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December 16, 2025, 4:36 PM EST. Unemployment ticked up to 4.6% even as 64,000 jobs were added, prompting a debate over AI's role in the labor market. Martha Gimble of Budget Lab argues the macroeconomic cycle, not AI, is the dominant driver right now; while some jobs are affected, there isn't evidence of a broad AI-driven disruption. She notes that layoffs attributed to AI are not supported by macro data, and the Fed's hiking cycle helps explain the swing more than technology alone. LinkedIn economist Corey Katenga adds the perspective of hiring managers, who see many signals but remain cautious about AI's net impact. Overall, AI's effect appears limited, with macro conditions and productivity narratives framing the trend.