was for those with only a high school diploma.
The aging in the U.S. population also explained the decrease in Men LFP. The median age of males increased from 34 years old to 37.2 years old with more people over 65 years old and fewer people of labor age. According to the 2020 Current Population Survey, most men who were out of the labor force self-reported they could not work due to illness, disability, or due to attending higher education. Regarding the Social Security Disability Program, 35% of recipients responded their disability was due to mental health disorder. Another 30% responded their disability correlated to musculoskeletal disorders, many of which are due to obesity.
Both men's and women's LFP rate increased after COVID-19. According to Science Advances, more than half of unemployed men in their 30s have a criminal arrest history.
Historical Trends
According to the U.S. Bureau of Labor Statistics:| By Year | % Men in Labor force |
| 1950 | 86.4% |
| 1960 | 83.3% |
| 1970 | 79.7% |
| 1980 | 77.4% |
| 1990 | 76.4% |
| 2000 | 74.8% |
| 2010 | 71.2% |
| 2019 | 69.2% |
Race and the U.S. Labor Force
Occupation
According to the US Bureau of Labor Statistics, as of 2019 Asians are most likely to hold a management position, while Hispanics or Latinos are most likely to hold a job in the service sector.According to the , male LFP decreased and has continued decreasing since 1950 with 86.4%, 79.7% in 1970, 76.4% in 1990, and 73.3% in 2005. Experts predict that this decrease could remain and become higher over the years because of different policies such as the Social Security Act. In addition, a decline in male education participation, age of marriage, the rise of substance abuse, and addiction to video gaming could lead to the decrease in male LFP. This decrease in male labor force participation rate was probably from the benefit of disability insurance, especially in the group of less-educated men.
According to the article "Why are prime-age men vanishing from the labor force?", author found that from 1996 to 2015, most men in the prime-age who only hold a high-school degree or associate's degree would have a nonparticipation rate much higher than those who hold an advanced degree. There were studies that showed that the demand in low-skilled workers had been down during 1970 to 1980. Alternatively, the demand of middle-skilled labors during that period of time increased significantly, this could be explained since organizations tried to replace the low-skilled workers and used middle-skilled workers. During the Great Recession, overall, the nonparticipation rate increased for everyone regardless of their education level. However, the author tried to dig deeper and categorized men into four different groups: those, who do not have a high school diploma, who have a high school diploma, who have an associate's degree, and who have a bachelor's degree or higher. It was obvious that the greatest increase was from the group with only a high school diploma.
The aging in U.S population also explained the decrease in Men LFP. The median-age of male was increased from 34 years old to 37.2 years old. In addition, baby-boomer numbers increased which meant more people over 65 years old, and fewer people who were of labor age. With these numbers, even though the labor force participation rate remained same, the aging in population still could affect and drag the LFPR down. According to the 2020 Current Population Survey, most men reported that they were not able to work due to higher education, ill health, or disability, however, this is a self-report. Regarding the Social Security Disability Program, 35% of recipients responded that their disability was due to mental health disorder. According to , the percentage of men diagnosed with depression was lower than women, yet the effect on the male labor force participation rate was considerable. There were different reasons leading to this, it could be unrecognized, undiagnosed, and untreated. Another 30% responded that their disability correlated to musculoskeletal disorder, much due to obesity.
The men LFPR tend to increase further after COVID-19. Experts said that there are many reasons could lead to this results. People within the age that about to retire would like to retire earlier, even though they are healthy, they would prefer to spend their time for family, hobbies, or voluntary. In addition, COVID-19 created a threat to most people, especially who have problem with their health before. Another reason could be many companies are trying to move their plant to different countries where could cut companies' costs and benefits. According to Science Advances, more than half of men in their 30s has a criminal history arrest. This could be another reason explains why men nonparticipation rate increases.
| Race | Production, transportation, and material moving | Natural resources, construction, and maintenance | Sales and office | Service | Management, professional, and related |
| White | 11.3 | 10.1 | 21.3 | 15.9 | 41.4 |
| Black or African American | 16.2 | 5.7 | 22.3 | 23.8 | 31.9 |
| Asian | 9.1 | 3.1 | 17 | 15.8 | 55 |
| Hispanic or Latino | 15.4 | 16.4 | 20.6 | 24.2 | 23.3 |