State-Level Employment Situation: June 2026

State labor markets cooled in June 2026 as national job growth slowed. While payroll employment grew in 33 states and the District of Columbia, hiring activity moderated compared to previous months. The Bureau of Labor Statistics reported a total national gain of 57,000 jobs, a decrease from the 129,000 positions added in May.

Texas led the country in job gains for the month, adding 43,400 positions. Minnesota and Florida also showed growth. However, 17 states reported losses, with Georgia facing a decline of 10,100 jobs. West Virginia saw the largest percentage drop at 1.2 percent, while New Hampshire led percentage gains at 0.6 percent.

Construction remains a specific area of focus within the broader labor data. Nationwide, the construction sector added 11,000 jobs in June. Texas saw the strongest growth in this sector, adding 5,200 workers, while California reported a loss of 4,100 construction jobs. Over the past year, national construction employment increased by 64,000 jobs, representing a 0.8 percent gain.

Unemployment rates varied widely across the country. South Dakota maintained the lowest unemployment rate at 2.0 percent. In contrast, the District of Columbia reported the highest rate at 6.0 percent, a figure influenced by federal workforce changes occurring throughout 2025. Several states including California, Illinois, and Nevada reported unemployment rates at or above 5.0 percent.

These figures illustrate the current differences in economic activity across states. While some regions continue to add jobs, others face contraction. Industry sectors such as construction show varying results depending on state-level conditions. Tracking these shifts provides a view of how the national economy is adjusting to current labor market demands.