Local Area Unemployment in the US 2025
The local area unemployment statistics landscape in the United States during 2025 reflects a complex tapestry of regional economic variations and labor market dynamics. As the nation continues to navigate post-pandemic recovery patterns and evolving economic conditions, understanding local area unemployment trends becomes crucial for policymakers, job seekers, and business leaders alike. The Bureau of Labor Statistics’ Local Area Unemployment Statistics (LAUS) program serves as the authoritative source for comprehensive employment data across census regions, divisions, states, counties, metropolitan areas, and individual cities.
Throughout 2025, local area unemployment rates have demonstrated remarkable regional disparities, with some areas experiencing historically low unemployment levels while others face ongoing challenges. The national unemployment rate has maintained relative stability at approximately 4.2 percent as of recent measurements, yet this aggregate figure masks significant variations at the local level. State-by-state analysis reveals unemployment rates ranging from as low as 1.8 percent in South Dakota to higher rates exceeding 6.0 percent in certain metropolitan areas, highlighting the importance of examining local area unemployment statistics rather than relying solely on national averages.
Key Stats & Facts About Local Area Unemployment in the US 2025
| Unemployment Fact | Value | Source Period |
|---|---|---|
| National Unemployment Rate | 4.2% | July 2025 |
| Lowest State Unemployment Rate | 1.8% (South Dakota) | June 2025 |
| Highest State Unemployment Rate | 6.0% (District of Columbia) | July 2025 |
| States with Rate Increases Year-over-Year | 255 metro areas | February 2024-2025 |
| Metropolitan Areas Analyzed | 387 total areas | Current reporting |
| Large Metro Areas (1M+ population) | 56 areas | 2025 analysis |
| States with Employment Gains | 19 states | Year-over-year July 2025 |
| Nonfarm Payroll Job Additions (August) | +22,000 | August 2025 |
Data Source: U.S. Bureau of Labor Statistics, Local Area Unemployment Statistics Program
The data presented above illustrates the multifaceted nature of local area unemployment across the United States in 2025. These statistics reveal that while the national unemployment rate has remained relatively stable at 4.2 percent, significant regional variations persist. The remarkable range from South Dakota’s 1.8 percent unemployment rate to the District of Columbia’s 6.0 percent demonstrates how local economic conditions can vary dramatically within the same national economy.
Analysis of metropolitan area data shows that 255 metro areas experienced unemployment rate increases from February 2024 to February 2025, indicating widespread regional challenges despite national stability. However, the presence of 56 large metropolitan areas with populations exceeding one million provides crucial economic anchors, though even these major centers show varying performance. The modest +22,000 nonfarm payroll additions in August 2025 reflect a slowing hiring pace, suggesting that local area unemployment statistics will continue to show mixed regional patterns as economic conditions evolve.
State-Level Unemployment Variations in the US 2025
| State | Unemployment Rate (%) | National Rank | Regional Status |
|---|---|---|---|
| South Dakota | 1.9% | #1 | Lowest in nation |
| North Dakota | 2.5% | #2 | Very low |
| Vermont | 2.6% | #3 | Very low |
| Hawaii | 2.7% | #4 | Very low |
| Montana | 2.8% | #5 | Very low |
| Alabama | 3.0% | #6 | Below national average |
| Nebraska | 3.0% | #6 | Below national average |
| New Hampshire | 3.1% | #8 | Below national average |
| Oklahoma | 3.1% | #8 | Below national average |
| Wisconsin | 3.1% | #8 | Below national average |
| Maine | 3.2% | #11 | Below national average |
| Utah | 3.3% | #12 | Below national average |
| Wyoming | 3.3% | #12 | Below national average |
| Georgia | 3.4% | #14 | Below national average |
| Maryland | 3.4% | #14 | Below national average |
| Minnesota | 3.5% | #16 | Below national average |
| Indiana | 3.6% | #17 | Below national average |
| Tennessee | 3.6% | #17 | Below national average |
| Virginia | 3.6% | #17 | Below national average |
| Arkansas | 3.7% | #20 | Below national average |
| Florida | 3.7% | #20 | Below national average |
| Idaho | 3.7% | #20 | Below national average |
| Iowa | 3.7% | #20 | Below national average |
| North Carolina | 3.7% | #20 | Below national average |
| West Virginia | 3.7% | #20 | Below national average |
| Connecticut | 3.8% | #26 | Below national average |
| Kansas | 3.8% | #26 | Below national average |
| Mississippi | 4.0% | #28 | Near national average |
| New York | 4.0% | #28 | Near national average |
| Pennsylvania | 4.0% | #28 | Near national average |
| Texas | 4.0% | #28 | Near national average |
| Arizona | 4.1% | #32 | Near national average |
| Delaware | 4.1% | #32 | Near national average |
| Missouri | 4.1% | #32 | Near national average |
| New Mexico | 4.2% | #35 | Near national average |
| South Carolina | 4.2% | #35 | Near national average |
| Colorado | 4.5% | #37 | Above national average |
| Louisiana | 4.5% | #37 | Above national average |
| Washington | 4.5% | #37 | Above national average |
| Illinois | 4.6% | #40 | Above national average |
| Alaska | 4.8% | #41 | Above national average |
| Massachusetts | 4.8% | #41 | Above national average |
| Rhode Island | 4.8% | #41 | Above national average |
| Kentucky | 4.9% | #44 | Above national average |
| New Jersey | 4.9% | #44 | Above national average |
