Iowa’s Unemployment Rate Remains at 3.2 Percent for the Third Month
Iowa Workforce Development Communications
For Immediate Release
Date: August 20, 2026
Contact: Jesse Dougherty
Telephone: 515-725-5487
Email: [email protected]
Printer Friendly Version of July 2026 Release (197.58 KB) .pdf
Iowa’s Unemployment Rate Remains at 3.2 Percent for the Third Month
DES MOINES, IOWA – Iowa’s seasonally adjusted unemployment rate remained at 3.2 percent in July, equal to the rate in May and June and down from a jobless rate of 3.5 percent one year ago. Meanwhile, the U.S. unemployment rate fell to 4.1 percent in July.
The total number of unemployed Iowans decreased to 54,700 in July from 55,300 in June.
The total number of working Iowans decreased to 1,672,200 in July. This figure is 2,200 lower than June and 3,100 lower than one year ago. The labor force participation rate fell to 67.1 percent in July from 67.3 percent in June, as 2,800 people left the labor force, mostly due to retirements.
“Iowa’s July report is largely consistent with what we’ve seen for the last several months,” said Beth Townsend, Executive Director of Iowa Workforce Development. “Most industries showed little change in hiring with a notable exception in construction, which gained 900 jobs. We also saw a significant number of Iowans retiring in July. Between this and 58,000 posted jobs on IowaWORKS.gov, there remain plenty of great career opportunities whether you are looking for your first job or your next one.”
Seasonally Adjusted Nonfarm Employment
Firms in Iowa shed 3,100 jobs in July, lowering total nonfarm employment to 1,583,100. Prior to this month, business establishments had added jobs in four consecutive months, totaling 9,900 jobs. Local government fueled much of this month’s decline (-1,700). A majority of these losses were related to K-12 schools beginning summer break. Private industry was down slightly (-1,000); these losses were within service industries. Goods-producing firms countered with 800 jobs added, breaking two months of losses. Annually, total nonfarm employment is down slightly (-1,800).
Within private sectors, construction added the most jobs (+900). Since December, this sector has gained 3,400 jobs. Many of these increases were specialty trade contractors. Accommodation and food services increased by 500 jobs and is up 2,600 since January. Professional, scientific, and technical services gained 400 jobs since June and has added 1,200 jobs since April. As far as losses go, retail trade pared 1,300 jobs in July. This sector previously gained 3,500 jobs in May and June.
Annually, job losses are highest among trade and transportation industries (-5,000). Transportation and warehousing industries are responsible for almost half of this loss (-2,400). Trade industries, retail and wholesale combined, have shed 2,600 jobs. Manufacturing is down 2,100 jobs with durable goods factories accounting for most of the loss (-1,700). Professional and business service industries have lost 1,600 jobs since last July. Professional, scientific, and technical services fueled most of this loss (-1,000). On the positive side, health care and social assistance has added 4,800 jobs over the past 12 months to lead all other sectors. This sector has generally trended upward over the past several years. Construction followed with 3,300 jobs gained, and finance and insurance added 1,200 jobs. Smaller annual gains were found in private education (+600) and information (+300).
| Employment and Unemployment in Iowa, Seasonally Adjusted Data | |||||
|---|---|---|---|---|---|
| Change from | |||||
| July | June | July | June | July | |
| 2026 | 2026 | 2025 | 2026 | 2025 | |
| Civilian labor force | 1,726,900 | 1,729,700 | 1,735,800 | -2,800 | -8,900 |
| Unemployment | 54,700 | 55,300 | 60,600 | -600 | -5,900 |
| Unemployment rate | 3.2% | 3.2% | 3.5% | 0.0 | -0.3 |
| Employment | 1,672,200 | 1,674,400 | 1,675,300 | -2,200 | -3,100 |
| Labor Force Participation Rate | 67.1% | 67.3% | 67.7% | -0.2 | -0.6 |
| U.S. unemployment rate | 4.1% | 4.2% | 4.3% | -0.1 | -0.2 |
| Nonfarm Employment in Iowa, Seasonally Adjusted Data | |||||
| Total Nonfarm Employment | 1,583,100 | 1,586,200 | 1,584,900 | -3,100 | -1,800 |
| Mining | 2,200 | 2,200 | 2,200 | 0 | 0 |
| Construction | 87,100 | 86,200 | 83,800 | 900 | 3,300 |
| Manufacturing | 212,900 | 213,000 | 215,000 | -100 | -2,100 |
| Trade, transportation and utilities | 304,800 | 306,600 | 309,800 | -1,800 | -5,000 |
| Information | 17,800 | 18,000 | 17,500 | -200 | 300 |
| Financial activities | 105,700 | 105,700 | 104,600 | 0 | 1,100 |
| Professional and business services | 141,100 | 140,900 | 142,700 | 200 | -1,600 |
| Education (private) | 43,600 | 43,600 | 43,000 | 0 | 600 |
| Health care and social assistance | 205,700 | 205,700 | 200,900 | 0 | 4,800 |
| Leisure and hospitality | 141,600 | 141,300 | 143,700 | 300 | -2,100 |
| Other services | 54,500 | 54,800 | 55,000 | -300 | -500 |
| Government* | 266,100 | 268,200 | 266,700 | -2,100 | -600 |
| * includes publicly owned education and health services | |||||
| Data Above Subject to Change | |||||
| Unemployment Insurance Claims for Iowa | |||||
|---|---|---|---|---|---|
| % Change from | |||||
| July | June | July | June | July | |
| 2026 | 2026 | 2025 | 2026 | 2025 | |
| Initial claims | 6,242 | 7,918 | 9,494 | -21.2% | -34.3% |
| Continued claims | |||||
| Benefit recipients | 11,809 | 11,566 | 13,830 | 2.1% | -14.6% |
| Weeks paid | 34,289 | 36,277 | 39,670 | -5.5% | -13.6% |
| Amount paid | $17,589,682 | $18,756,273 | $20,011,763 | -6.2% | -12.1% |
Media Alert: Local data for July 2026 will be posted to the website on Tuesday, August 25, 2026. Statewide data for August 2026 will be released on September 17, 2026.
Visit iowalmi.gov for more information about current and historical data, labor force data, nonfarm employment, hours and earnings, and jobless benefits by county.
###
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
