HARRISBURG, PA — Pennsylvania’s unemployment rate stood at 3.8% in January 2025, according to the latest report from the Department of Labor & Industry. This marks a slight rise of one-tenth of a percentage point from December, yet it remains below the national unemployment rate of 4.0%.
Compared to one year ago, the state’s unemployment rate is up marginally from the January 2024 rate of 3.7%. Nationally, unemployment increased by three-tenths of a percentage point over the past year. Despite the slight uptick, the state continues to demonstrate strong job market performance.
Labor Force Dynamics
Pennsylvania recorded a decline in its civilian labor force, which fell by 6,000 to 6,542,000 last month. This drop was driven by a reduction of 11,000 in resident employment, while unemployment figures increased by 4,000 over the same period.
On a positive note, the state achieved a record-high number of total nonfarm jobs for the ninth consecutive month, reaching 6,190,300 in January. Eight of the 11 industry supersectors saw job growth during the month, with the largest gains occurring in education and health services, which added 5,100 jobs.
Industry Highlights
Over the past year, Pennsylvania added 75,800 jobs across six supersectors. Education and health services led the way with an increase of 40,700 jobs, setting a record-high level for the sector. Other services also reached a new peak in January.
Annual Revisions
The January report also reflects annual data revisions by the federal Bureau of Labor Statistics (BLS). These updates incorporate additional data and revised estimates for previous years, ensuring seasonal adjustments reflect the most accurate employment trends.
The preliminary employment figures for January 2025 remain subject to additional revision. With sustained job growth and unemployment rates below the national average, Pennsylvania’s economy continues to show resilience and expansion in several key industries.
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