Data: Bureau of Labor Statistics; Chart: Axios Visuals

The U.S. added 1.8 million jobs last month, while the unemployment rate fell to 10.2% from 11.1% in June, the Labor Department said on Friday.

Why it matters: The labor market continued to recover but the pace of job growth slowed significantly from June’s 4.8 million job gain, suggesting a stalled improvement as coronavirus cases surged and states pulled back on reopening plans.

The big picture: One-third of all jobs gained in July came from the leisure and hospitality sector.

  • There were also 301,000 jobs added in the government sector, thanks in part to "unusually large" increases in local education hiring, the government said.
  • The typical firings that take place occurred earlier than usual this year because of the pandemic, distorting the government's seasonality adjustments.

One factor economists are watching is how many workers temporarily laid off because of the pandemic are returning to work as some businesses reopen.

  • The number of unemployed persons who were on temporary layoff fell by 1.3 million in July to 9.2 million. They're about half what they were in April.
  • There was no significant change in the number of permanent job losers in July.

The bottom line: The labor market remains solidly in the hole, as roughly 22 million jobs were lost between March and April.

Go deeper

Sep 11, 2020 - Health

We're numb to the coronavirus

Data: Newswhip; Chart: Axios Visuals

We're over COVID even if it isn't over us.

Why it matters: Six months into the pandemic, online engagement around coronavirus stories has dropped off markedly and continues to reach new lows even as the pandemic continues, according to data from NewsWhip provided exclusively to Axios.

Biden: The next president should decide on Ginsburg’s replacement

Joe Biden. Photo: Drew Angerer / Getty Images

Joe Biden is calling for the winner of November's presidential election to select Ruth Bader Ginsburg's replacement on the Supreme Court.

What he's saying: "[L]et me be clear: The voters should pick the president and the president should pick the justice for the Senate to consider," Biden said. "This was the position the Republican Senate took in 2016 when there were almost 10 months to go before the election. That's the position the United States Senate must take today, and the election's only 46 days off.

Trump, McConnell to move fast to replace Ginsburg

Photo: Alex Wong/Getty Images

President Trump will move within days to nominate his third Supreme Court justice in just three-plus short years — and shape the court for literally decades to come, top Republican sources tell Axios.

Driving the news: Senate Majority Leader Mitch McConnell and Senate Republicans are ready to move to confirm Trump's nominee before Election Day, just 46 days away, setting up one of the most consequential periods of our lifetimes, the sources say.