D.C. leads U.S. in unemployment for third month in a row
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D.C.'s high unemployment rate isn't budging — leading the nation for the third straight month.
The big picture: DMV workers are still feeling the effects of President Trump's federal cuts and layoffs. Many are struggling to find jobs amid a more competitive white-collar market, strained local economies and rumblings of an area recession.
- Declining international tourism could also be contributing to D.C.'s climbing jobless rate.
By the numbers: D.C.'s unemployment rate was 6% in July, based on preliminary and seasonally adjusted Bureau of Labor Statistics (BLS) data out Tuesday. It started at 5.3% in January and has been steadily climbing this year.
- California (5.5%) and Nevada (5.4%) had the highest rates for states.
- The national unemployment rate was 4.2%.
- Yes, but: The usual caveat about comparing D.C. to states applies.
Meanwhile, Virginia came in at 3.6% and Maryland at 3.4% — both higher than the previous month.
State of play: Payments to unemployed D.C. federal workers have been rising too.
- They totaled almost $2.6 million in June, up from just over $2 million in April, according to the latest report from the D.C. Office of Revenue Analysis.
- Payments to unemployed Maryland federal workers also jumped during the same period, although they've decreased slightly in Virginia.
Stunning stat: The Washington region now has the fewest government jobs since the Great Recession, reports the Washington Business Journal.
Zoom out: This is the seventh month in a row that Virginia's unemployment rate has risen, and its year-over-year unemployment rate increase (0.8%) during that period is tied for the country's second-highest.
- Many Northern Virginia leaders are ringing the alarm over the effects Trump's cuts are having on its economy and workforce, with more federal job losses possible.
And Maryland has seen the most federal job losses (not including federal contractors) of any state since the start of the second Trump administration, a state spokesperson said last month.
Between the lines: Earlier this month, Trump fired the BLS head after a weak jobs report and accused the official of fudging the numbers.
- Trump's new nominee to lead BLS has suggested doing away with the report due to the concerns about its accuracy.
What we're watching: How Trump's crackdown on D.C. crime might impact the area economy — as well as anticipated additional federal layoffs.