| Ohio | 5.0% | #46 | Above national average |
| Oregon | 5.0% | #46 | Above national average |
| Michigan | 5.3% | #48 | Elevated unemployment |
| Nevada | 5.4% | #49 | Elevated unemployment |
| California | 5.5% | #50 | Highest state rate |
| District of Columbia | 6.0% | #51 | Highest in nation |
Data Source: U.S. Bureau of Labor Statistics, State Employment and Unemployment Summary, July 2025
South Dakota maintains its position as the nation’s employment leader with a 1.9 percent unemployment rate, reflecting the state’s diversified economy combining agriculture, manufacturing, tourism, and financial services. The state benefits from business-friendly policies, low cost of living, and strategic investments in technology and healthcare sectors. South Dakota’s unemployment rate has remained consistently below 2.5 percent throughout 2025, demonstrating remarkable labor market stability. The state’s strong agricultural base, combined with growing tech companies relocating to Sioux Falls and Rapid City, provides diverse employment opportunities that keep unemployment exceptionally low.
North Dakota holds the second-lowest unemployment rate at 2.5 percent, driven primarily by its robust energy sector, particularly oil production in the Bakken formation. The state has successfully diversified beyond oil and gas, developing strong agricultural, manufacturing, and technology sectors. North Dakota’s unemployment rate reflects the state’s ability to maintain economic growth even during energy price fluctuations. The state’s investment in infrastructure and education has created a skilled workforce capable of supporting multiple industries, ensuring sustained low unemployment levels throughout 2025.
Vermont achieves the third-lowest unemployment rate at 2.6 percent, reflecting its stable economy built on tourism, agriculture, manufacturing, and increasingly, remote work opportunities. The state’s focus on sustainable industries and high-quality education system has attracted businesses and workers seeking work-life balance. Vermont’s unemployment rate benefits from its strong small business environment and growing tech sector, particularly in Burlington and surrounding areas. The state’s commitment to environmental sustainability has attracted green energy companies, providing additional employment opportunities in emerging sectors.
Hawaii maintains a 2.7 percent unemployment rate, demonstrating recovery and stability in its tourism-dependent economy following pandemic challenges. The state has successfully diversified its economic base to include military spending, agriculture, and emerging technology sectors while maintaining its crucial tourism industry. Hawaii’s unemployment rate reflects the state’s strategic location for Pacific trade and military operations, providing consistent employment opportunities. The state’s investment in renewable energy and sustainable tourism practices has created new job categories while preserving traditional employment sectors.
Montana records a 2.8 percent unemployment rate, supported by its diverse economy encompassing agriculture, mining, energy production, and growing technology sectors. The state has benefited from increased remote work opportunities and business relocations seeking lower operating costs and quality of life benefits. Montana’s unemployment rate reflects successful economic development policies that balance traditional industries with emerging sectors. The state’s natural resource wealth, combined with growing manufacturing and service sectors, provides multiple pathways to employment for residents across rural and urban areas.
Alabama achieves a 3.0 percent unemployment rate, demonstrating the success of its economic diversification strategy focused on automotive manufacturing, aerospace, and technology sectors. The state has attracted major international manufacturers, creating high-paying jobs and supporting industries throughout the supply chain. Alabama’s unemployment rate reflects significant investments in workforce development programs and infrastructure improvements that support business growth. The state’s central location and business-friendly policies continue to attract companies seeking expansion opportunities, maintaining strong employment levels across multiple regions.
Nebraska maintains a 3.0 percent unemployment rate, reflecting its stable economy built on agriculture, manufacturing, transportation, and financial services. The state benefits from its central location for transportation and logistics operations, creating consistent employment opportunities in distribution and warehousing sectors. Nebraska’s unemployment rate demonstrates the effectiveness of its economic development policies that support both traditional and emerging industries. The state’s investment in education and workforce training ensures a skilled labor force capable of meeting evolving employer needs across multiple sectors.
New Hampshire holds a 3.1 percent unemployment rate, supported by its diverse economy encompassing manufacturing, technology, healthcare, and tourism. The state benefits from proximity to major metropolitan areas while maintaining lower costs and higher quality of life, attracting businesses and workers from surrounding regions. New Hampshire’s unemployment rate reflects its successful business climate with no state income tax and minimal regulatory burdens. The state’s strong educational institutions and research facilities support innovation and entrepreneurship, creating consistent employment opportunities in high-value sectors throughout the region.
