Massachusetts Payroll Jobs Increase, Unemployment Rate at 4.8%
Summary
The Executive Office of Labor and Workforce Development reported that Massachusetts gained 4,600 payroll jobs in December 2025, marking the third consecutive month of job growth. The unemployment rate slightly increased to 4.8%, with a slight decrease in labor force participation.
What changed
The Executive Office of Labor and Workforce Development (EOLWD) released its December 2025 jobs and unemployment estimates for Massachusetts. Preliminary data indicates a gain of 4,600 payroll jobs, continuing a trend of growth observed over the past three months, with a total of 13,500 jobs added since September. However, the unemployment rate edged up to 4.8%, and the labor force participation rate saw a slight decrease.
This report provides an overview of current labor market conditions in Massachusetts. While the increase in payroll jobs is a positive indicator, the rise in unemployment and decline in labor force participation suggest a complex and slowly evolving market. The EOLWD highlights ongoing efforts to support workforce development, including initiatives to expand apprenticeships and related tax credits, aimed at addressing talent attraction and retention challenges for employers.
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Press Release
Press Release Payroll Jobs Increase for 3rd Consecutive Month, Unemployment Rate at 4.8%
For immediate release: 1/23/2026
- Executive Office of Labor and Workforce Development
- Department of Economic Research
Media Contact
Matthew Kitsos, Deputy Chief of Staff & Director of Communications
Online
Email Matthew Kitsos, Deputy Chief of Staff & Director of Communications at eolwdpress@mass.gov
BOSTON — Today, the Executive Office of Labor and Workforce Development (EOLWD) released Massachusetts unemployment and job estimates for December, with preliminary data indicating that payroll jobs increased by 4,600 in December, following a revised increase of 4,300 in November and 4,600 in October. Since September, Massachusetts has gained 13,500 payroll jobs.Preliminary data also shows 9,300 fewer individuals were employed, including individuals in private and non-profit jobs, self-employed individuals and entrepreneurs, and individuals who may have retired or left the workforce for other reasons. Additionally, the unemployment rate (4.8%) increased slightly, and labor force participation rate (66.5%) decreased slightly.
The Bureau of Labor Statistics (BLS) categories with the strongest growth month over month for Massachusetts employment includes 1) Leisure and Hospitality (+5,700), 2) Private Education and Health Services (+1,000), and 3) Manufacturing (+700).
“The labor market sent mixed signals in December. Recent data has shown strong growth in payroll jobs over the past three months, while the unemployment rate ticked up slightly and the labor force declined,” said EOLWD’s Department of Economic Research Chief Economist Mark Rembert. “These signals reflect the general trend we have observed for most of 2025 - a stable but slow-moving labor market. We’ll continue to monitor and analyze these trends and the challenges and opportunities for jobseekers and employers.”
Building on the Healey-Driscoll administration’s workforce agenda, collaboration with employers continue with a focus on attracting, retaining, and developing talent in Massachusetts. Recent highlights that connect to this strategy includes:
- In her third State of the Commonwealth address, Governor Maura Healey set a new goal of registering 100,000 new apprentices in 10 years in fields such as construction, health care, tech, advanced manufacturing, and education.
- The administration recently lowered the annual program fee for Registered Apprenticeship sponsors and expanded eligibility for the Registered Apprenticeship Tax Credit to include occupations featuring AI-related credentials, defense manufacturing, and additional manufacturing occupations.
Key takeaways from the monthly jobs and employment report
- Payroll jobs increased by4,600in December. Since September, Massachusetts has gained 13,500 payroll jobs.
- The Massachusetts unemployment rate in December increased slightly to 4.8 percent.
- The state’s labor force participation rate decreased slightly to 66.5 percent. Since January 2023, Massachusetts labor force has increased by 176,800 a 4.7 percent change which places Massachusetts in the top 10 among states.
- The labor force decreased in December by 7,800 for a total of approximately 3,946,000. For a detailed overview of the BLS data, please visit mass.gov/economicresearch and December BLS Unemployment and Jobs Estimates.
Labor Market Quick Links
- Unemployment and Labor Force Data
- Employment Information by Industry
- Employment Information by Occupation
- Labor Market Information 101
Career Services Quick Links
MassHire Career Centers and online services like MassHire JobQuest and MassTalent support jobseekers who are between jobs, exploring new opportunities, or seeking career advancement in Massachusetts. Find a MassHire Career Center location near you.
Business Services Quick Links
MassHire Business Services Representatives are available in person across Massachusetts to help employers recruit and grow their workforce . Employers working with MassHire can post job openings on MassHire JobQuest, connect with jobseekers at specialized job fairs, and access a range of workforce resources.
Note: The unemployment rate is based on a household survey, while job estimates come from an employer survey. Because these surveys are separate, the two statistics may show different trends from month to month.
Media Contact
Matthew Kitsos, Deputy Chief of Staff & Director of Communications
+
Online
Email Matthew Kitsos, Deputy Chief of Staff & Director of Communications at eolwdpress@mass.gov
Executive Office of Labor and Workforce Development
The Executive Office of Labor and Workforce Development builds a skilled workforce, connects talent to opportunity, supports those facing job loss or injury, and ensures safe workplaces.
Department of Economic Research
The Department of Economic Research (DER) produces and distributes various data, research, analysis, and additional resources to state and regional policymakers, workforce development agencies, and others interested in better understanding the Massachusetts labor market.
Media Contact
Matthew Kitsos, Deputy Chief of Staff & Director of Communications
Online
Email Matthew Kitsos, Deputy Chief of Staff & Director of Communications at eolwdpress@mass.gov
Related
EOLWD Newsroom
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