Lydia Boussour, senior economist at EY-Parthenon, stated that despite the strong rebound in U.S. jobs data in March, the labor market remains fragile. She believes that amidst a policy environment fraught with uncertainty, businesses are becoming more cautious, hiring intentions are cooling, and companies are increasingly focused on protecting profit margins and responding by increasing productivity rather than expanding employment. "Looking ahead, we expect the labor market to be essentially frozen in 2026, characterized by selective hiring, limited wage growth, and strategic personnel adjustments amid historically tight labor supply," Boussour predicted. She anticipates job growth to be slightly below breakeven and the unemployment rate to gradually rise to approximately 4.7%. "Given the ongoing conflict in the Middle East, downside risks dominate, with a 40% probability of a recession," she added. (Jinshi)