Temporary help services posted the largest decrease in employment among industries in June, shedding 12,600 jobs compared to the previous month, according to seasonally adjusted data from the US Bureau of Labor Statistics. The temp penetration rate — temporary jobs as a percentage of total employment — fell to 1.93% in June from 1.94% in May.

On a year-over-year basis, there were 106,800 fewer temporary jobs in June, down 3% from the prior year.

Overall, total employment in the US rose by just 209,000 jobs, a smaller increase than expected and down from previous months. The US averaged a monthly gain of 278,000 in the first six months of this year, and the average monthly gain last year was 399,000 jobs.

“While overall hiring slowed somewhat in June, the overall labor market remains solid, with over 200,000 new jobs, rising wages and low unemployment,” SIA President Barry Asin said. “This relative strength in the labor market in the face of slower economic growth may indicate the ‘soft landing’ the Fed is trying to engineer.”

Economists had expected the US to add 225,000 jobs in June, CNN reported.

The BLS also revised downward the number of jobs added in April and May by 110,000 combined.

While temporary help services lost jobs in June, industries where the US saw employment rise included government, up by 60,000 jobs; healthcare, up by 41,000; social assistance, up 24,000; and construction, up 23,000.

The US unemployment rate edged downward to 3.6% in June from 3.7% in May. The college-level unemployment rate fell to 2.0% in June from 2.1% in May.

“In the tug of war between the labor market and the economy, there is still a push and pull, yet the labor market remains strong,” said Becky Frankiewicz, president and chief commercial officer of ManpowerGroup Inc. (NYSE: MAN).

“We’re seeing the relationship between employers and workers continue to evolve, particularly for workers with in-demand skills,” Frankiewicz said. “As ‘pandemic paranoia’ about hiring lingers, companies are holding on to their workers as layoffs calm and permanent roles are more in demand than temporary.”

Overall numbers: Nonfarm employment totaled 156.2 million in June while employment in temporary help services was at more than 3.0 million.

For a full analysis of June’s job numbers, see SIA’s analysis.