Oklahoma achieves a 3.1 percent unemployment rate, demonstrating successful economic diversification beyond its traditional oil and gas foundation to include aerospace, biotechnology, and renewable energy sectors. The state has invested significantly in workforce development and infrastructure to support business expansion and attraction initiatives. Oklahoma’s unemployment rate reflects the balance between traditional energy industries and emerging technology sectors that provide multiple employment pathways. The state’s central location and competitive business costs continue to attract companies seeking expansion opportunities, maintaining stable employment levels across diverse industries.
Wisconsin maintains a 3.1 percent unemployment rate, reflecting its strong manufacturing base combined with growing healthcare, technology, and agricultural sectors. The state benefits from its skilled workforce and strategic location for transportation and manufacturing operations serving national markets. Wisconsin’s unemployment rate demonstrates the success of its economic development policies that support both traditional industries and emerging sectors. The state’s investment in education and workforce training programs ensures employers have access to qualified workers, maintaining competitive employment levels across urban and rural areas.
Maine records a 3.2 percent unemployment rate, supported by its diverse economy encompassing fishing, agriculture, manufacturing, tourism, and growing technology sectors. The state has successfully leveraged its natural resources and scenic attractions while developing modern industries that attract businesses seeking quality locations. Maine’s unemployment rate reflects successful efforts to retain young workers and attract new residents through economic development initiatives. The state’s focus on sustainable industries and quality of life benefits continues to support employment growth across multiple sectors throughout coastal and inland regions.
Utah achieves a 3.3 percent unemployment rate, demonstrating continued strength in its diverse economy built on technology, manufacturing, financial services, and tourism. The state benefits from business-friendly policies, excellent infrastructure, and a highly educated workforce that attracts companies across multiple industries. Utah’s unemployment rate reflects its position as a regional hub for technology companies and financial services operations. The state’s strategic investments in education and infrastructure support sustained economic growth, maintaining low unemployment levels despite rapid population growth and business expansion throughout the Wasatch Front region.
Wyoming maintains a 3.3 percent unemployment rate, reflecting ongoing economic diversification efforts beyond traditional mining and energy production to include tourism, agriculture, and emerging technology sectors. The state has worked to stabilize its economy against commodity price fluctuations through strategic economic development initiatives. Wyoming’s unemployment rate demonstrates the benefits of its natural resource wealth while building capacity in other sectors. The state’s low population density and business-friendly policies continue to attract companies seeking expansion opportunities, providing employment stability across both traditional and emerging industries.
Georgia holds a 3.4 percent unemployment rate, supported by its diverse economy encompassing logistics, manufacturing, technology, agriculture, and film production. The state benefits from excellent transportation infrastructure and strategic location for international trade operations. Georgia’s unemployment rate reflects successful economic development policies that have attracted major corporations and international businesses to the Atlanta metropolitan area and throughout the state. The state’s investment in workforce development and infrastructure continues to support business growth and employment expansion across multiple sectors and geographic regions.
Maryland achieves a 3.4 percent unemployment rate, demonstrating strength in its economy built on government services, biotechnology, cybersecurity, and professional services. The state benefits from proximity to Washington, DC, and major metropolitan areas while maintaining diverse industry representation. Maryland’s unemployment rate reflects its highly educated workforce and strategic investments in technology and healthcare sectors. The state’s focus on innovation and research, supported by world-class universities and research institutions, continues to attract businesses and create employment opportunities in high-value sectors throughout the region.
Minnesota maintains a 3.5 percent unemployment rate, reflecting its diverse economy encompassing manufacturing, healthcare, technology, agriculture, and financial services. The state benefits from excellent educational institutions, strong infrastructure, and business-friendly policies that support both large corporations and small businesses. Minnesota’s unemployment rate demonstrates the success of its economic development strategy that balances traditional industries with emerging sectors. The state’s commitment to workforce development and innovation continues to attract businesses seeking skilled labor and strategic locations for operations throughout the Twin Cities metropolitan area and greater Minnesota.
Indiana records a 3.6 percent unemployment rate, supported by its strong manufacturing base combined with growing logistics, healthcare, and technology sectors. The state benefits from central location, excellent transportation infrastructure, and competitive business costs that attract companies across multiple industries. Indiana’s unemployment rate reflects successful economic development policies that support both traditional manufacturing and emerging sectors. The state’s investment in workforce training and infrastructure development continues to provide employers with skilled workers and strategic advantages, maintaining stable employment levels across urban and rural areas throughout the state.
Tennessee achieves a 3.6 percent unemployment rate, demonstrating continued strength in its diverse economy built on manufacturing, healthcare, logistics, and entertainment industries. The state benefits from business-friendly policies, competitive costs, and excellent transportation infrastructure that supports business expansion and attraction initiatives. Tennessee’s unemployment rate reflects its strategic location for manufacturing and distribution operations serving national markets. The state’s investment in workforce development and infrastructure continues to attract major corporations seeking expansion opportunities, providing employment stability across multiple sectors and geographic regions throughout Middle Tennessee and beyond.
