State Unemployment by Race and Ethnicity

A softening labor market led to worse unemployment for Black workers nationwide

Key numbers • 2026 Q1

M.D. Highest Black-white unemployment ratio 3-to-1
P.A. Highest Hispanic-white unemployment ratio 2.4-to-1
U.S. National Black-white unemployment ratio 2.1-to-1
U.S. National Hispanic-white unemployment ratio 1.5-to-1

2026 Q1 • Updated May 2026

Unemployment and Black-white racial inequality rose across states through the first quarter of 2026

By Kyle K. Moore 

EPI analyzes national and state unemployment rates by race and ethnicity, and racial/ethnic unemployment rate gaps on a quarterly basis to generate a consistent sample to create reliable and precise estimates of unemployment rates by race and ethnicity at the state level.

We report estimates for all states and subgroups, flagging those for which constructed unemployment rates are heavily weighted by national level data with an asterisk (*) (see methodological note). The following analysis contains data on the first quarter of 2026.

Methodological note

As of 2022 Q2, EPI has updated its methodology for constructing state-level unemployment rates and ratios by race/ethnicity, with the goal of providing a more consistent set of states for analysis from quarter to quarter. The new methodology uses a longer time horizon of state-level unemployment data from the Current Population Survey (12 months versus 6 months) and leverages national-level data to better represent state-level race groupings that traditionally have been dropped from the analysis due to low sample size. As a result of this methodological change, reports in this series from 2022 Q2 forward are not directly comparable with reports prior to 2022 Q2.

In contrast to previous reports, all states now have listed unemployment rates for each of the four analyzed groups for every quarter. However, those states and demographic groups with typically small sample sizes require a heavier weighting of national-level data to supplement their analysis and are noted as such with an asterisk (*). These estimates should be interpreted with caution, as they may be less precise or representative measures of state-specific conditions than those calculated in states with larger sample sizes. The full methodological update is detailed in our technical report.1

First-quarter 2026 state unemployment rates, trends, and ratios 

The first quarter of 2026 saw continued attacks on federal employment, elevated Black-white economic inequality, and increased affordability concerns due to the start of a war in Iran and a soft labor market.

The national unemployment rate for all workers was 4.3% in the first quarter of 2026, continuing 2025’s average unemployment rate—an elevated rate compared with the start of Trump’s second term. Twenty-seven states (and Washington, D.C.) had overall unemployment rates above 4% in the first quarter of 2026.

Washington, D.C., had the highest overall unemployment rate, and the only overall unemployment rate above 6% nationwide, at 6.4%. Six states (and Washington, D.C.) had overall unemployment rates at or above 5%. Five states had overall unemployment rates at or below 3%: in descending order, Alabama, North Dakota, Vermont, Hawaii, and South Dakota. South Dakota again had the lowest overall unemployment rate at 2.1%.

Overall unemployment rates 2026 Q1

Highest: D.C. (6.4%)

Lowest: S.D. (2.1%)

National: 4.3%

Attacks on federal employment continued through the first quarter of 2026, which contributed to sharply elevated unemployment in Washington, D.C., as well as worsening Black employment nationwide. Moreover, disruptions in the supply of oil, following from the administration’s instigation of a war in Iran and the subsequent closure of the Strait of Hormuz, have stoked concerns over rising gas prices throughout the country. The roots of U.S. workers’ affordability concerns, however, still lie with the softening labor market, which limits upward pressure on wages. Marginalized workers also no longer have the benefit of a  strong labor market, like in 2024, which helped push unemployment rates down across the board; as a result, Black-white unemployment gaps are widening.

