(The Center Square) – The U.S. economy added 178,000 jobs in March, exceeding expectations, after one month of conflict between the United States and Iran. The unemployment rate dropped to 4.3%, according to a new report from the U.S Bureau of Labor Statistics on Friday.

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The March job’s report shows a significant uptick from Februrary’s “dismal” loss of 133,000 jobs. The healthcare, construction, transportation and warehousing industries drove most of the increases in March.

The unemployment rate went down to 4.3% in March, slightly improved from 4.4% in February.

Heather Long, chief economist at Navy Federal, said job gains in March were the best since December 2024.

“There’s no sign of the war in Iran hurting the job market yet,” Long said.

The healthcare industry added 76,000 jobs in March, driven by a 54,000 increase in ambulatory services. The construction industry added 26,000 jobs in March, similar to the previous 12 month span.

The transportation and warehousing industries added 21,000 jobs in March. Employment in the industry is down after reaching its peak in February 2025 with 139,000 jobs.

Jobs in social assistance also increased by 14,000 in March, mainly from an 11,000 increase in family services.

“Bottom line: It’s been a rocky in the job market since last April, but March was a strong gain,” Long wrote.

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This article was originally published at The Center Square. Photo Credit: Gwengoat/Getty Images Signature via Canva Teams.