For Release:
March 17, 2025
Contact:
Virginia Works
Economic Information & Analytics Division
LMI@virginiaworks.gov
(804) 786-7496

Virginia’s January Unemployment Rate increased by 0.1 percentage points to 3.0 percent; Labor Force Participation Rate remained unchanged at 65.8 percent and Employment increased by 769 to 4,464,393


RICHMOND— Virginia Works – the Commonwealth’s Department of Workforce Development and Advancement – announced today that Virginia’s seasonally adjusted unemployment rate in January increased by 0.1 percentage points to 3.0 percent, which is 0.2 percentage points above the rate from a year ago. According to household survey data in January, the labor force increased by 2,893 to 4,601,347 as the number of unemployed residents increased by 2,124 to 136,954. The number of employed residents increased by 769 to 4,464,393. Virginia’s seasonally adjusted unemployment rate is 1.0 percentage points below the national rate, which decreased by 0.1 percentage points to 4.0 percent.

The Commonwealth’s labor force participation rate remained unchanged at 65.8 percent in January. The labor force participation rate measures the proportion of the civilian population age 16 and older that is employed or actively looking for work.

            In January, Virginia’s nonagricultural employment, from the monthly establishment survey increased by 7,100 to 4,281,000. December’s preliminary estimate of employment, after revision, increased by 5,700 to 4,273,900. In January, private sector employment increased by 2,300 to 3,510,200 while government employment increased by 4,800 to 770,800. Within that sector, federal government jobs increased by 400 to 197,100, state government employment increased by 3,300 to 166,300, and local government increased by 1,100 to 407,400 over the month.  

            Seasonally adjusted total nonfarm employment data is produced for eleven industry sectors. In January, six experienced over-the-month job gains, and five experienced a decline. The largest job gain occurred in Education and Health Services (+5,000) to 631,900. The second largest job gain occurred in Government (+4,800) to 770,800. The third largest job gain occurred in Professional and Business Services (+2,100) to 820,300. The other gains were in Information (+700) to 72,400; Leisure and Hospitality (+700) to 419,700; and Financial Activities (+600) to 220,300.
            The largest job loss occurred in Construction (-2,900) to 216,100. The second largest job loss occurred in Trade, Transportation, and Utilities (-2,100) to 676,300. The third largest job loss occurred in Miscellaneous Services (-1,100) to 204,400. The other losses were in Manufacturing (-600) to 241,600 and Mining and Logging (-100) to 7,200.

Nonfarm Employment in Virginia* Seasonally Adjusted
 
IndustryEmploymentDecember 2024 to January 2025January 2024 to January 2025
January 2025December 2024January 2024Change% ChangeChange% Change
Total Nonfarm4,281,0004,273,9004,206,2007,1000.2%74,8001.8%
Total Private3,510,2003,507,9003,459,0002,3000.1%51,2001.5%
Goods Producing464,900468,500469,300-3,600-0.8%-4,400-0.9%
Mining and Logging7,2007,3007,300-100-1.4%-100-1.4%
Construction216,100219,000216,600-2,900-1.3%-500-0.2%
Manufacturing241,600242,200245,400-600-0.2%-3,800-1.5%
Service-Providing3,816,1003,805,4003,736,90010,7000.3%79,2002.1%
Private Service Providing3,045,3003,039,4002,989,7005,9000.2%55,6001.9%
Trade, Transportation, and Utilities676,300678,400674,600-2,100-0.3%1,7000.3%
Information72,40071,70070,3007001.0%2,1003.0%
Financial Activities220,300219,700220,8006000.3%-500-0.2%
Professional and Business Services820,300818,200807,9002,1000.3%12,4001.5%
Education and Health Services631,900626,900598,0005,0000.8%33,9005.7%
Leisure and Hospitality419,700419,000414,9007000.2%4,8001.2%
Miscellaneous Services204,400205,500203,200-1,100-0.5%1,2000.6%
Government770,800766,000747,2004,8000.6%23,6003.2%
Federal Government197,100196,700191,7004000.2%5,4002.8%
State Government166,300163,000158,5003,3002.0%7,8004.9%
Local Government407,400406,300397,0001,1000.3%10,4002.6%

*Current month’s estimates are preliminary.

            From January 2024 to January 2025, Virginia Works estimates that total nonfarm employment in Virginia increased by 74,800 to 4,281,000, private sector employment increased by 51,200 to 3,510,200, and government employment increased by 23,600 to 770,800 jobs. Within that sector, federal government jobs increased by 5,400 to 197,100, state government employment increased by 7,800 to 166,300, and local government increased by 10,400 to 407,400 over the year.

For the eleven industry sectors in Virginia over the year, seven experienced over-the-year job gains, and four experienced a decline. The largest job gain occurred in Education and Health Services (+33,900) to 631,900. The second largest job gain occurred in Government (+23,600) to 770,800. The third largest job gain occurred in Professional and Business Services (+12,400) to 820,300. The other gains were in Leisure and Hospitality (+4,800) to 419,700; Information (+2,100) to 72,400; Trade, Transportation, and Utilities (+1,700) to 676,300; and Miscellaneous Services (+1,200) to 204,400.
            The largest job loss occurred in Manufacturing (-3,800) to 241,600. The second largest job loss occurred in Construction (-500) to 216,100 and Financial Activities (-500) to 220,300. The other loss was in Mining and Logging (-100) to 7,200.


