State Unemployment Rate Rises to 3.4% in December

The state’s unemployment rate rose one-tenth of a percentage point to 3.4% in December, the Arkansas Division of Workforce Services reported Tuesday.

The U.S. jobless rate fell one-tenth of a percentage point in December to 4.1%.

In Arkansas, the civilian labor force increased by 2,544, as 1,487 additional Arkansans employed. The labor force participation rate remained at 58.2%. The civilian labor force and employment remain at record-high levels.

Compared to December 2023, there were 34,626 more people employed in the state. The unemployment rate was down three-tenths of a percentage point, with 3,028 fewer jobless Arkansans.

Arkansas’ labor force participation rate rose seven-tenths of a percentage point year over year.

On a monthly basis, nonfarm payroll jobs rose by 1,100 in December. Trade, transportation and utilities added 2,800 jobs, an increase tied to seasonal holiday hiring. Jobs in professional and business services increased by 1,300. Four industry sectors reported “typical seasonal losses,” the department reported.

Compared to December 2023, Arkansas’ nonfarm payroll jobs increased by 23,200. Nine major industry sectors posted annual growth. The largest gains were in private education and health services (+11,000), professional and business services (+4,800), manufacturing (+3,600), and leisure and hospitality (+2,200).

Other sectors and their changes from December 2023:

• Government: +1,500
• Trade, transportation and utilities: +700
• Construction: +600
• Financial activities: +300
• Mining and logging: +100
• Information: -300
• Other services: -1,300