Statewide Unemployment Holds Firm for Fourth Straight Month

NASHVILLE -The statewide unemployment rate remained unchanged in May at 3.6%, according to the latest data from the Tennessee Department of Labor and Workforce Development (TDLWD). This marks the fourth consecutive month the state's seasonally adjusted unemployment rate has been 3.6%. One year ago, the state's unemployment rate in May was 3.5%.

Tennessee's unemployment rate continues to track well below the U.S. rate, which was 4.3% in both May 2025 and last month.

Between April and May 2026, Tennessee employers added 5,700 nonfarm jobs. The largest increases were in the leisure and hospitality sector, followed by durable goods manufacturing and government.

Over the past year, nonfarm employment increased by 8,000 jobs, with the biggest gains in the health care and social assistance sector, followed by the administrative, support, and waste services sector, and leisure and hospitality.

TDLWD has compiled an analysis of the May 2026 unemployment data.

Tennessee's Industry and Wage data provides valuable insight for job seekers, students, and career changers exploring opportunities across the state's diverse economy.

By comparing wages across industries such as healthcare, manufacturing, and transportation and warehousing, individuals can identify sectors that offer strong earning potential while also considering factors such as employment demand, industry growth, and long-term career stability.

Access to wage and industry data helps Tennesseans make informed decisions about education, training, and career pathways that align with workforce needs and personal goals.

These data resources serve as an important tool for connecting talent with opportunity and supporting long-term economic success. The state's latest data is available on the Industry Employment and Wages dashboard.

Tennessee will release the May 2026 unemployment data for all 95 counties on Thursday, June 25, 2026, at 1:30 p.m. CDT.