Pennsylvania’s unemployment rate has gone below 4% for the first time in nearly two years.
The state Department of Labor and Industry announced that in July, the rate went down two-tenths of a percentage point to 3.9%. It’s the first time that the unemployment rate has been that low since October of 2024. In July of 2025, the unemployment rate in Pennsylvania was 4.4%. By comparison, the national unemployment rate is 4.1%, a drop of a tenth of a percentage point.
Pennsylvania’s civilian labor force — the estimated number of residents working or looking for work — was up 8,000 over the month to a record high 6,6451,000 in July. Employment also rose to a record high while unemployment dropped 10,000 over the month. Pennsylvania’s total nonfarm jobs were down 7,600 from June to 6,201,100 in July. Jobs decreased in seven of the 11 industry supersectors. The largest volume gain was in leisure & hospitality which rose to a record high while the largest decline was in education & health services. Financial activities also rose to a record high in July.
County statistics are expected to be released later this month.
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