Tennessee Jobless Rate Holds Below National Average

Tennessee’s unemployment rate edged up slightly in July but remained well below the national average, according to new data from the Tennessee Department of Labor and Workforce Development. The state’s seasonally adjusted jobless rate was 3.6% last month, up one-tenth of a percentage point from June’s 3.5% and two-tenths higher than the 3.4% recorded in July 2024. The national unemployment rate held steady at 4.2%, the same as a year ago. Over the past year, Tennessee employers added 21,500 nonfarm jobs, led by gains in the government sector, followed by professional, scientific, and technical services, and leisure and hospitality. Month to month, however, total employment slipped by 900 positions, with the largest losses in private education and health services, leisure and hospitality, and nondurable goods manufacturing. State officials also highlighted growth in Tennessee’s apprenticeship programs, which now have more than 9,500 participants and 470 active programs in high-demand fields. The earn-while-you-learn model combines paid on-the-job training with related education, helping employers develop skilled workers. County-by-county unemployment data for July will be released Aug. 21 at 1:30 p.m. CDT.