Interactive Map

State unemployment rates, by race/ethnicity and overall, 2026 Q1

State All White Black Hispanic AAPI
United States 4.3% 3.4% 7.2% 5.1% 3.9%
Alabama 2.8% 2.0% 4.7% 3.3%* 2.5%*
Alaska 4.7% 3.5% 7.8%* 5.3%* 4.0%*
Arizona 4.4% 3.2% 6.3%* 5.5% 4.7%*
Arkansas 4.2% 3.0% 8.4% 5.0%* 3.8%*
California 5.5% 4.7% 9.9% 6.0% 4.0%
Colorado 3.9% 3.2% 6.0%* 5.9% 3.6%*
Connecticut 4.2% 3.2% 7.4%* 5.6% 3.8%*
Delaware 5.0% 3.6% 7.9% 6.1%* 4.6%*
Florida 4.2% 3.7% 7.3% 3.3% 3.7%*
Georgia 3.4% 2.2% 5.2% 3.7%* 3.1%*
Hawaii 2.3% 2.3% 3.8%* 3.0%* 2.0%
Idaho 3.6% 3.5% 6.0%* 4.2% 3.3%*
Illinois 4.6% 3.6% 8.5% 5.0% 4.0%
Indiana 3.6% 3.0% 5.9% 4.4%* 3.2%*
Iowa 3.5% 2.9% 6.7%* 4.1%* 3.1%*
Kansas 3.8% 2.9% 6.6%* 4.9%* 3.5%*
Kentucky 4.5% 4.0% 8.0% 5.2%* 4.1%*
Louisiana 4.3% 2.8% 6.0% 6.0% 3.9%*
Maine 3.3% 3.0% 5.5%* 3.9%* 3.0%*
Maryland 4.2% 2.4% 7.4% 4.6%* 3.8%*
Massachusetts 4.6% 3.9% 6.2% 7.2% 4.8%
Michigan 5.0% 3.9% 10.5% 6.4% 4.6%*
Minnesota 4.1% 3.3% 7.2%* 4.8%* 3.7%*
Mississippi 3.8% 2.8% 5.3% 4.4%* 3.4%*
Missouri 3.9% 3.2% 7.2% 4.6%* 3.6%*
Montana 3.4% 3.3% 5.7%* 4.0%* 3.1%*
Nebraska 3.0% 2.5% 4.9%* 4.1%* 2.7%*
Nevada 5.2% 4.4% 8.3% 5.7% 4.0%
New Hampshire 3.2% 3.0% 5.3%* 3.7%* 2.9%*
New Jersey 5.3% 4.3% 7.8% 5.9% 5.4%
New Mexico 4.3% 3.3% 6.2%* 4.9% 3.9%*
New York 4.5% 3.1% 8.1% 6.0% 3.7%
North Carolina 3.8% 3.2% 6.0% 2.9% 3.5%*
North Dakota 2.6% 2.0% 4.3%* 3.0%* 2.4%*
Ohio 4.4% 3.9% 7.3% 5.1%* 4.0%*
Oklahoma 3.5% 2.9% 6.4%* 3.4% 3.2%*
Oregon 5.2% 4.4% 8.7%* 6.4% 5.2%*
Pennsylvania 4.3% 3.4% 7.2% 8.3% 3.9%*
Rhode Island 4.4% 3.2% 7.3%* 6.4% 4.0%*
South Carolina 4.6% 2.9% 8.3% 5.4%* 4.2%*
South Dakota 2.1% 1.4% 3.5%* 2.5%* 1.9%*
Tennessee 3.5% 3.0% 6.6% 4.1%* 3.2%*
Texas 4.2% 3.3% 6.6% 4.5% 3.4%
Utah 3.6% 3.3% 6.0%* 4.6% 3.3%*
Vermont 2.6% 2.4% 4.4%* 3.1%* 2.4%*
Virginia 3.5% 2.7% 5.7% 3.7% 3.2%*
Washington 4.8% 4.4% 7.5%* 5.8% 4.3%
Washington D.C. 6.4% 4.0% 10.1% 7.5% 5.9%*
West Virginia 4.4% 4.2% 7.2%* 5.1%* 4.0%*
Wisconsin 3.2% 2.3% 7.2%* 4.1%* 2.9%*
Wyoming 3.4% 3.3% 5.7%* 3.9% 3.1%*
Economic Policy Institute

Notes: AAPI stands for Asian American and Pacific Islander. Unemployment rates for each demographic group are produced from a weighted average of state and national unemployment trends. Those states and demographic groups with typically small sample sizes require a heavier weighting of national-level data to supplement their analysis. See methodological note for more detail. 

Source: EPI analysis of Bureau of Labor Statistics Local Area Unemployment Statistics (LAUS) data and Current Population Survey (CPS) data.

