Texas Unemployment Rate at 3.5 Percent

Texas Workforce Commission • January 24, 2020

An update from the Texas Workforce Commission

A chalkboard with the word unemployment crossed out
In December the seasonally adjusted Texas unemployment rate was 3.5 percent, up a tenth of a percentage point from 3.4 percent in November 2019. Texas added 29,800 jobs over the month. In 2019, Texas set a record for the lowest unemployment rate since series tracking began in 1976.

 “As we reflect on 2019, it is clear that it was a strong year for the Texas economy thanks to the continued leadership of Gov. Abbott, and the hard work of our Texas workforce and employers,” said TWC Chairman and Commissioner Representing the Public Bryan Daniel. “Our current economic climate creates opportunities for our skilled workforce and success for employers. We look forward to continued growth in our great state throughout 2020.”  

Texas employers added 342,800 jobs over the year. Total nonfarm annual employment growth was at 2.7 percent in December and has held at or above 2.0 percent since February 2018.

“Our workforce continues to grow and is now 14,188,100 Texans strong,” said TWC Commissioner Representing Labor Julian Alvarez. “My office is committed to ensuring each and every member of our labor force has access to the resources necessary to succeed.” 

Leading monthly job growth in December was the Trade, Transportation, and Utilities industry adding 11,600 jobs, followed by the Professional and Business Services sector adding 10,500 jobs, and Financial Activities which added 6,700 jobs.

“The addition of 342,800 jobs over the year demonstrates the resilience of our Texas employers and their ability to consistently put more Texans to work,” said TWC Commissioner Representing Employers Aaron Demerson. “Our employers embody the entrepreneurial spirit of the Lone Star State and serve as the backbone of our great economy.”

The Midland Metropolitan Statistical Area (MSA) recorded December’s lowest unemployment rate among Texas MSAs with a non-seasonally adjusted rate of 2.1 percent, followed by the Amarillo MSA at 2.3. The Austin-Round Rock MSAs recorded the third lowest rate at 2.4 percent.

Audio downloads with comments from Chairman and Commissioner Representing the Public Bryan Daniel on the latest labor market data are available on the TWC webpage for recent press releases. Employment estimates released by TWC are produced in cooperation with the U.S. Department of Labor’s Bureau of Labor Statistics. All estimates are subject to revision. To access this and more employment data, visit TexasLMI.com.

The Texas Labor Market & Career Information Data for January is scheduled to be released on Friday, March 13, 2020 at 9:00 a.m. (CDT).

May 1, 2026
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April 22, 2026
The total number of nonfarm jobs in Texas registered at 14,354,600 after decreasing by 8,500 positions in February. Over the year, the state added 73,800 jobs for an annual nonfarm growth rate of 0.5 percent, outpacing the national growth rate by 0.4 percentage points. Texas’ civilian labor force registered at 15,941,800 after decreasing by 13,400 over the month. Over the year, Texas’ civilian labor force has added 121,200 people. The seasonally adjusted unemployment rate in Texas remained stable at 4.3 percent. “Texas’ over-the-year growth trajectory remains strong because we have cultivated a pro-business climate that helps employers grow and generate new opportunities for working Texans,” said TWC Chairman Joe Esparza. “The Texas Workforce Commission is investing strategically in programs that foster long-term economic prosperity across all regions of our state.” The Professional and Business Services industry had the largest private sector over-the-month increase in February after adding 6,300 jobs. In addition, Manufacturing added 2,500 jobs over the month while Information added 200. Construction posted the highest annual growth rate of any major industry for the 19th month in a row at 2.7 percent in February. “The addition of more than 121,000 people to the labor force over the year reinforces the need to make sure all Texans can participate in—and benefit from—our evolving economy,” said TWC Commissioner Representing Labor Alberto Treviño III. “The Texas workforce system is addressing the needs of today while anticipating those of tomorrow through initiatives like Texas Intern Network, which connects young Texans with employers.” The Midland metropolitan statistical area (MSA) had the lowest unemployment rate with a not seasonally adjusted rate of 3.3 percent in February. It was followed by the San Angelo MSA at 3.5 percent and the Abilene MSA at 3.6 percent. “The foundations of the Texas economy are strong, and our employers and workers are resilient and adaptable,” said TWC Commissioner Representing the Public Brent Connett. “It’s encouraging to see robust growth surging across key industries like Construction and Professional and Business Services, signaling that there is ample cause for optimism.” Employment estimates released by TWC are produced in cooperation with the U.S. Department of Labor’s Bureau of Labor Statistics. *All estimates are subject to revision. To access this and more employment data, visit TexasLMI.com . The Texas Labor Market Information Data for March is scheduled to be released on Friday, May 1, 2026, at 9:00 a.m. (CT). 
April 22, 2026
The Texas Workforce Commission (TWC) is now accepting applications for its Workforce Diploma Pilot Program. This funding opportunity is intended to support programs that help adult learners in Texas obtain a high-school diploma, earn industry-recognized credentials, and develop employability skills. The Workforce Diploma Pilot Program is designed to create new career pathways for adult learners. The program connects adults who have not completed high school with education providers that offer a combination of academic instruction, career training, and supportive coaching. Eligible applicants must be authorized to grant a high school diploma in Texas or partner with an accredited entity that is authorized. Applicants are also required to have at least two years of experience in dropout reengagement services for adult students. This includes experience in academic assessments, proactive coaching, employability skills training, and preparation for industry-recognized credentials. Interested organizations must submit their completed responses by May 5, 2026. The complete request for qualifications (RFQ), including all requirements and submission documents, can be found online at: https://www.txsmartbuy.gov/esbd/3202600137 . Organizations must use this portal to submit their response. All questions regarding this RFQ should be emailed to vendorproposals@twc.texas.gov .
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