Virginia maintains a 3.6 percent unemployment rate, supported by its diverse economy encompassing government services, technology, manufacturing, agriculture, and military spending. The state benefits from proximity to Washington, DC, excellent educational institutions, and strategic location for East Coast operations. Virginia’s unemployment rate reflects its highly skilled workforce and successful economic development policies that attract businesses across multiple sectors. The state’s investment in technology and innovation, combined with strong traditional industries, continues to provide employment opportunities throughout the Hampton Roads, Northern Virginia, and Richmond metropolitan areas.
Arkansas holds a 3.7 percent unemployment rate, demonstrating economic strength built on manufacturing, agriculture, energy production, and growing technology sectors. The state benefits from business-friendly policies, competitive costs, and strategic location for transportation and logistics operations. Arkansas’s unemployment rate reflects successful economic development initiatives that have attracted major corporations and supported small business growth. The state’s investment in workforce development and infrastructure continues to provide employers with skilled workers and strategic advantages, maintaining stable employment levels across urban areas like Little Rock and rural communities throughout the state.
Florida achieves a 3.7 percent unemployment rate, supported by its diverse economy encompassing tourism, aerospace, agriculture, international trade, and rapidly growing technology sectors. The state benefits from year-round business climate, no state income tax, and strategic location for international commerce operations. Florida’s unemployment rate reflects continued population growth and business expansion across multiple metropolitan areas. The state’s investment in infrastructure and education continues to support economic growth and employment expansion, particularly in high-tech industries, financial services, and emerging sectors throughout Miami, Tampa, Orlando, Jacksonville, and other major metropolitan markets.
Idaho maintains a 3.7 percent unemployment rate, reflecting its growing economy built on agriculture, manufacturing, technology, and natural resource industries. The state has attracted businesses and residents seeking lower costs, business-friendly policies, and quality of life benefits. Idaho’s unemployment rate demonstrates successful economic diversification beyond traditional agricultural and mining sectors. The state’s strategic investments in education and infrastructure support business growth and employment expansion, particularly in the Boise metropolitan area and throughout the Treasure Valley, creating opportunities for both traditional and emerging industry sectors.
Iowa records a 3.7 percent unemployment rate, supported by its stable economy encompassing agriculture, manufacturing, renewable energy, and financial services. The state benefits from excellent transportation infrastructure, skilled workforce, and competitive business environment that supports diverse industry growth. Iowa’s unemployment rate reflects successful economic development policies that balance traditional agricultural strength with emerging sectors. The state’s leadership in renewable energy production and commitment to workforce development continue to attract businesses seeking strategic locations and skilled workers, maintaining employment stability across urban centers like Des Moines and Cedar Rapids.
North Carolina achieves a 3.7 percent unemployment rate, demonstrating strength in its diverse economy built on manufacturing, technology, finance, agriculture, and research industries. The state benefits from excellent universities, strategic location, and business-friendly policies that attract companies across multiple sectors. North Carolina’s unemployment rate reflects its successful transition from traditional textile and tobacco industries to high-tech and financial services. The state’s investment in education and research, particularly in the Research Triangle and Charlotte metropolitan areas, continues to support employment growth in high-value sectors while maintaining strength in traditional industries.
West Virginia maintains a 3.7 percent unemployment rate, reflecting ongoing economic diversification efforts beyond traditional coal mining to include natural gas, manufacturing, tourism, and technology sectors. The state has worked to stabilize its economy through strategic economic development initiatives and workforce retraining programs. West Virginia’s unemployment rate demonstrates resilience despite challenges in traditional industries. The state’s natural beauty and recreational opportunities support growing tourism sectors, while strategic investments in infrastructure and workforce development provide foundations for sustained economic growth and employment stability across both traditional and emerging industry sectors.
Connecticut holds a 3.8 percent unemployment rate, supported by its diverse economy encompassing financial services, manufacturing, healthcare, and technology sectors. The state benefits from highly educated workforce, proximity to major metropolitan markets, and established business infrastructure. Connecticut’s unemployment rate reflects ongoing efforts to retain businesses and attract new industries while maintaining strength in traditional sectors. The state’s investment in innovation and technology, combined with excellent educational institutions, continues to support employment opportunities in high-value sectors throughout the Hartford, New Haven, and Fairfield County areas.
Kansas achieves a 3.8 percent unemployment rate, demonstrating economic stability built on agriculture, manufacturing, energy production, and growing technology sectors. The state benefits from central location, competitive business costs, and excellent transportation infrastructure supporting diverse industry needs. Kansas’s unemployment rate reflects successful economic development policies that support both traditional agricultural strength and emerging sectors. The state’s investment in education and workforce development continues to provide employers with skilled workers, maintaining stable employment levels across urban centers like Wichita and Topeka while supporting rural economic development throughout agricultural regions.