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First-quarter 2026 trends among white workers 

Every state (including Washington, D.C.) had a white unemployment rate below 5% in the first quarter of 2026. California had the highest white unemployment rate at 4.7%, while South Dakota had the lowest white unemployment rate at 1.4%. Seven states had white unemployment rates at or above 4%, while 21 states had white unemployment rates at or below 3%. White unemployment rates nationwide remained largely in line with 2025 trends in the first quarter of 2026.

White unemployment rates 2026 Q1

Highest: Calif. (4.7%)

Lowest: S.D. (1.4%)

National: 3.4%

First-quarter 2026 trends among Black workers 

Employment prospects for Black workers fell through the first quarter of 2026. Michigan (10.5%) and Washington, D.C. (10.1%) had the highest Black unemployment rates and the only rates above 10% across groups, for the first quarter of 2026. Alabama had the lowest unemployment rate among those states with a large-enough sample of Black workers for precise estimates, at 4.7%, while South Dakota had the lowest Black unemployment rate of all states irrespective of sample size at 3.5%. No state saw a Black unemployment rate below 3% in 2026 Q1; no state with a sample size that allowed precise estimates saw a Black unemployment rate below 4.5%. Only six states (in descending order: Nebraska, Alabama, Vermont, North Dakota, Hawaii, and South Dakota) had Black unemployment rates below 5% in the first quarter of 2026. The national unemployment rate for Black workers in the first quarter of 2026 was 7.2%, a significant increase compared with the 2025 trend (6.8% average for the year).

Black unemployment rates 2026 Q1

Highest: Mich. (10.5%), D.C. (10.1%)

Lowest: S.D.* (3.5%); Ala. (4.7%) 

National: 7.2%

The national Black-white unemployment ratio for 2026 Q1 was 2.1-to-1—meaning Black workers were once again twice as likely as white workers to experience unemployment. Maryland had the highest Black-white unemployment ratio among states with large-enough sample sizes for precise estimates at 3-to-1. Among all states irrespective of sample size, Wisconsin had the highest Black-white unemployment ratio at 3.2-to-1. Massachusetts had the lowest Black-white unemployment ratio at 1.6-to-1. In the first quarter of 2026 there were thirty states (and Washington, D.C.) where Black workers were twice as likely or more than white workers to be unemployed.

Black-white unemployment ratios 2026 Q1

Highest: Wis.* (3.2-to-1), Md. (3-to-1)

Lowest: Mass. (1.6-to-1)

National: 2.1-to-1

First-quarter 2026 trends among Hispanic workers

Pennsylvania had the highest Hispanic unemployment rate in the country in the first quarter of 2026 at 8.3%. South Dakota had the lowest Hispanic unemployment rate at 2.5% but had a Hispanic worker sample size too small for precise estimates. North Carolina had the lowest Hispanic unemployment rate among states with large-enough sample sizes for precise estimates, at 2.9%. Only South Dakota and North Carolina had Hispanic unemployment rates below 3% in 2026 Q1. Twenty-eight states had Hispanic unemployment rates below 5% in 2026 Q1. The national Hispanic unemployment rate in the first quarter of 2026 was 5.1%, in line with the 2025 average.

Hispanic unemployment rates 2026 Q1

Highest: Pa. (8.3%)

Lowest: S.D.* (2.5%), N.C. (2.9%)

National: 5.1%

In the first quarter of 2026 the nationwide Hispanic-white unemployment ratio was 1.5-to-1, meaning Hispanic workers were 50% more likely than their non-Hispanic white counterparts to experience unemployment. There were three states where Hispanic workers were twice as likely or more than white workers to experience unemployment:  Rhode Island (2-to-1), Louisiana (2.1-to-1), and Pennsylvania (2.4-to-1, the highest in the country). Florida and North Carolina had the lowest Hispanic-white unemployment ratios in the country, both at 0.9-to-1. This means Hispanic workers in those two states were less likely than white workers to face unemployment.

