A resulfurized, chromium-nickel austenitic stainless steel having improved machinability resulting from low carbon and low nitrogen contents in combination with manganese and sulfur additions. The composition of the steel consists of, in weight percent, carbon plus nitrogen total up to 0.065, preferably up to 0.040 or 0.056, chromium 16 to 30, preferably 17 to 19, nickel 5 to 26, preferably 6 to 14, sulfur 0.10 to 0.45, preferably 0.10 to 0.25, more preferably 0.25 to 0.45, manganese 0.75 to 2.0, silicon up to 1, phosphorus up to about 0.20, molybdenum up to 1.0 and copper up to 1.00, and balance iron and incidental impurities.