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US states, September 2026: regional jobless rates ease; California workforce shrinks

Unemployment rates fell in the South, to 4.0%, and the West, to 4.7%, in September 2026, even as the national rate rose to 4.2%. California's rate held at 5.1% because its workforce keeps shrinking.

A data update from FactIQ, written from Bureau of Labor Statistics figures. What is FactIQ?

Key figures

South region unemployment rate, September 2026
4.0%down from 4.1%2022-09-012026-09-01The unemployment rate for the South region of the United States
California employed people, September 2026
18.49mdown from 18.78m in December 2025, falling every month2022-09-012026-09-01Total number of employed people in the state of California
West region labour force, September 2026
40.0mdown about 683k since December2022-09-012026-09-01Total civilian labor force in the West region of the United States

Most regions and several weak states saw unemployment ease in September

The unemployment rate is the share of people who want work but cannot find it. It is a main gauge of how healthy local job markets are. State and metro figures from the Bureau of Labor Statistics (BLS) show:
  • The South fell to 4.0% from 4.1%, and the West fell to 4.7% from 4.8%.
  • The Northeast stayed at 4.1%, and the Midwest stayed at 3.9%.
  • Illinois dropped to 4.6%, from 5.1% in the spring.
  • Florida dropped to 4.4%, from a 4.8% peak in April–May.
  • Nevada dropped to 4.7%, from 5.3% earlier in the year.
  • The District of Columbia dropped to 5.6%, from 6.7% at the turn of the year.
  • Washington was at 4.8% and New Jersey at 4.2%.
  • New York City held at 4.8%, Texas at 4.4% and Michigan at 5.0%.

California's steady rate comes from people leaving the workforce, not from more hiring

California's unemployment rate held at 5.1% for a third month.
  • The number of employed people has fallen every month since December 2025. It went from 18.78 million to 18.49 million, about 295 thousand fewer.
  • The labour force, meaning people working or looking for work, fell to 19.48 million from 19.72 million in April.
  • The participation rate, the share of adults in the labour force, slid to 61.4% from 62.6% late last year.
  • The West region's labour force has dropped about 683 thousand since December, to 40.0 million.

State estimates follow a slower trend than the national survey

The national household survey showed September unemployment rising to 4.2% from 4.1%. It also showed the labour force jumping about 485 thousand. The state figures come from smoothed models, which lag and dampen monthly swings. They point to a slow trend. They do not show that the national rise was false.

August figures were revised slightly. County and metro counts moved by tens to a few hundred people. California's August participation rate was revised to 61.4 from 61.5.

Source: Bureau of Labor Statistics. See all BLS data in FactIQ.

About FactIQ and these updates

  • What FactIQ is. FactIQ is a database of official statistics from government agencies, central banks and international organisations in the US, China, India, Europe and elsewhere. AI assistants such as Claude and ChatGPT connect to it to look up the exact figures and cite the agency that published them. It also holds what companies report in their filings and say on their earnings calls.
  • How an update is made. When Bureau of Labor Statistics publishes new figures, FactIQ loads them and an AI model writes a short summary of what changed. Before it is published, code checks that every number in the summary matches FactIQ's record of the release, and a second review checks that nothing is overstated. Values that look like errors in the source data are left out.
  • Where the numbers come from. Each key figure links to the full series, with its source, units and history.

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