North Carolina’s August 2026 Unemployment Rate Drops to 3.5%

North Carolina’s Unemployment Rate Shows Slight Decline as Job Growth Continues

In the latest employment update, North Carolina’s unemployment rate saw a marginal decline in August 2026, reflecting a small yet notable improvement in the job market. As businesses in various sectors continue to expand, more residents are finding employment opportunities.

The state’s seasonally adjusted unemployment rate settled at 3.5% in August, a slight dip from July’s adjusted figure. On a national level, the unemployment rate remained consistent at 4.1%, underscoring North Carolina’s relative progress in reducing unemployment over the past month.

Looking back over the past year, North Carolina’s unemployment rate has decreased by 0.4 percentage points. However, the number of employed individuals fell by 3,085 in August, totaling 5,049,056. The decline over the year was more significant, with 47,152 fewer people employed compared to the previous year. On a positive note, the total number of unemployed individuals decreased by 4,052 over the month to 182,042, marking an annual reduction of 22,422.

Job Growth in Various Sectors

In August, the state’s Total Nonfarm employment rose by 10,000, reaching 5,128,400. This increase was driven by job growth in several key industries. Leisure and Hospitality Services led the way with an addition of 3,200 jobs, followed by Construction with 2,100 jobs. Professional & Business Services and Trade, Transportation & Utilities also saw increases, gaining 1,900 and 1,700 jobs, respectively. Other sectors like Other Services, Government, and Manufacturing contributed to the overall employment boost, although at a smaller scale.

Despite these gains, some industries faced job losses. The Information sector saw a reduction of 700 jobs, Financial Activities went down by 600, and Private Education & Health Services experienced a decrease of 500 jobs. Employment in Mining & Logging maintained stability with no changes reported.

Annual Employment Trends

Since August 2025, the state has seen an increase of 65,600 in Total Nonfarm jobs, with the private sector contributing 61,000 of these positions, while the Government sector grew by 4,600 jobs. Substantial growth was observed in Professional & Business Services, which added 23,300 jobs, and Construction, with an increase of 17,500 jobs. Leisure & Hospitality Services followed with a rise of 16,900 jobs, and Private Education & Health Services also saw growth with an additional 11,200 jobs.

Conversely, some sectors experienced declines, with Manufacturing losing 8,900 jobs and the Information sector down by 4,300 jobs. Mining & Logging saw a minor reduction of 100 jobs over the year.

Those interested in more detailed statistics or trends can anticipate the next update on Wednesday, September 30, 2026, when the county unemployment rates for August 2026 will be released.