April's jobs report showed employers added 115,000 jobs, nearly double expectations, while unemployment held steady at 4.3%. Combined with March, the economy has added roughly 300,000 jobs over the past two months. The labor market is slowing, but it is not collapsing.
Headlines about AI replacing jobs have understandably raised concerns. Some of the layoff announcements are real, but context matters. Many technology companies hired aggressively during the COVID era and are now right-sizing. Current layoffs often reflect post-pandemic adjustment and margin pressure as much as AI adoption itself.
Importantly, the picture is uneven. Health care and education hiring continues to climb, driven by an aging population. At the same time, the build-out of AI infrastructure is creating new demand in skilled trades, manufacturing, and data center construction. A Yale Budget Lab analysis from April 2026 concluded that AI's labor market impact so far "largely reflects stability, not major disruption."
Our approach: We take both the risks and opportunities of AI seriously in managing your portfolio, while avoiding the temptation to overreact to headlines. The labor market is evolving, not disappearing, and a disciplined long-term perspective remains the right response.
This commentary is provided by 4J Wealth Management, LLC for informational purposes only and should not be considered investment advice or a recommendation of any particular security, strategy, or investment product. Opinions are subject to change. Information has been obtained from sources believed to be reliable but is not guaranteed.