The third quarter of 2024 witnessed varied labor market conditions across the United States. Despite a slight rise in national unemployment rates, certain states continued to show strong employment growth while others faced challenges.
July 2024: Jobless rates rose across most states
In July 2024, unemployment rates rose in 13 states while decreasing in only 1 state. The national unemployment rate increased by 0.2 percentage points, reaching 4.3%, 0.8 percentage points higher than in July 2023.
In July 2024, South Dakota recorded the lowest unemployment rate at 2.0%, followed by Vermont and North Dakota, while Mississippi set a new record low at 2.7%. The District of Columbia had the highest unemployment rate at 5.5%, closely followed by Nevada at 5.4%. Overall, 28 states had lower unemployment rates than the national average of 4.3%, while 4 states and the District of Columbia had higher rates, and 18 states had rates similar to the national figure. Massachusetts, Michigan, Minnesota, and South Carolina saw the largest increases, while Connecticut experienced the only decrease.
States with statistically significant unemployment rate changes from June 2024 to July 2024, seasonally adjusted.
| State | June % | July % | Over-the-month change |
| Connecticut | 3.9 | 3.6 | -0.3 |
| Delaware | 4.0 | 4.1 | .1 |
| Georgia | 3.3 | 3.4 | .1 |
| Illinois | 3.3 | 3.1 | .2 |
| Indiana | 5.0 | 5.2 | .2 |
| Kansas | 3.8 | 4.0 | .2 |
| Massachusetts | 3.2 | 3.5 | .3 |
| Michigan | 4.1 | 4.4 | .3 |
| Minnesota | 2.9 | 3.2 | .3 |
| Missouri | 3.7 | 3.9 | .1 |
| Nevada | 5.2 | 5.4 | .2 |
| North Dakota | 2.1 | 2.3 | .1 |
| South Carolina | 3.6 | 3.9 | .3 |
| Utah | 3.0 | 3.2 | .2 |
In July 2024, nonfarm payroll employment increased in New York and Oregon, while Missouri saw a decrease. Employment remained largely unchanged in 47 states and the District of Columbia.
States with statistically significant employment changes from June 2024 to July 2024, seasonally adjusted.
| State | June | July | Over the month change – level | Over the month change % |
| Missouri | 3,068,000 | 3,045,600 | 22,400 | -0.7 |
| New York | 9,879,500 | 9,920,600 | 41,400 | .7 |
| Oregon | 1,981,000 | 1,989,500 | 8,500 | .4 |
August 2024: Mixed results with minimal national change
In August 2024, South Dakota again had the lowest unemployment rate at 2.0%, followed by Vermont and North Dakota. The District of Columbia had the highest rate at 5.7%, with Nevada at 5.5%.
Overall, 27 states had unemployment rates below the national average of 4.2%, while 4 states and the District of Columbia had higher rates, and 19 states had rates similar to the national figure. Compared to August 2023, unemployment rates rose in 25 states and with the District of Columbia and Rhode Island seeing the biggest increase. Arizona had the largest decrease, and 21 states had rates that were little changed over the year.
States with statistically significant unemployment rate changes from July 2024 to August 2024, seasonally adjusted.
| State | July % | August % | Over-the-month change % |
| Connecticut | 3.6 | 3.4 | -0.2 |
| District of Columbia | 5.5 | 5.7 | .2 |
| Georgia | 3.4 | 3.6 | .2 |
| Massachusetts | 3.5 | 3.7 | .2 |
| Minnesota | 3.2 | 3.3 | .1 |
| North Dakota | 2.2 | 2.3 | .1 |
| South Carolina | 3.9 | 4.3 | .4 |
| Utah | 3.2 | 3.3 | .1 |
In August 2024, nonfarm payroll employment increased in 4 states, decreased in 1 state, and remained largely unchanged in 45 states and the District of Columbia.
States with statistically significant employment changes from July 2024 to August 2024, seasonally adjusted.
| State | July | August | Over the month change – level | Over the month change % |
| Indiana | 3,281,700 | 3,301,500 | 19,800 | 0.6 |
| Minnesota | 3,013,400 | 3,027,800 | 14,400 | .5 |
| South Dakota | 467,800 | 464,700 | -3,100 | -.7 |
| Texas | 14,161,200 | 14,239,200 | 78,000 | .6 |
| Wisconsin | 3,035,700 | 3,047,300 | 11,600 | .4 |
September 2024
In September 2024, South Dakota had the lowest unemployment rate at 2.0%, followed by Vermont at 2.2% and North Dakota at 2.3%. The District of Columbia had the highest jobless rate at 5.7%, with Nevada close behind at 5.6%. In total, 23 states had unemployment rates below the national average of 4.1%, while 4 states and the District of Columbia had higher rates, and 23 states had rates similar to the national figure.
Unemployment rates increased in five states, with South Carolina and Utah seeing the largest rises, while Connecticut had the only decrease. Over the past year, 22 states and the District saw unemployment rate increases, with South Carolina and Rhode Island experiencing the largest jumps. Six states had over-the-year rate decreases, with Connecticut and Arizona showing the largest declines.
States with statistically significant unemployment rate changes from August 2024 to September 2024, seasonally adjusted.
| State | August % | September % | Over-the-month change % |
| Connecticut | 3.4 | 3.2 | -0.2 |
| Indiana | 4.2 | 4.3 | .1 |
| Montana | 3.2 | 3.3 | .1 |
| South Carolina | 4.3 | 4.5 | .2 |
| Tennessee | 3.1 | 3.2 | .1 |
| Utah | 3.3 | 3.5 | .2 |
In September 2024, nonfarm payroll employment increased in four states, decreased in one state, and remained essentially unchanged in 45 states and the District of Columbia.
States with statistically significant employment changes from August 2024 to September 2024, seasonally adjusted.
| State | August | September | Over the month change – level | Over the month change % |
| Arizona | 3,260,300 | 3,271,500 | 11,200 | 0.3 |
| Colorado | 2,997,000 | 3,009,700 | 12,700 | .4 |
| District of Columbia | 770,400 | 775,300 | 4,900 | .6 |
| Idaho | 873,400 | 879,200 | 5,800 | .7 |
| New Jersey | 4,373,900 | 4,393,100 | 19,200 | .4 |
| Rhode Island | 509,600 | 512,900 | 3,300 | .6 |
Why should recruitment companies know this?
States with low unemployment rates, like North and South Dakota, may present challenges in finding available talent due to tighter labor markets. In contrast, states like District of Columbia and Nevada, with higher unemployment rates, may offer more opportunities for talent acquisition but could also indicate economic challenges affecting job growth.
You can view Q2 2024 State-Level Unemployment data in our previous blog.