HARRISBURG, Pa. (EYT) — Pennsylvania’s unemployment rate dropped two-tenths of a percentage point in July to 3.9 percent, marking the first time the state rate has fallen below 4 percent since October 2024.
According to data released Friday by the Pennsylvania Department of Labor and Industry, the state unemployment rate sits two-tenths of a percentage point below the national rate of 4.1 percent. Over the past 12 months, Pennsylvania’s jobless rate decreased by half a percentage point, compared to a two-tenths drop nationally over the same period.
State officials reported that the civilian labor force grew by 8,000 residents in July to a record high. Total employment across the Commonwealth also reached a record level as the number of unemployed residents dropped by 10,000 over the month.
Despite overall labor force growth, total nonfarm jobs fell by 7,600 from June to 6,201,100 in July, according to the report. Job counts decreased in seven of the state’s 11 industry sectors, with education and health services suffering the largest volume decline.
However, state data showed gains in leisure and hospitality as well as financial activities, with both sectors setting new job records in July. Compared to July 2025, total statewide nonfarm jobs are up by 31,900 positions, according to state records.
