The U.S. labor market is heading into a slower decade of job growth, but not every industry will feel the slowdown equally. New projections from the Bureau of Labor Statistics (BLS) show that while overall employment will rise modestly, a few sectors — especially utilities and healthcare — are set to grow at a much faster clip.
According to the Bureau of Labor Statistics, total employment will increase by 5.9 million jobs from 2025 to 2035, bringing the total to 176.2 million. That represents growth of just 3.5% — a sharp drop from the 10.9% pace recorded during the previous decade.
Why Utilities Are the Fastest-Growing Industry for Jobs
The utility industry is expected to lead all sectors in hiring, with employment growing by 9.8% over the projection period. That is a standout number in a decade of otherwise sluggish expansion.
The reason ties directly to the ongoing AI boom. As BLS explains, hyperscalers — the massive cloud and data center operators — are scrambling to build facilities that require immense amounts of electricity. Nearly all of the job growth in utilities is expected to come from electric power generation, transmission, and distribution, as the grid expands to meet this surging demand.
Healthcare Dominates New Job Creation
While utilities grow at the fastest rate, one sector accounts for more than a third of all new jobs added over the decade. Healthcare and related industries are projected to be the single largest source of employment gains, driven by an aging population and continued demand for medical services.
This means that for job seekers, the clearest opportunities lie in two directions: energy infrastructure to power the digital economy, and healthcare to serve a growing and older population.
"Nearly all the job growth is expected from electric power generation, transmission, and distribution due to increasing demand for electricity." — Bureau of Labor Statistics
What the Slower Job Growth Forecast Means for Workers
The overall picture is one of moderation. The U.S. added jobs at nearly 11% in the prior decade; the next one will see less than a third of that pace. For workers, this means competition for roles outside the high-growth sectors will likely be tougher.
For employers, the data points to where investment in training and recruitment should be directed. The utility sector's growth, in particular, signals a structural shift — the electricity grid is becoming a critical bottleneck for AI expansion, and the labor force must grow to support it.
Our Take: A Tale of Two Labor Markets
To put it plainly, this BLS forecast describes a divided job market. On one side, you have slow, steady growth across most of the economy. On the other, you have explosive demand in utilities and healthcare.
In our view, the utility sector's 9.8% growth rate is the most telling number in this report. It shows that the AI revolution is not just about software and chips — it is about physical infrastructure. Data centers need power, and power needs people to build and maintain the grid.
For anyone planning a career or considering a pivot, the message is clear: skills in energy infrastructure and healthcare will be in high demand over the next decade. The broader labor market may cool, but these sectors are positioned to run hot.
The BLS report serves as a useful roadmap. It tells us where the jobs will be, why they will be there, and which industries are betting on long-term structural growth. Workers and businesses that pay attention to these projections will be better positioned for the decade ahead.
