January 2026
Released April 08, 2026
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United States
Employment snapshot
In January, among the 50 states and the District of Columbia unemployment fell in 9, rose in 22, and remained unchanged in 20.
The highest unemployment rate was 6.7 percent in District of Columbia, and the lowest was 2.2 percent in Hawaii and South Dakota. Nationally, the unemployment rate fell by 0.1 percentage point to 4.3 percent.
In January, payroll jobs rose in 45 states and fell in 6. The largest payroll job percent increase was 0.5 percent in California and North Dakota. The largest payroll job percent decline was 0.7 percent in District of Columbia.
Tennessee
Employment snapshot
In January, Tennessee added 7,200 net payroll jobs and the unemployment rate fell by 0.1 percentage point to 3.5 percent. In the prior month, Tennessee added 4,200 net payroll jobs.
Over the past 12 months, Tennessee added 5,900 net payroll jobs and the unemployment rate remained unchanged.
Nationally, nonfarm payrolls rose by 178,000 in March, or 0.1 percent. Tennessee is tied for 21st in the nation for percentage gain in nonfarm payroll employment over the past 12 months.
In January, Tennessee’s private sector added 8,100 net private payroll jobs, and over the past 12 months it added 4,400 private payroll jobs. In the prior month, Tennessee added 4,000 net private payroll jobs.
In January, employment in Tennessee fell by 3,730, and over the past 12 months it rose by 35,199.
Tennessee’s labor force participation rate fell to 60.5 percent in January from 60.6 percent and ranks 39th in the nation. In the past 12 months, the labor force participation rate has risen by 0.1 percentage points.
Tennessee
Payroll employment
Tennessee added 7,200 net payroll jobs, or 0.2 percent, on a seasonally adjusted basis during January. In the prior month, Tennessee added 4,200 jobs. Tennessee nonfarm payroll employment has increased in 7 of the past 12 months.
Nationally, nonfarm payrolls rose by 178,000 in March, or 0.1 percent. Tennessee is tied for 21st in the nation for percentage gain in nonfarm payroll employment over the past 12 months.
Tennessee added 8,100 private sector jobs, or 0.3 percent, on a seasonally adjusted basis during January. In the prior month, Tennessee added 4,000 jobs. Tennessee private sector payroll employment has increased in 7 of the past 12 months.
Nationally, private sector payroll jobs rose by 186,000 jobs in March, or 0.1 percent. Tennessee is tied for 25th in the nation for percentage gain in private sector payroll employment over the past 12 months.
From December 2025 to January 2026:
- The best performing sectors were Private Education and Health Services (+3,200) and Professional and Business Services (+1,600).
- The worst performing sectors were Construction (-1,200) and State and Local Government (-700).
From January 2025 to January 2026:
- The best performing sectors were Private Education and Health Services (+11,600) and State and Local Government (+6,000).
- The worst performing sectors were Trade, Transportation, and Utilities (-8,300) and Manufacturing (-6,800).
Tennessee
Labor force
The labor force participation rate is the percentage of the civilian noninstitutionalized population age 16 and older who are employed or actively looking for work.
The labor force participation rate in Tennessee fell to 60.5 percent in January from 60.6 percent in the prior month.
Tennessee ranks 39th in the nation.
The 10-year high for the labor force participation rate in Tennessee was 61.9 percent occurring in April 2019, and the 10-year low was 58.8 percent in April 2020.
The national labor force participation rate fell by 0.1 percentage points to 61.9 percent in March.