Mississippi maintains a 4.0 percent unemployment rate, reflecting continued economic development efforts focused on manufacturing, agriculture, energy production, and emerging technology sectors. The state has attracted businesses through competitive incentive programs and strategic investments in workforce development. Mississippi’s unemployment rate demonstrates progress in economic diversification and job creation initiatives. The state’s investment in education and infrastructure continues to support business attraction and expansion efforts, particularly in manufacturing and logistics sectors, while maintaining strength in traditional agricultural and energy industries throughout both Delta and Gulf Coast regions.
New York records a 4.0 percent unemployment rate, supported by its diverse economy encompassing finance, technology, healthcare, manufacturing, and tourism sectors. The state benefits from global business connections, excellent infrastructure, and highly skilled workforce concentrated in major metropolitan areas. New York’s unemployment rate reflects ongoing economic recovery and adaptation following pandemic challenges. The state’s investment in technology and innovation, combined with traditional industry strengths, continues to provide employment opportunities throughout New York City, Albany, Buffalo, and Rochester metropolitan areas while supporting rural economic development initiatives upstate.
Pennsylvania achieves a 4.0 percent unemployment rate, demonstrating strength in its diverse economy built on manufacturing, healthcare, energy production, agriculture, and technology sectors. The state benefits from excellent transportation infrastructure, skilled workforce, and strategic location for East Coast operations. Pennsylvania’s unemployment rate reflects successful economic development policies that support both traditional industries and emerging sectors. The state’s investment in workforce development and infrastructure continues to attract businesses and support employment growth, particularly in Philadelphia and Pittsburgh metropolitan areas while maintaining economic stability throughout rural Pennsylvania communities.
Texas maintains a 4.0 percent unemployment rate, supported by its massive and diverse economy encompassing energy, technology, manufacturing, agriculture, and aerospace industries. The state benefits from business-friendly policies, no state income tax, and strategic location for national and international operations. Texas’s unemployment rate reflects continued business expansion and population growth across multiple metropolitan areas. The state’s investment in infrastructure and education continues to support economic growth and employment expansion, particularly in Houston, Dallas-Fort Worth, Austin, and San Antonio metropolitan areas while maintaining strength in rural agricultural and energy-producing regions.
Arizona holds a 4.1 percent unemployment rate, demonstrating continued economic growth built on technology, manufacturing, tourism, agriculture, and aerospace industries. The state benefits from business-friendly climate, strategic location, and growing population that attracts businesses across multiple sectors. Arizona’s unemployment rate reflects successful economic development policies and infrastructure investments that support business expansion. The state’s focus on technology and innovation, combined with traditional industry strengths, continues to provide employment opportunities throughout Phoenix and Tucson metropolitan areas while supporting economic development in rural communities across the state.
Delaware achieves a 4.1 percent unemployment rate, supported by its economy built on financial services, chemical manufacturing, agriculture, and tourism sectors. The state benefits from business-friendly incorporation laws, strategic location, and excellent infrastructure supporting diverse business needs. Delaware’s unemployment rate reflects its role as corporate headquarters location and regional business center. The state’s investment in workforce development and strategic economic initiatives continues to attract businesses and support employment growth, particularly in Wilmington and Dover areas while maintaining economic stability throughout smaller communities across the First State.
Missouri maintains a 4.1 percent unemployment rate, reflecting its diverse economy encompassing manufacturing, agriculture, transportation, healthcare, and technology sectors. The state benefits from central location, excellent transportation infrastructure, and competitive business environment supporting diverse industry growth. Missouri’s unemployment rate demonstrates successful economic development policies that balance traditional industries with emerging sectors. The state’s investment in workforce development and infrastructure continues to support business growth and employment expansion, particularly in St. Louis and Kansas City metropolitan areas while maintaining economic stability throughout rural agricultural and manufacturing communities.
New Mexico records a 4.2 percent unemployment rate, supported by its economy built on energy production, technology, aerospace, agriculture, and tourism sectors. The state benefits from federal government spending, research institutions, and strategic location for southwestern regional operations. New Mexico’s unemployment rate reflects ongoing economic development efforts and workforce training initiatives. The state’s investment in education and technology, combined with traditional industry strengths in energy and agriculture, continues to provide employment opportunities throughout Albuquerque and Santa Fe areas while supporting economic development in rural communities across the state.
South Carolina achieves a 4.2 percent unemployment rate, demonstrating continued strength in its diverse economy built on manufacturing, agriculture, tourism, and growing technology sectors. The state benefits from business-friendly policies, excellent port facilities, and strategic location for southeastern regional operations. South Carolina’s unemployment rate reflects successful economic development initiatives that have attracted major international manufacturers. The state’s investment in workforce development and infrastructure continues to support business expansion and employment growth, particularly in Charleston, Columbia, and Greenville areas while maintaining economic stability throughout rural communities across the Palmetto State.
