OLYMPIA – Washington’s labor market increased by an estimated 21,100 jobs (seasonally adjusted) in July 2026 while the unemployment rate decreased slightly to 5.0%.
“July marks a third consecutive month of job growth statewide,” said Anneliese Vance-Sherman, chief labor economist for the Employment Security Department. “Private sector job growth was widespread, with the largest gains showing in the service economy.”
Vance-Sherman added, “The unemployment rate dropped in July following a year-and-a-half of incremental increases.”
From July 2025 to July 2026, the number of jobs in Washington increased by 16,100 jobs – a 0.4% increase. During May (10,000), June (9,400) and July (21,100), seasonally adjusted jobs increased by 40,500.
In July, private sector jobs collectively increased by 22,500, while the public sector decreased by an estimated 1,400 jobs. The largest one-month sector-level gains in private industry occurred in education and health services (up 7,300), leisure and hospitality (up 2,700) and professional and business services (up 2,500).
Employment Security paid unemployment benefits to 61,013 people in July, a decrease of 129 from the previous month. Decreases in unemployment claims primarily came from construction, accommodation and food services, and transportation and warehousing.
Learn more about Washington’s labor economy with Employment Security’s monthly employment reports
Every month, the Employment Security Department publishes preliminary seasonally adjusted estimates for the previous month’s job changes and unemployment. The agency also publishes confirmed data for the month before last.
Go to the Employment Security website to find:
- The monthly employment report and publication schedule.
- More labor market information and tools.
- Contact information for labor economists.
National unemployment rate
The national unemployment rate decreased slightly from 4.2% in June 2026 to 4.1% in July 2026. For comparison, the national unemployment rate (revised) for July 2025 was 4.3%.
Labor force
From June 2026 to July 2026, the number of people who were unemployed statewide decreased from 209,438 to 202,908. In the Seattle/Bellevue/Everett region, the number of people who were unemployed decreased from 120,295 to 117,019 during the same time.
In July, the state’s labor force was 4,048,435 – a decrease of 2,196 people from last July. In the Seattle/Bellevue/Everett region, the labor force decreased by 2,278 people during the same period.
Labor force is the number of employed and unemployed people over the age of 16. Layoffs and labor force participation are not necessarily connected. When people are laid off but still seeking work, they remain a part of the labor force. A drop in the labor force means people have left work and haven’t been seeking employment for more than four weeks.
Eleven major industry sectors expanded, two contracted in July
Private sector employment increased by 22,500 jobs from June 2026 to July 2026. Government employment decreased by 1,400 during the same time.
The largest sector-level gains in the private industry were in education and health services (up 7,300 jobs); leisure and hospitality (up 2,700); and retail trade and professional and business services (each up 2,500).
- Education and health services employment gains were widespread with the largest gains observed in health services (up 4,800). Within that sector, ambulatory health care services (up 1,900) and social assistance (up 1,300) added the most jobs.
- The deepest one-month sector losses were observed in government (down 1,400) and mining and logging (down 100).
- Losses in government were widespread, showing up at the federal, state and local levels. The deepest one-month losses showed up in state government (down 700) and local government (down 600).
Table 1: Washington’s total jobs (12-month overview)
| Month | Total jobs (losses or gains) | Unemployment rate | Previous year’s unemployment rate |
| July 2026 | +21,100* | 5.0%* | 4.6% |
| June 2026 | +9,400 | 5.2% | 4.5% |
| May 2026 | +10,000 | 5.2% | 4.5% |
| April 2026 | -5,100 | 5.2% | 4.5% |
| March 2026 | -10,000 | 5.1% | 4.5% |
| February 2026 | -6,700 | 5.1% | 4.4% |
| January 2026 | +13,600 | 5.0% | 4.4% |
| December 2025 | +10,200 | 4.9% | 4.3% |
| November 2025 | -5,600 | 4.9% | 4.3% |
| October 2025 | -12,200 | N.A. | 4.4% |
| September 2025 | -8,600 | 4.7% | 4.4% |
| August 2025 | +800 | 4.6% | 4.5% |
| July 2025 | -7,400 | 4.6% | 4.5% |
* The most recent month reports preliminary data. Past months report data revised from their original publication. This is a standard practice as data matures.