Washington State Unemployment Rate Increased to 5.0% in January 2026

Washington state unemployment rate increased to 5.0% in January

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• ESD Released on

April 01, 2026

Name Chris Barron, communications director Email media@esd.wa.gov OLYMPIA – Washington’s economy increased by an estimated 2,800 jobs (seasonally adjusted) in January 2026, and the monthly unemployment rate increased slightly to 5.0% from 4.9% in December 2025. The monthly employment report covers two datasets: one documenting shifts in the number of jobs, and another covering shifts in the labor force (e.g., unemployment rate).

“Washington employers kicked off 2026 by adding 2,800 jobs following a year of relatively non-existent growth,” said Anneliese Vance-Sherman, chief labor economist for the Employment Security Department. “The unemployment rate ticked up a notch from 4.9% to 5.0% in January. While 5% is still relatively low, it hasn’t been this high since 2021 and continues a rising trend throughout 2025. The unemployment rate in January 2025 was 4.4%.”

Vance-Sherman added, “By the end of April, we’ll have a more complete employment picture through the first quarter of 2026. We’ll be releasing February and March employment reports later this month.”

From January 2025 to January 2026, the number of jobs in Washington increased by 9,100 jobs – a 0.3% increase. See the total jobs chart in this news release for detailed information.

In January, private sector jobs collectively increased by 8,200, while the public sector decreased by an estimated 5,400 jobs. The largest one-month sector-level gains in private industry occurred in construction (up 4,900), leisure and hospitality (up 2,600), and private education and health services (up 2,400).

Employment Security paid unemployment benefits to 85,534 people in January, an increase of 6,664 from the previous month. Increases in unemployment claims primarily came from construction, accommodation and food services, and administrative support and waste management and mediation services.

Learn more about 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. Find the entire Monthly Employment Report, publication schedule, and more labor market information and tools on the Employment Security website.

National unemployment rate

The national unemployment rate decreased from 4.4% to 4.3% from December 2025 to January 2026. For comparison, the national unemployment rate (revised) for January 2025 was 4.0%.

Labor force showed little change

From December 2025 to January 2026 the number of people who were unemployed statewide increased from 198,168 to 204,366. In the Seattle/Bellevue/Everett region, the number of people who were unemployed increased from 115,075 to 120,939 during the same time.

The state’s labor force in January was 4,065,178 – an increase of 23,061 people from the previous January. In the Seattle/Bellevue/Everett region, the labor force decreased by 8,466 people during the same period.

Labor force is defined as 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.

Seven major industry sectors expanded, six contracted over the year

Private sector employment increased by 16,700 jobs from January 2025 to January 2026. Government employment decreased by 7,600 during the same time.

The largest sector-level gains in private industry were in education and health services (up 14,900 jobs); transportation, warehousing and utilities (up 9,000); and leisure and hospitality (up 3,400).

• Education and health services employment gains were primarily due to hiring in health and social services (up 15,100). Within that sector, ambulatory health care services added the most jobs (7,400).
• The deepest one-year sector losses were observed in manufacturing (down 4,800) and retail trade (down 4,100).
• Losses in professional and business services were most pronounced in administrative support roles, notably employment services (down 2,700).

Table 1: Washington's total jobs (12-month overview)

*Revised from previous preliminary estimates. Preliminary monthly estimates for job losses or gains are based on a Bureau of Labor Statistics payroll survey. Actual figures reported the following month are based on a more complete survey.

Table 2: January job gains and losses by industry

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