Colorado maintains a 4.5 percent unemployment rate, supported by its diverse economy encompassing technology, aerospace, energy, tourism, and agriculture sectors. The state benefits from highly educated workforce, excellent quality of life, and strategic location for western regional operations. Colorado’s unemployment rate reflects continued business attraction and population growth despite some economic cooling. The state’s investment in innovation and technology, combined with traditional industry strengths, continues to provide employment opportunities throughout Denver, Colorado Springs, and Fort Collins areas while supporting economic development in mountain and rural communities throughout the state.
Louisiana holds a 4.5 percent unemployment rate, demonstrating ongoing economic development efforts focused on energy production, manufacturing, agriculture, tourism, and emerging technology sectors. The state benefits from strategic port facilities, energy infrastructure, and cultural attractions supporting diverse economic activities. Louisiana’s unemployment rate reflects recovery efforts and economic diversification initiatives following hurricane impacts and energy sector challenges. The state’s investment in workforce development and infrastructure continues to support business attraction and expansion efforts, particularly in New Orleans and Baton Rouge areas while maintaining traditional strengths in petrochemical and agricultural industries.
Washington achieves a 4.5 percent unemployment rate, supported by its diverse economy built on technology, aerospace, agriculture, manufacturing, and international trade sectors. The state benefits from excellent port facilities, highly skilled workforce, and strategic location for Pacific Rim trade operations. Washington’s unemployment rate reflects continued strength in technology and aerospace industries despite some sector adjustments. The state’s investment in innovation and infrastructure continues to support business growth and employment expansion, particularly in Seattle and Spokane metropolitan areas while maintaining economic stability throughout agricultural and manufacturing communities across the state.
Illinois maintains a 4.6 percent unemployment rate, reflecting its diverse economy encompassing manufacturing, agriculture, transportation, financial services, and technology sectors. The state benefits from central location, excellent transportation infrastructure, and major metropolitan market access supporting business operations. Illinois’s unemployment rate demonstrates ongoing economic challenges and recovery efforts in both urban and rural areas. The state’s investment in workforce development and infrastructure continues to support business retention and attraction efforts, particularly in Chicago metropolitan area while addressing economic development needs throughout agricultural and manufacturing communities across downstate Illinois regions.
Alaska records a 4.8 percent unemployment rate, supported by its economy built on oil production, fishing, tourism, military spending, and mining sectors. The state faces ongoing challenges from commodity price fluctuations and seasonal employment patterns affecting overall unemployment levels. Alaska’s unemployment rate reflects the cyclical nature of its resource-dependent economy and ongoing efforts to diversify economic activities. The state’s investment in infrastructure and workforce development continues to support traditional industries while exploring opportunities in emerging sectors, particularly in Anchorage and Fairbanks areas while maintaining economic stability in rural communities throughout the vast state.
Massachusetts achieves a 4.8 percent unemployment rate, demonstrating strength in its diverse economy built on technology, healthcare, education, financial services, and manufacturing sectors. The state benefits from world-class educational institutions, highly skilled workforce, and excellent infrastructure supporting innovation-based industries. Massachusetts’s unemployment rate reflects continued leadership in biotechnology and high-tech sectors despite some economic adjustments. The state’s investment in innovation and education continues to support business growth and employment expansion, particularly in Boston and Cambridge areas while maintaining economic stability throughout western Massachusetts and other regional communities.
Rhode Island maintains a 4.8 percent unemployment rate, supported by its economy encompassing manufacturing, healthcare, tourism, education, and financial services sectors. The state benefits from strategic coastal location, excellent educational institutions, and proximity to major metropolitan markets. Rhode Island’s unemployment rate reflects ongoing economic development efforts and business attraction initiatives. The state’s investment in workforce development and infrastructure continues to support traditional industries while exploring opportunities in emerging sectors, particularly in Providence metropolitan area while maintaining economic stability throughout coastal communities and rural areas across the Ocean State.
Kentucky holds a 4.9 percent unemployment rate, demonstrating economic development efforts focused on manufacturing, agriculture, energy production, and emerging technology sectors. The state benefits from central location, competitive business costs, and excellent transportation infrastructure supporting diverse industry needs. Kentucky’s unemployment rate reflects ongoing economic transition from traditional coal mining toward diversified manufacturing and service sectors. The state’s investment in workforce development and infrastructure continues to attract businesses and support employment growth, particularly in Louisville and Lexington areas while addressing economic development challenges throughout Appalachian regions and rural communities across the commonwealth.
New Jersey achieves a 4.9 percent unemployment rate, supported by its diverse economy built on financial services, manufacturing, pharmaceuticals, technology, and transportation sectors. The state benefits from strategic location between major metropolitan markets, excellent infrastructure, and highly educated workforce. New Jersey’s unemployment rate reflects ongoing efforts to retain businesses and attract new industries while managing high operating costs. The state’s investment in innovation and infrastructure continues to support employment opportunities in high-value sectors throughout Newark, Jersey City, and Trenton areas while maintaining economic stability in suburban and rural communities throughout the Garden State.