Nonfarm Employment in Virginia* Seasonally Adjusted
 
AreaEmploymentDecember 2024 to January 2025January 2024 to January 2025
January 2025December 2024January 2024Change% ChangeChange% Change
Virginia4,281,0004,273,9004,206,2007,1000.2%74,8001.8%
Arlington-Alexandria MSA1,638,1001,637,4001,604,6007000.0%33,5002.1%
Blacksburg-Christiansburg-Radford MSA84,10083,90083,9002000.2%2000.2%
Charlottesville MSA125,800125,500123,0003000.2%2,8002.3%
Harrisonburg MSA71,80071,40071,3004000.6%5000.7%
Lynchburg MSA104,800104,400104,5004000.4%3000.3%
Richmond MSA726,500724,600714,0001,9000.3%12,5001.8%
Roanoke MSA168,300168,600166,200-300-0.2%2,1001.3%
Staunton MSA54,00053,90054,0001000.2%00.0%
Virginia Beach-Chesapeake-Norfolk MSA830,500827,000818,8003,5000.4%11,7001.4%
Winchester MSA73,60073,60072,70000.0%9001.2%

*Current month’s estimates are preliminary.

Seasonally adjusted total nonfarm employment data is produced for ten metropolitan areas. In January, eight experienced over-the-month job gains, one remained unchanged, and one experienced a decline. The largest job gain occurred in Virginia Beach-Chesapeake-Norfolk (+3,500) to 830,500. The second largest job gain occurred in Richmond (+1,900) to 726,500. The third largest job gain occurred in Arlington-Alexandria (+700) to 1,638,100. The other gains were in Harrisonburg (+400) to 71,800; Lynchburg (+400) to 104,800; Charlottesville (+300) to 125,800; Blacksburg-Christiansburg-Radford (+200) to 84,100; and Staunton (+100) to 54,000.
            The only job loss occurred in Roanoke (-300) to 168,300. Winchester remained unchanged.

Over the year, nine metro areas experienced over-the-year job gains and one remained unchanged. The largest job gain occurred in Arlington-Alexandria (+33,500) to 1,638,100. The second largest job gain occurred in Richmond (+12,500) to 726,500. The third largest job gain occurred in Virginia Beach-Chesapeake-Norfolk (+11,700) to 830,500. The other gains were in Charlottesville (+2,800) to 125,800; Roanoke (+2,100) to 168,300; Winchester (+900) to 73,600; Harrisonburg (+500) to 71,800; Lynchburg (+300) to 104,800; and Blacksburg-Christiansburg-Radford (+200) to 84,100.
            Staunton remained unchanged.

Not Seasonally Adjusted Data

            Virginia’s unadjusted unemployment rate increased by 0.6 percentage points to 3.1 percent in January. It has increased by 0.3 percentage points to 3.1 percent compared to last year. Compared to a year ago, the number of unemployed increased by 15,941 to 142,905, household employment increased by 12,031 to 4,422,079, and the labor force increased by 27,972 to 4,564,984. Virginia’s not seasonally adjusted unemployment rate is 1.3 percentage points below the national unadjusted rate, which increased by 0.6 percentage points to 4.4 percent.

            Compared to last month, the January unadjusted workweek for Virginia’s 153,600 manufacturing production workers increased by 0.3 to 39.9 hours. Average hourly earnings of private-sector production workers increased by $0.08 to $27.59, and average weekly earnings increased by $11.44 to $1,100.84.

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Technical note: Estimates of unemployment and industry employment levels are obtained from two separate monthly surveys. Resident employment and unemployment data are mainly derived from the Virginia portion of the national Current Population Survey (CPS), a household survey conducted each month by the U.S. Census Bureau under contract with BLS, which provides input to the Local Area Unemployment Statistics (LAUS) program (often referred to as the “household” survey). Industry employment data is mainly derived from the Current Employment Statistics (CES) survey, a monthly survey of approximately 18,000 Virginia businesses conducted by BLS, which provides estimates of employment, hours, and earnings data broken down by industry for the nation as a whole, all states and most major metropolitan areas (often referred to as the “establishment” survey). Both industry and household estimates are revised each month based on additional information from updated survey reports compiled by the BLS. For national figures and information on how COVID-19 affected collection of the BLS establishment and household surveys in April 2020, refer to the BLS January Employment Situation press release for details.

The statistical reference week for the household survey this month was the week of January 12-18, 2025

Virginia Works plans to release the January local area unemployment rates on Friday March 21, 2025. The data will be available on our website www.VirginiaWorks.com. The February 2025 statewide unemployment rate and employment data for both the state and metropolitan areas are scheduled to be released on Friday March 28, 2025.

Jan 25 CES Distribution Publication File


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