South region · state data

Alabama unemployment rate and jobs

Alabama's unemployment rate was 3.5% in Sep 2026, 0.7 percentage points below the U.S. rate of 4.2%. That was up from 2.8% a year earlier.

Source: U.S. Bureau of Labor Statistics (Local Area Unemployment Statistics and Current Employment Statistics) via FRED®. Monthly data, seasonally adjusted. Latest observation Sep 2026; snapshot taken Oct 27, 2026, 2:15 AM EDT.

Unemployment rate (Sep 2026)

3.5%

U.S. rate, same month

4.2%

Difference from U.S.

-0.7 pt

A year earlier

2.8%

Rank (1 = lowest rate)

18th of 51

Nonfarm jobs (Sep 2026)

2.22 million

Job growth, 12 months

+1.0%

Record low rate

2.3% (May 2023)

Unemployment rate: Alabama vs. the U.S.

3.5% Sep 2026 · Percent

Alabama unemployment rate U.S. unemployment rate

Percent of the labor force, seasonally adjusted. Alabama data from Jan 1976 to Sep 2026; the dashed line is the national rate (UNRATE).

How Alabama compares

In Sep 2026, Alabama had the 18th lowest rate of the 51 states and DC (tied with Utah). Across the 16 states and DC in the South region, the simple average was 4.0%, so Alabama was 0.5 points below it.

Since the state series began in 1976, Alabama's rate has ranged from a low of 2.3% in May 2023 to a high of 14.7% in Jan 1983. Just before the pandemic, in February 2020, it was 3.3%, 0.2 points lower than now. Over the last 12 months the rate averaged 3.0% and was above the national rate in 0 of them.

Jobs in Alabama

Employers in Alabama reported 2.22 million nonfarm payroll jobs in Sep 2026, seasonally adjusted. That is 21,600 more than a year earlier (+1.0%), compared with +0.3% for the nation as a whole. Its 12-month job growth rate ranked 11th of 51. The record high was 2.22 million in Aug 2026. Compared with February 2020, payrolls are up 6.3%.

2,219.0K Sep 2026 · Thousands of persons

Total nonfarm payroll jobs, thousands, seasonally adjusted, from the BLS survey of employers. Data from Jan 1990.

Last 12 months in Alabama
Month	Unemployment rate	U.S. rate	Nonfarm jobs	Monthly job change
Sep 2026	3.5%	4.2%	2.22 million	-1,200
Aug 2026	3.4%	4.1%	2.22 million	+5,100
Jul 2026	3.4%	4.1%	2.22 million	-200
Jun 2026	3.2%	4.2%	2.22 million	+1,300
May 2026	3.0%	4.3%	2.21 million	+5,300
Apr 2026	2.8%	4.3%	2.21 million	+3,600
Mar 2026	2.7%	4.3%	2.21 million	+2,400
Feb 2026	2.7%	4.4%	2.20 million	-200
Jan 2026	2.7%	4.3%	2.20 million	+6,700
Dec 2025	2.7%	4.4%	2.20 million	+1,000
Nov 2025	2.7%	4.5%	2.20 million	-2,200
Sep 2025	2.8%	4.4%	2.20 million	+100

Record high unemployment rate: 14.7% (Jan 1983). Monthly figures are revised each year when BLS benchmarks the state data.

States with similar unemployment rates

Ohio · 3.4%Tennessee · 3.4%Utah · 3.5%Idaho · 3.6%

Other South states

Arkansas Delaware District of Columbia Florida Georgia Kentucky Louisiana Maryland Mississippi North Carolina Oklahoma South Carolina Tennessee Texas Virginia West Virginia All 50 states and DC U.S. unemployment rate

This page shows public labor market data for general information. It is not financial or career advice and does not predict future values.

Sources

U.S. Bureau of Labor Statistics, Unemployment Rate in Alabama [ALUR], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/ALUR, Oct 27, 2026.
U.S. Bureau of Labor Statistics, All Employees: Total Nonfarm in Alabama [ALNA], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/ALNA, Oct 27, 2026.
View ALUR on FRED® · View ALNA on FRED® · BLS Local Area Unemployment Statistics · BLS State and Metro Area Employment

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