Ohio maintains a 5.0 percent unemployment rate, reflecting its diverse economy encompassing manufacturing, agriculture, healthcare, technology, and energy sectors. The state benefits from central location, excellent transportation infrastructure, and competitive business environment supporting diverse industry growth. Ohio’s unemployment rate demonstrates ongoing economic recovery and development efforts across both urban and rural areas. The state’s investment in workforce development and infrastructure continues to support business retention and attraction initiatives, particularly in Columbus, Cleveland, and Cincinnati metropolitan areas while addressing economic development needs throughout agricultural and manufacturing communities across the Buckeye State.
Oregon records a 5.0 percent unemployment rate, supported by its economy built on technology, manufacturing, agriculture, forestry, and tourism sectors. The state benefits from highly educated workforce, excellent quality of life, and strategic location for Pacific Coast operations. Oregon’s unemployment rate reflects continued challenges in certain sectors despite strength in technology and manufacturing industries. The state’s investment in innovation and sustainable development continues to support business growth and employment expansion, particularly in Portland metropolitan area while maintaining economic stability throughout rural communities and coastal regions across the state.
Michigan achieves a 5.3 percent unemployment rate, demonstrating ongoing economic recovery efforts focused on automotive manufacturing, technology, agriculture, and emerging sectors. The state continues rebuilding from historical manufacturing challenges while diversifying its economic base. Michigan’s unemployment rate reflects both continued strength in automotive industries and ongoing efforts to develop new economic sectors. The state’s investment in workforce development and infrastructure continues to support business retention and attraction efforts, particularly in Detroit, Grand Rapids, and Ann Arbor areas while addressing economic development needs throughout rural communities and former manufacturing centers across the state.
Nevada maintains a 5.4 percent unemployment rate, supported by its economy built on tourism, mining, gaming, technology, and logistics sectors. The state continues recovering from pandemic impacts on tourism industries while developing economic diversification initiatives. Nevada’s unemployment rate reflects the cyclical nature of its tourism-dependent economy and ongoing efforts to attract businesses across multiple sectors. The state’s investment in infrastructure and workforce development continues to support traditional industries while exploring opportunities in emerging sectors, particularly in Las Vegas and Reno areas while maintaining economic stability throughout rural mining and agricultural communities across the Silver State.
California holds a 5.5 percent unemployment rate, demonstrating the complexity of its massive economy encompassing technology, entertainment, agriculture, manufacturing, and international trade sectors. The state faces ongoing challenges from high operating costs, regulatory environment, and economic transitions affecting overall employment levels. California’s unemployment rate reflects both continued strength in technology and innovation sectors and challenges in traditional industries and certain regional markets. The state’s investment in innovation and infrastructure continues to support business growth in high-value sectors throughout Los Angeles, San Francisco, and San Diego areas while addressing economic development needs throughout Central Valley agricultural regions.
District of Columbia records the highest unemployment rate at 6.0 percent, reflecting the unique characteristics of the nation’s capital economy built primarily on federal government, professional services, tourism, and education sectors. The district faces ongoing challenges from federal spending patterns and government employment fluctuations affecting local economic conditions. DC’s unemployment rate demonstrates the concentration of government-related employment and sensitivity to federal policy changes. The district’s investment in economic development and infrastructure continues to support business attraction efforts while managing the complex relationship between federal government operations and private sector employment opportunities throughout the metropolitan region.
Metropolitan Area Employment Trends in the US 2025
| Metropolitan Area Category | Areas with Rate Increases | Areas with Rate Decreases | Unchanged Areas | Total Areas |
|---|---|---|---|---|
| All Metropolitan Areas | 217 areas | 147 areas | 23 areas | 387 areas |
| Large Metro Areas (1M+) | 32 areas | 21 areas | 3 areas | 56 areas |
| Nonfarm Employment Growth | 30 areas | 357 essentially unchanged | N/A | 387 areas |
| Year-over-Year Changes | 255 areas increased | 97 areas decreased | 35 unchanged | 387 areas |
Data Source: U.S. Bureau of Labor Statistics, Metropolitan Area Employment and Unemployment, July 2025
Metropolitan local area unemployment statistics in 2025 present a mixed picture of regional economic performance, with significant variations among the nation’s 387 metropolitan areas. The data reveals that 217 areas experienced higher unemployment rates compared to the previous year, while 147 areas saw improvements, and 23 areas remained unchanged. This distribution suggests that while some metropolitan regions continue to thrive, a majority are facing employment challenges that require targeted policy interventions.
