Washington State unemployment dips to 4.8% in August, adds 1,600 jobs

Washington state's unemployment rate decreased to 4.8% in August from 4.9% in July, according to the latest Monthly Employment Report released by the state's Employment Security Department.

The state added 1,600 nonfarm jobs on a seasonally adjusted basis. The private sector expanded by 4,900 jobs, while the public sector decreased by 3,300 positions.

Education and health services saw the largest gains, adding 6,100 jobs in August. Within this sector, education services and social assistance grew by 4,100 jobs, while health services and social assistance added 2,000 jobs.

Professional and business services also showed growth, adding 1,700 jobs overall. Administrative services within this sector increased by 2,200 positions, although employment services declined by 900 jobs.

Despite overall job growth, some sectors faced challenges. Government employment decreased by 3,300 jobs, and manufacturing lost 1,000 positions.

The state's labor force decreased by 4,412 workers from July to August. The number of unemployed residents fell by 1,814, while the number of employed residents decreased by 2,598.

Year-over-year, Washington has added 58,500 jobs, representing a 1.6% increase in employment since August 2023. Private sector employment rose 1.4%, up an estimated 41,600 jobs, while public sector employment increased 3.0%, adding approximately 16,900 jobs.

The information sector, which includes the tech industry, has seen a significant decline over the past year, contracting by 6,600 jobs. Within this sector, the software publishing industry shed an estimated 4,900 jobs.

The Seattle-Bellevue-Everett area reported an unemployment rate of 4.4% in August, unchanged from July but higher than the 3.2% rate recorded a year ago.

Nationally, the unemployment rate stood at 4.2% in August, down from 4.3% in July.

The current state unemployment rate of 4.8% is notably higher than the 3.6% recorded in August 2023, indicating a potential cooling of the labor market despite continued job growth in some sectors.