Hispanic-white unemployment ratios 2026 Q1

Highest: Pa. (2.4-to-1)

Lowest:  Fla. (0.9-to-1) , N.C. (0.9-to-1)    

National: 1.5-to-1

First-quarter 2026 trends among Asian American and Pacific Islander (AAPI) workers

The AAPI unemployment rate was highest in Washington, D.C., at 5.9%, though the district has a small AAPI worker sample and thus does not allow for precise estimates. Among states with a large-enough AAPI worker sample, New Jersey has the highest AAPI unemployment rate at 5.4%. Hawaii had the lowest AAPI unemployment rate among states with sufficient AAPI sample sizes in 2026 Q1 at 2%; among all states regardless of sample size, South Dakota had the lowest AAPI unemployment rate, at 1.9%. Only two states (and Washington, D.C.) had AAPI unemployment rates at or above 5% in 2026 Q1: Oregon (5.2%), New Jersey (5.4%), and Washington, D.C. (5.9%). The national AAPI unemployment rate for 2026 Q1 was 3.9%, slightly elevated compared with the 2025 trend (3.7% average for the year).

AAPI unemployment rates 2026 Q1

Highest: D.C* (5.9%), N.J. (5.4%)

Lowest: S.D.* (1.9%), Hawaii (2%)

National: 3.9%

Table 1

Change in state unemployment rates by race and ethnicity from 2024 Q4 to 2026 Q1 (percentage points)

State All White Black Hispanic AAPI
United States 0.3 0.2 1.0 0.0 0.3
Alabama -0.2 -0.7 0.8 -0.5* -0.1*
Alaska 0.1 0.9 0.8* 0.1* 0.2*
Arizona 0.7 0.2 1.5* 1.1 1.3*
Arkansas 0.7 -0.2 3.9 0.8* 0.7*
California 0.2 -0.1 2.2 -0.0 0.2
Colorado -0.2 -0.3 -0.7* 0.4 -0.1*
Connecticut 0.9 0.3 2.8* 1.2 0.9*
Delaware 1.1 0.8 2.5 0.9* 1.1*
Florida 0.8 1.0 2.0 -0.0 0.5*
Georgia 0.0 -0.2 0.4 -0.2* 0.1*
Hawaii -0.5 -1.2 -0.5* -0.6* -0.4
Idaho 0.1 0.0 0.5* 0.3 0.1*
Illinois -0.4 -0.1 1.3 -2.3 -0.6
Indiana -0.5 -0.2 -0.7 -1.1* -0.4*
Iowa 0.3 0.3 1.9* 0.1* 0.3*
Kansas 0.3 -0.1 0.9* 0.1* 0.3*
Kentucky -0.4 0.7 -1.3 -0.8* -0.3*
Louisiana -0.0 -0.1 -0.4 0.5 0.1*
Maine 0.3 0.1 0.8* 0.1* 0.3*
Maryland 1.0 0.1 3.0 0.6* 1.0*
Massachusetts 0.6 0.2 0.2 2.1 1.5
Michigan 0.3 -0.2 2.6 0.8 0.3*
Minnesota 0.9 0.7 2.3* 0.8* 0.9*
Mississippi 0.6 0.4 0.9 0.4* 0.6*
Missouri 0.2 0.1 1.1 -0.0* 0.3*
Montana 0.4 0.6 1.1* 0.3* 0.4*
Nebraska 0.2 0.3 0.7* 0.0* 0.3*
Nevada -0.2 -0.5 1.7 0.1 -0.1
New Hampshire 0.6 0.6 1.3* 0.5* 0.6*
New Jersey 0.6 0.4 0.1 1.5 0.5
New Mexico 0.2 0.7 0.1* 1.0 0.2*
New York 0.3 0.1 0.6 0.3 0.5
North Carolina 0.2 0.2 0.0 -0.6 0.2*
North Dakota 0.2 0.2 0.6* 0.0* 0.2*
Ohio 0.1 0.4 -2.0 -0.1* 0.1*
Oklahoma 0.3 -0.1 1.9* -0.4 0.3*
Oregon 0.9 0.6 2.1* 1.0 1.3*
Pennsylvania 0.5 0.2 1.5 -0.0 0.5*
Rhode Island 0.2 -0.9 0.8* 1.0 0.2*
South Carolina 0.5 0.1 1.4 0.3* 0.5*
South Dakota 0.3 -0.0 0.7* 0.2* 0.3*
Tennessee 0.2 0.3 0.5 0.0* 0.2*
Texas 0.1 0.4 0.1 0.1 -0.6
Utah 0.4 0.5 1.0* 0.3 0.4*
Vermont 0.3 0.2 0.8* 0.2* 0.3*
Virginia 0.6 0.6 0.5 0.4 0.6*
Washington 0.3 0.4 0.7* -1.1 0.5
Washington D.C. 1.1 1.7 -0.0 1.1 1.1*
West Virginia 0.3 0.2 0.9* 0.0* 0.3*
Wisconsin 0.2 -0.1 1.3* -0.2* 0.2*
Wyoming 0.3 0.6 0.9* -0.4 0.3*
Economic Policy Institute

Notes: Unemployment rates for each demographic group are produced from a weighted average of state and national unemployment trends. Those states and demographic groups with typically small sample sizes require a heavier weighting of national-level data to supplement their analysis, and are noted as such with an asterisk (*). See methodological note for more detail. 