Among the 56 large metropolitan areas with populations exceeding one million, the employment landscape shows similar diversity. 32 large metropolitan areas experienced unemployment rate increases, while 21 saw decreases and 3 remained unchanged. Notable performance variations include Cleveland, Ohio, which experienced the largest rate increase at +0.8 percentage points, while Chicago-Naperville-Elgin, Illinois-Indiana recorded the most significant improvement with a -1.0 percentage point decline. These local area unemployment statistics highlight how even major economic centers face distinct regional challenges and opportunities that require localized economic development strategies.
Monthly Employment Changes in the US 2025
| Month | Nonfarm Payroll Change | Unemployment Rate | States with Increases | States Unchanged |
|---|---|---|---|---|
| June 2025 | Revised downward | 4.2% | 1 state higher | 47 states stable |
| July 2025 | +4 states employment growth | 4.2% | 1 state higher | 47 states stable |
| August 2025 | +22,000 jobs | 4.3% | Limited increases | Most states stable |
Data Source: U.S. Bureau of Labor Statistics, Monthly Employment Reports, 2025
Monthly tracking of local area unemployment statistics throughout 2025 reveals a pattern of modest employment growth and remarkable stability across most states. August 2025 data shows that nonfarm payroll employment increased by 22,000 jobs nationally, though this represents a slower pace of job creation compared to historical averages. The unemployment rate edged slightly higher to 4.3 percent in August, indicating some cooling in labor market conditions.
The consistent pattern of 47 states maintaining stable unemployment rates across multiple months demonstrates the maturity of regional labor markets and suggests that most areas have reached equilibrium between labor supply and demand. However, the modest job gains and slight uptick in unemployment rates indicate that local area unemployment statistics may be signaling a transition to a more moderate pace of economic expansion, requiring continued monitoring of regional employment trends.
Industry-Specific Employment Patterns in the US 2025
| Industry Sector | July 2025 Employment Change (thousands) | June 2025 Change | 3-Month Average |
|---|---|---|---|
| Health Care and Social Assistance | +73.3 | +59.0 | +68.3 |
| Private Education and Health Services | +79.0 | +52.0 | +67.0 |
| Financial Activities | +15.0 | -2.0 | +6.7 |
| Retail Trade | +15.7 | -14.3 | -4.5 |
| Leisure and Hospitality | +5.0 | +4.0 | +12.0 |
| Transportation and Warehousing | +3.6 | +0.6 | +1.2 |
| Construction | +2.0 | +3.0 | +2.3 |
| Other Services | +2.0 | -5.0 | +2.3 |
| Government | -10.0 | +11.0 | -16.3 |
| Professional and Business Services | -14.0 | -11.0 | -16.0 |
| Manufacturing | -11.0 | -15.0 | -12.3 |
| Mining and Logging | -4.0 | -1.0 | -3.0 |
| Information | -2.0 | 0.0 | 0.0 |
Data Source: U.S. Bureau of Labor Statistics, Employment Situation Summary Table B, July 2025
Industry-specific analysis of local area unemployment statistics reveals significant sectoral variations in employment patterns across the United States during 2025. Health Care and Social Assistance leads job creation with +73.3 thousand positions added in July 2025, maintaining consistent growth that directly reduces local area unemployment in regions with expanding healthcare infrastructure. The broader Private Education and Health Services sector added +79.0 thousand jobs, representing the strongest employment growth among all major industry categories and providing crucial employment opportunities across metropolitan and rural areas nationwide.
Professional and Business Services experienced significant job losses with -14.0 thousand positions eliminated in July, continuing a troubling trend that impacts local area unemployment statistics in major metropolitan areas where these services concentrate. Manufacturing also declined by -11.0 thousand jobs, affecting traditional manufacturing regions in the Midwest and South, while Government employment decreased by -10.0 thousand positions, primarily impacting areas with significant federal installations and contributing to regional unemployment challenges in affected localities.
Future Outlook
The trajectory of local area unemployment statistics in the United States moving into late 2025 and beyond suggests a period of continued regional differentiation and moderate national employment growth. Current data trends indicate that the 4.2 to 4.3 percent national unemployment rate may persist as the new equilibrium, with regional variations continuing to reflect local economic conditions, industry concentrations, and demographic factors. States and metropolitan areas with diversified economies and growing sectors like healthcare, technology, and professional services are likely to maintain lower local area unemployment rates.
Economic indicators suggest that the pace of job creation may continue to moderate, with monthly gains similar to the +22,000 recorded in August 2025 becoming more common. This slower growth pattern may result in more competitive local labor markets and could lead to gradual increases in local area unemployment statistics in regions heavily dependent on sectors experiencing contraction. However, the stability demonstrated by 47 states maintaining consistent unemployment rates suggests that most regional economies have achieved sustainable employment levels that can weather moderate economic fluctuations without dramatic increases in local unemployment rates.
Disclaimer: The data research report we present here is based on information found from various sources. We are not liable for any financial loss, errors, or damages of any kind that may result from the use of the information herein. We acknowledge that though we try to report accurately, we cannot verify the absolute facts of everything that has been represented.
