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Pennsylvania’s Unemployment Rate Sees Minor Increase Amid Job Growth

Pennsylvania witnesses record job growth despite a slight rise in unemployment rate.

News Summary

In April 2025, Pennsylvania’s unemployment rate rose slightly to 3.9%, according to the Department of Labor & Industry. This increase occurred even as total non-farm jobs reached a record high of 6,223,800, marking the 12th consecutive month of growth. While 2,000 more residents found work, 4,000 more individuals became unemployed, signaling changes in the labor market dynamics. Analysts will monitor the implications of these trends on the state’s economy as sectors like education and health services lead job creation.

Pennsylvania’s Unemployment Rate Experiences Slight Increase Amid Record Job Growth in April 2025

Pennsylvania’s unemployment rate increased by one-tenth of a percentage point to 3.9% in April 2025, as reported by the Pennsylvania Department of Labor & Industry (L&I). This slight rise in the unemployment rate comes at a time when the state’s job market is experiencing significant growth, with total non-farm jobs reaching a record high.

During the same period, the national unemployment rate held steady at 4.2%. Pennsylvania’s unemployment rate is now three-tenths of a percentage point higher than the 3.6% rate recorded in April 2024.

Employment and Labor Force Statistics

The preliminary employment report released by L&I indicates that the state’s civilian labor force grew by 6,000 in April, bringing the total number of individuals participating in the labor force to 6,548,000.

While employment within the state saw a modest increase of 2,000 residents, there was also an increase in resident unemployment by 4,000 compared to March 2025. This indicated a shift in labor dynamics, where more people entered the workforce while the number of unemployed individuals rose.

Record Job Growth

Despite the increase in the unemployment rate, total non-farm jobs in Pennsylvania rose by 8,500 in April, hitting a new record of 6,223,800. This growth marks the 12th consecutive month of record high non-farm jobs in the state, showcasing a robust labor market.

Growth was observed across six of the eleven industry super-sectors, with the education and health services sector leading the way by adding 5,000 jobs in April. Notably, the sectors of education and health services, leisure and hospitality, and other services all achieved record job levels this month.

In the year-over-year comparison, total non-farm jobs increased by 95,700, with job gains occurring in seven of the eleven super-sectors. The education and health services sector notably captured the largest growth, adding 50,900 jobs over the past year, reflecting the ongoing demand for qualified personnel in these vital areas of service.

Understanding the Data

All employment data shared by L&I are seasonally adjusted to facilitate accurate month-to-month comparisons. It is important to note that the data for April 2025 is preliminary and subject to revisions, which is standard practice within labor market reporting.

The recent trends show that while Pennsylvania is experiencing record job growth, the simultaneous increase in the unemployment rate points to an evolving workforce landscape. The growth in some sectors and the corresponding rise in the unemployment rate could indicate a transition phase where more individuals are actively seeking employment or entering the labor market.

As the state continues to navigate through these changes, analysts will closely monitor the implications these figures may have on Pennsylvania’s economy and labor market dynamics in the coming months.