State Labor Markets Hold Steady
Jobless claims fall to 197,000 as state labor markets show strong gains
Anonymous
Key Points
1
Although hiring has picked up from 2025, employers have added an average of 80,000 jobs a month so far this year, compared with 9,700 per month in 2025. That pace remains below the 166,000 monthly average in 2023 and 2024.
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Pennsylvania added 5,800 nonfarm jobs from July to August, with gains in seven of 11 industry supersectors; trade, transportation and utilities added 1,700 jobs.
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Mississippi’s jobs announcement followed Hitachi Energy’s plan to invest $528 million and create 654 jobs in Copiah County—a project Gov. Tate Reeves described as the largest investment in the company’s worldwide history.
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Alabama’s prime-age labor-force participation rate held at 79.5% in August. Over the year, wage and salary employment rose by 22,100, led by gains in leisure and hospitality (+11,100), professional and business services (+6,000), and private education and health services (+5,100).
U.S. jobless claims fell to 197,000 in the week ending September 19, marking the lowest level since mid-July, according to Labor Department data. The drop signals employers are holding steady on layoffs even as hiring remains modest across the country. Economists predict September's jobs report will show 52,500 new positions and unemployment holding at 4.1%.
State labor markets are strengthening despite the sluggish national hiring pace. Pennsylvania's unemployment rate fell to 3.7% with employment and the civilian labor force both hitting record levels. Mississippi reported record nonfarm employment near 1.2 million, buoyed by Hitachi Energy's planned $528 million investment that will create 654 jobs in Copiah County.
A Hiring Slowdown From Last Year's Pace
Job growth this year has picked up from 2025's tepid pace, but remains well below historical norms. Department of Labor data shows employers added an average of 80,000 jobs per month so far in 2026, compared to just 9,700 per month last year. However, this still trails the 166,000 monthly average recorded in 2023 and 2024, signaling continued caution among employers.
Pennsylvania Gains Jobs in Seven Industries
Pennsylvania's labor market posted solid gains from July to August, adding 5,800 nonfarm jobs overall. Seven of the state's 11 industry sectors saw employment growth. The trade, transportation and utilities sector led with 1,700 new jobs, reflecting steady demand across the supply chain and logistics sectors.
Mississippi Announces Record Investment and Employment
Mississippi hit a milestone with record nonfarm employment reaching nearly 1.2 million workers and unemployment at 3.4%. Governor Tate Reeves hailed Hitachi Energy's commitment to invest $528 million in Copiah County as the largest investment in the company's worldwide history. The project will directly create 654 jobs and signal confidence in the state's workforce.
Alabama Wages Rise While Workforce Shifts
Alabama's unemployment rate remained steady at 3.4% in August, while average weekly wages reached a new high. Yet employment and labor force participation both declined from a year earlier. The prime-age labor-force participation rate held firm at 79.5%, with gains concentrated in leisure and hospitality (+11,100 jobs), professional services (+6,000), and education and health (+5,100).
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