Arkansas’ unemployment rate rose slightly in August as more residents entered the labor force, the state Department of Commerce said Friday.
The seasonally adjusted jobless rate increased to 3.8%, up a tenth of a percentage point from July’s 3.7%. The U.S. unemployment rate also edged higher by the same margin, reaching 4.3% in August, according to the Bureau of Labor Statistics.
Arkansas’ civilian labor force grew by 2,480 last month, with 1,683 more people employed and 797 more unemployed actively seeking work. The state’s labor force participation rate held steady at 58.4%.
Compared with August 2024, employment in Arkansas has grown by 8,665, while the number of unemployed has risen by 4,889. The unemployment rate is three-tenths of a point higher than a year ago.
Nonfarm payroll jobs in Arkansas increased by 4,900 in August, largely driven by seasonal hiring tied to the start of the school year. Government jobs rose by 3,700, mostly in local education, while private education and health services added 1,500 positions.
Over the past year, the state has added 21,700 jobs. The biggest gains came in private education and health services, leisure and hospitality, trade-transportation-utilities, and manufacturing. Construction was the only major sector to post a decline, losing 1,900 jobs.
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