North Carolina’s Steady Unemployment Rate Defies National Trends
In May 2026, North Carolina maintained a seasonally adjusted unemployment rate of 3.7%, unchanged from the previous month. This rate continues to diverge from the national average, which also held steady at 4.3% during the same period.
The state’s unemployment rate dropped by 0.1 percentage point compared to the previous year. The workforce faced a slight contraction, with employment figures decreasing by 11,988 individuals over the month to a total of 5,086,003, and a year-over-year decrease of 2,157. Meanwhile, the number of unemployed residents saw a monthly reduction of 1,998, totaling 194,590, and a yearly decline of 7,164.
Seasonally adjusted Total Nonfarm employment in North Carolina rose by 17,400 to reach 5,118,900 in May, according to data from the monthly establishment survey. Industries contributing to this growth included Leisure & Hospitality Services, which added 6,600 jobs, and Professional & Business Services, which grew by 6,000 positions. Private Education & Health Services increased by 3,600 jobs, while Government and Trade, Transportation & Utilities sectors grew by 1,400 and 1,200 jobs respectively. Additional sectors reporting gains included Construction (1,000), Information (400), and Other Services (200). Conversely, Manufacturing experienced a decline of 2,700 jobs, and Financial Activities saw a decrease of 300 positions. Mining & Logging employment remained stable.
Seasonally Adjusted Unemployment Rates since May 2025
| Area | May 2025 | June 2025 | July 2025 | August 2025 | Sep 2025 | Oct 2025 | Nov 2025 | Dec 2025 | Jan 2026 | Feb 2026 | Mar 2026 | Apr 2026 | May 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| N.C. | 3.8 | 3.8 | 3.9 | 3.9 | 3.9 | * | 3.8 | 3.8 | 3.8 | 3.8 | 3.7 | 3.7 | 3.7 |
| U.S. | 4.3 | 4.1 | 4.3 | 4.3 | 4.4 | * | 4.5 | 4.4 | 4.3 | 4.4 | 4.3 | 4.3 | 4.3 |
Estimates are subject to monthly and annual revisions
*October 2025 data are unavailable due to the lapse in appropriations*
Over the past year, North Carolina’s Total Nonfarm employment has increased by 61,800 jobs, with the Private sector contributing 56,000 and Government adding 5,800 positions. Notable industry growth included Private Education & Health Services (23,000), Leisure & Hospitality Services (17,000), and Construction (13,600), among others. Manufacturing and Information sectors saw employment declines of 12,600 and 2,200 jobs, respectively, while Mining & Logging remained unchanged.
The upcoming unemployment update, detailing county-specific rates for May 2026, is scheduled for release on Wednesday, July 1, 2026.
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