June 23, 2026

Summary

Iowa gained 3,400 nonfarm jobs in May, with government employment growing by 800 and private-sector employment growing by 2,600. The BLS also revised April 2026 nonfarm employment upward by 800 jobs. Taken together, Iowa’s cumulative job growth so far in 2026 stands at 6,500 jobs since December 2025—well ahead of the 1,400-job gain recorded at this point last year. Nonetheless, Iowa has shed 11,600 jobs (-0.7%) over the last twelve months, ranking 46th nationally in job growth rate—well below the national average of +0.3%. Despite weak annual growth, Iowa has the 9th-lowest unemployment rate in the nation at 3.2% and the 3rd-highest labor force participation rate at 67.4%.

Key Findings

  • Iowa’s job growth rate ranks poorly over the last year. Iowa’s -0.7% nonfarm growth rate ranks 46th among all states over the last 12 months. The national average was 0.3%.
  • Iowa gained 3,400 jobs in May. Iowa added 3,400 total nonfarm jobs, led by trade, transportation & utilities, government, and professional & business services.
  • Iowa has gained 6,500 jobs in the first five months of 2026. That is well ahead of the 1,400 jobs added by this point last year.
  • Only 3 of Iowa’s 11 job sectors grew over the last year. Education & health services, construction, and mining & logging grew, while the remaining eight sectors were flat or declined.

Download the report above for a PDF version of the full labor market.

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