Source: EPI analysis of Bureau of Labor Statistics Local Area Unemployment Statistics (LAUS) data and Current Population Survey (CPS) data.

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Table 2

Black-white and Hispanic-white state unemployment rate ratios, 2026 Q1

State Black-white ratio Hispanic-white ratio
United States 2.1 1.5
Alabama 2.4 1.7*
Alaska 2.2* 1.5*
Arizona 1.9* 1.7
Arkansas 2.8 1.7*
California 2.1 1.3
Colorado 1.9* 1.8
Connecticut 2.3* 1.7
Delaware 2.2 1.7*
Florida 2.0 0.9
Georgia 2.4 1.7*
Hawaii 1.7* 1.3*
Idaho 1.7* 1.2
Illinois 2.3 1.4
Indiana 1.9 1.4*
Iowa 2.3* 1.4*
Kansas 2.3* 1.7*
Kentucky 2.0 1.3*
Louisiana 2.1 2.1
Maine 1.8* 1.3*
Maryland 3.0 1.9*
Massachusetts 1.6 1.8
Michigan 2.7 1.6
Minnesota 2.2* 1.5*
Mississippi 1.9 1.6*
Missouri 2.3 1.4*
Montana 1.8* 1.2*
Nebraska 2.0* 1.7*
Nevada 1.9 1.3
New Hampshire 1.8* 1.2*
New Jersey 1.8 1.4
New Mexico 1.9* 1.5
New York 2.6 1.9
North Carolina 1.9 0.9
North Dakota 2.2* 1.5*
Ohio 1.9 1.3*
Oklahoma 2.2* 1.2
Oregon 2.0* 1.5
Pennsylvania 2.1 2.4
Rhode Island 2.3* 2.0
South Carolina 2.8 1.8*
South Dakota 2.5* 1.8*
Tennessee 2.2 1.4*
Texas 2.0 1.4
Utah 1.8* 1.4
Vermont 1.8* 1.3*
Virginia 2.1 1.3
Washington 1.7* 1.3
Washington D.C. 2.6 1.9
West Virginia 1.7* 1.2*
Wisconsin 3.2* 1.8*
Wyoming 1.7* 1.2
Economic Policy Institute

Notes: Unemployment rates for each demographic group are produced from a weighted average of state and national unemployment trends. Those states and demographic groups with typically small sample sizes require a heavier weighting of national-level data to supplement their analysis, and are noted as such with an asterisk (*). See methodological note for more detail. 

Source: EPI analysis of Bureau of Labor Statistics Local Area Unemployment Statistics (LAUS) data and Current Population Survey (CPS) data.

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Methodology

The unemployment rate estimates in this report are based on the Local Area Unemployment Statistics (LAUS) and the Current Population Survey (CPS) from the Bureau of Labor Statistics (BLS). The overall state unemployment rates are taken directly from the LAUS. CPS 12-month ratios are applied to LAUS data to calculate the rates by race and ethnicity. For each state subgroup, we calculate the unemployment rate using the past 12 months of CPS data. We then find the ratio of this subgroup rate to the state (or national) unemployment rate, using the same period of CPS data. This gives us an estimate of how the subgroup compares with the state overall.

We also leverage national-level data to construct weighted unemployment ratios, utilizing a greater share of national-level data for states with a high amount of volatility in race/ethnicity sample sizes. This allows for more consistent reporting of unemployment rates for Black, Hispanic, and AAPI workers. For more detail on our methodology, see the technical report. 

Notes

1. Marokey Sawo and Daniel Perez, Detailing the New Methodology Behind EPI’s Quarterly State Unemployment Rates by Race and Ethnicity Series, Economic Policy Institute, December 2022.

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