States with the lowest unemployment

Seasonally-adjusted state unemployment from BLS — the one figure here that updates monthly. A tight labor market can offset a higher cost of living.

Top of the list: South Dakota at 2.1%. Bottom: District of Columbia at 6.1%.

States with the lowest unemployment, all states ranked.
#StateUnemployment
1South Dakota2.1%
2North Dakota2.4%
3Hawaii2.5%
4Vermont2.6%
5Alabama3.0%
6Nebraska3.0%
7New Hampshire3.0%
8Maine3.1%
9Iowa3.2%
10Indiana3.3%
11Georgia3.4%
12Montana3.4%
13Wisconsin3.4%
14Wyoming3.4%
15Tennessee3.6%
16Idaho3.7%
17North Carolina3.7%
18Ohio3.7%
19Utah3.7%
20Kansas3.8%
21Mississippi3.8%
22Missouri3.8%
23Virginia3.8%
24Colorado3.9%
25Oklahoma4.1%
26Arkansas4.2%
27Pennsylvania4.2%
28Rhode Island4.3%
29Texas4.3%
30West Virginia4.3%
31Maryland4.4%
32Minnesota4.4%
33Kentucky4.5%
34Louisiana4.5%
35Massachusetts4.5%
36Alaska4.6%
37New York4.6%
38South Carolina4.6%
39New Jersey4.7%
40Arizona4.8%
41Florida4.8%
42New Mexico4.9%
43Connecticut5.1%
44Delaware5.1%
45Illinois5.1%
46Michigan5.1%
47Nevada5.2%
48Oregon5.2%
49Washington5.2%
50California5.3%
51District of Columbia6.1%

BLS Local Area Unemployment Statistics · LAUS · May 2026 · rel. May 2026 · Official API

Understanding states with the lowest unemployment

Across all 51 states and the District of Columbia, unemployment spans from 2.1% in South Dakota at the top of the list to 6.1% in District of Columbia at the bottom. The three at the top are South Dakota, North Dakota, and Hawaii; the three at the bottom are Washington, California, and District of Columbia.

Unemployment is the most current figure on this site — the Bureau of Labor Statistics updates it every month, while prices, wages, and taxes are annual. It measures the share of the labor force actively looking for work but unable to find it, seasonally adjusted so month-to-month comparisons are meaningful. A low rate points to a tight labor market where jobs are relatively easy to come by.

The states with the lowest unemployment are not always the cheapest or the highest-paying, but a strong job market has its own value. It shortens the time between jobs, gives workers more bargaining power on pay, and can make a higher cost of living easier to justify. For anyone moving without a job already lined up, it is one of the most important numbers to check.

Unemployment shifts with the national economy, so this ranking changes more often than the others. It is best read as a snapshot of the current labor market rather than a permanent trait of a state, and it pairs naturally with the wage data elsewhere on the site: a state with both low unemployment and strong real pay is a genuinely favorable place to be looking for work.