14 Places in the U.S. With The Highest Unemployment Rates

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Unemployment rates serve as a vital indicator of a region’s economic health. While certain areas flourish with robust job markets, others grapple with significant challenges that can affect the livelihoods of their residents. Keep reading to find out 14 places in the U.S. with the highest unemployment rates, exploring regions where unemployment remains alarmingly high, shedding light on the underlying factors, and providing insights to help policymakers, businesses, and individuals make informed decisions.

Denver, Colorado

14 Places in the U.S. With The Highest Unemployment Rates
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As of May 2024, Colorado’s unemployment rate was 3.8%, with Denver, its largest city, slightly higher at 3.9%. Known as a magnet for remote professionals, Denver is experiencing rapid growth, although housing costs are 36% above the national average. The city’s hottest industries include software and financial services, with aerospace, digital communications, and food and beverage sectors also rising.

Philadelphia, Pennsylvania

14 Places in the U.S. With The Highest Unemployment Rates
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Philadelphia’s unemployment rate stood at 3.9%, while Pennsylvania’s overall rate was 3.4%. Although these figures may not appear encouraging, they reflect record-low unemployment for the state. This decline contributes to the region’s ongoing recovery from the pandemic, which severely impacted Philadelphia, resulting in the loss of over 100,000 jobs in the initial months of COVID-19.

New York, New York

14 Places in the U.S. With The Highest Unemployment Rates
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In May 2024, New York City reported an unemployment rate of 4.6%, an increase from 4.2% in April, making it one of the cities with rates above the national average. However, with a population exceeding 8.4 million, New York is beginning to see employment gains three years after the onset of COVID-19. The city is estimated to have lost approximately 2 million jobs in the aftermath of the pandemic, while the state’s overall jobless rate is 4.2%.

Chicago, Illinois

14 Places in the U.S. With The Highest Unemployment Rates
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Chicago’s unemployment rate rose to 4.8% in May 2024, up from 4.3% in April. The city and its surrounding suburbs are home to 35 Fortune 500 companies, showcasing strengths in diverse sectors such as manufacturing, printing, insurance, transportation, financial trading, and food processing—Illinois’ unemployment rate of 4.9% ranks among the highest in the nation.

Los Angeles, California

14 Places in the U.S. With The Highest Unemployment Rates
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With a population of 3.9 million, Los Angeles is America’s second most populous city. As of May, the unemployment rate stood at 5.2%, up from 4.2% in April. Since the onset of COVID-19, the state has encountered numerous challenges, and the lasting effects are clear. One significant issue is the mismatch between the skills that job seekers possess and those that employers need.

Las Vegas, Nevada

14 Places in the U.S. With The Highest Unemployment Rates
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Las Vegas, the largest city in Nevada, recorded the highest unemployment rate on our list at 5.6%, an increase from 5.2% in April 2024. The city is experiencing significant labor market volatility, with many individuals actively seeking employment amidst the ongoing repercussions of the COVID-19 lockdown. Nevada’s overall unemployment rate was 5.1%.

Louisville, Kentucky

14 Places in the U.S. With The Highest Unemployment Rates
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Louisville boasts an unemployment rate of 4% in May, indicating job growth as payrolls expand. This is an increase from 3.8% in April. Home to 628,000 residents, Louisville is recognized for its shipping and cargo industries and, more recently, for major manufacturing operations, including two Ford plants and a robust healthcare sector. Kentucky’s jobless rate stands at 4.6%, surpassing the national average.

Houston, Texas

14 Places in the U.S. With The Highest Unemployment Rates
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Houston’s unemployment rate in May was 4%, matching the state of Texas’ rate. Since June 2022, Texas has seen an impressive growth of over 542,500 jobs, marking the largest annual increase in the nation. The rise in unemployment reflects an expanding metropolitan workforce rather than significant layoffs in this densely populated state.

Providence, Rhode Island

14 Places in the U.S. With The Highest Unemployment Rates
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With a population of 189,000, Providence reported an unemployment rate of 4.3% in May, consistent with the state’s rate. Approximately one-third of the city’s economy relies on trade, transportation, utilities, and educational and health services. Rhode Island is home to four Fortune 500 companies: CVS Health, United Natural Foods, Textron, and Citizens Financial Group.

Detroit, Michigan

14 Places in the U.S. With The Highest Unemployment Rates
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In May 2024, Detroit’s unemployment rate was 5.2%, a significant achievement for a city that has undergone bankruptcy and witnessed a staggering 61% population decline from 1950 to 2010, dropping its rank from the 4th to the 27th most populous city in America. At its peak in June 2009, Detroit’s jobless rate reached an alarming 27%. However, new developments in the city are sparking optimism for a genuine recovery in the post-Covid-19 landscape. The state’s unemployment rate stands at 3.9%.

Seattle, Washington

14 Places in the U.S. With The Highest Unemployment Rates
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Seattle, with a population of 733,000, recorded an unemployment rate of 4.3% in May, slightly exceeding the national average. The recent wave of layoffs in the tech sector has undoubtedly affected the local job market; however, the city remains committed to fostering innovation. The unemployment rate is still relatively low, while Washington state’s rate stood at 4.9% in May.

Columbus, Ohio

14 Places in the U.S. With The Highest Unemployment Rates
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Ohio’s unemployment rate in May 2024 was 4.2%, with its largest city, Columbus, reporting a rate of 4.3%. Despite these numbers, local leaders warn that job growth may slow as employers face challenges filling positions in the tight labor market. Columbus attracts young professionals across various sectors, including education, food, defense, and steel.

Bridgeport, Connecticut

14 Places in the U.S. With The Highest Unemployment Rates
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In Bridgeport, a city with a population of 148,000, the unemployment rate rose to 4.4% in May, up from 3.6% in April. The overall state rate was 4.3% in May. While some residents left New York or New Jersey during the pandemic, Connecticut saw an increase of 66,000 people in 2021. Nonetheless, Bridgeport faces challenges, with approximately 19% of its residents living in poverty.

Newark, New Jersey

14 Places in the U.S. With The Highest Unemployment Rates
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In May, Newark’s unemployment rate reached 4.6%, a rise from 4.2% in April, yet significantly improved from a peak of 9.7% in 2010. According to U.S. Census data, the city, home to over 305,000 residents, has around 25% of its population living in poverty. New Jersey’s unemployment rate of 4.6% remains well above the national average.

DisclaimerThis list is solely the author’s opinion based on research and publicly available information.

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