Tennessee Unemployment Rate Outperforms U.S. Average

  • Thursday, August 14, 2025
After several months of steady unemployment rates, newly released data for July reflects a slight change in Tennessee’s jobless rate, according to the Tennessee Department of Labor and Workforce Development.

The state’s seasonally adjusted unemployment rate in July was 3.6 percent, an increase of one-tenth of a percentage point over June’s rate. One year ago, the rate was 3.4 percent.

Tennessee’s rate remains well below the U.S. rate, which was 4.2 percent in July and unchanged from a year ago.

Employers across the state added 21,500 nonfarm jobs to their payrolls over the past year.
The biggest increases were in the Government sector. The Professional, Scientific, and Technical Services sector had the next-biggest gains, followed by the Leisure and Hospitality sector.

Over the past month, nonfarm employment decreased by 900 jobs, with the biggest declines in Private Education and Health Services, followed by the Leisure and Hospitality sector and the Nondurable Goods Manufacturing sector.

Detailed information about the July 2025 unemployment data is available here.

Officials said, "Job seekers can take their first step toward a fulfilling career by signing up for an apprenticeship program.

"Apprenticeships are proven earn-while-you-learn training programs. Apprentices receive supervised on-the-job training and related education, allowing employers to build a pipeline of highly skilled workers.

Tennessee’s apprenticeship program has seen explosive growth in recent years. There are now 9,500 total apprentices and more than 470 active programs spanning a wide range of high-demand careers.

Find an active program and get started today."

Tennessee will release the July 2025 county unemployment data for all 95 counties on Thursday, Aug. 21 at 1:30 p.m. CDT.
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