Los Angeles County’s Unemployment Rate Dips But Remains High

News Summary

January saw a minor decrease in Los Angeles County’s unemployment rate from 6.1% to 6%, yet it is still above last year’s figure of 5.4%. Despite the drop, the county experienced significant job losses totaling 99,500, particularly in the trade and transportation sectors. Orange County also faced rising unemployment rates, hitting 4.1%. As California’s overall unemployment drops slightly to 5.4%, substantial losses across various sectors highlight ongoing challenges in the job market.

Los Angeles County’s Unemployment Takes a Slight Dip in January – But It’s Still Higher Than Last Year!

Hello, Los Angeles! As we step into the new year, it’s time to look at some revealing numbers about our job market. This January, Los Angeles County has announced a small drop in its seasonally adjusted unemployment rate to 6%, down from 6.1% in December. While this might seem like a good sign, let’s not get too excited just yet! The current rate is still higher than the 5.4% recorded in January last year.

What’s Happening Beyond the City?

Looking beyond Los Angeles, Orange County isn’t faring much better. Its unemployment rate climbed to 4.1% in January from 3.7% in December. Yes, you guessed it right—this is also higher than last year’s figure of 3.9%.

Now, let’s take a peek at the whole Golden State. California’s overall unemployment rate is 5.4%, edging down slightly from 5.5% in December but still above the 5.1% mark from January 2024. Across the nation, things are looking a bit better, with the unemployment rate at 4%, a slight decrease from 4.1% in December but again, higher than the 3.7% recorded a year ago.

Job Losses in the City of Angels

Now, let’s dive into the job sector. In January, Los Angeles County saw a worrying decline of 99,500 jobs overall, bringing the total nonfarm employment to about 4.55 million. Ouch! The trade, transportation, and utilities sector alone reported a staggering loss of 24,100 jobs for the month.

A Closer Look at the Inland Empire

5.3% in January, up from 5% in December, but it’s still a tad better than January 2024’s 5.5%. Collectively, Riverside and San Bernardino counties had an unemployment rate of 5.3%, rising from 4.9% in December, with San Bernardino County boasting a rate of 5.2%.

If you’re thinking about where the highest unemployment figures are in Riverside County, make sure to check out Mecca! The area recorded an eye-popping unemployment rate of 12.9%. Other notable high-rates include Cherry Valley at 9.6%, Coachella with 8.7%, Rancho Mirage at 7.6%, and East Hemet at 7.4%.

Job Cuts Across Sectors

23,400 jobs. Additional job losses spread across agriculture, construction, financial services, health services, hospitality, information technology, manufacturing, and professional business services, translating into another 16,000 job cuts.

Moreover, even miscellaneous unclassified industries took a hit, with an estimated loss of 1,000 jobs.

Data Updates and Future Prospects

The Employment Development Department (EDD) has released this employment data slightly outside of their regular schedule due to an annual statistical revision called benchmarking. This process is designed to enhance the accuracy of our employment data and will wrap up at the end of the month, just in time for the release of February’s jobless numbers.

So, what does all this mean for our city’s job seekers and hopefuls? While it’s comforting to see a slight dip in the unemployment rate, the higher rates compared to last year coupled with the significant job losses across various sectors signal that we still have a long way to go to bring the job market back to its pre-pandemic glory. Let’s keep our fingers crossed for some positive changes as we move forward!

Deeper Dive: News & Info About This Topic

HERE Resources

Orange County Struggles with Job Losses and Unemployment Rise
Los Angeles County Unemployment Rate Drops to 6% in January
California’s Economic Landscape: Oil Taxes and Job Growth Debate
San Jose Stands Together Amid Wildfire Crisis and Local Business Growth
Economic Growth Sparks Cautious Optimism in Orange County

Additional Resources

• LA Business Journal: LA County Unemployment Rate Hit 6% in November
• Google Search: Los Angeles County Unemployment Rate
• CalChamber: Unemployment Insurance Exceptions Due to Wildfires
• Wikipedia: Unemployment
• OC Register: Southern California Unemployment Dips to 5.2%
• Encyclopedia Britannica: Unemployment
• Asbarez: Disaster Unemployment Assistance for LA County Workers
• Google News: California Unemployment 2025