Washington unemployment drops to 4.5% as state adds 11,800 jobs

Washington state's unemployment rate dropped to 4.5% in December as employers added 11,800 jobs.

The employment gains marked a strong finish to 2024, with construction and leisure sectors leading the growth. The December unemployment rate fell from 4.6% in November and represents the lowest level recorded in 2024, according to the state Employment Security Department.

"Washington's labor economy finished 2024 strong," said Anneliese Vance-Sherman, chief labor economist for the Employment Security Department. "The unemployment rate dropped to the lowest rate on record during the calendar year. The only two months with higher job gains in 2024 were in February and November."

Construction added 4,000 jobs, with specialty trade contractors gaining 2,400 positions and residential building construction adding 1,700. The leisure and hospitality sector grew by 2,900 jobs, primarily in accommodation and food services.

Manufacturing saw the largest decline, shedding 1,600 jobs, with 900 losses concentrated in aerospace products and parts manufacturing. Retail trade and government each decreased by 200 jobs.

Over the past year, Washington added 30,600 jobs, reflecting a 0.9% increase. The private sector grew by 0.4% while public sector employment increased by 3.0%.

The state paid unemployment benefits to 70,120 people in December, up 7,444 from November. The increase was primarily driven by claims from construction, agriculture, and administrative support sectors.

Washington's unemployment rate remains higher than the national rate, which decreased to 4.1% in December from 4.2% in November. The state's December 2024 rate of 4.5% was also higher than its December 2023 rate of 4.2%.

The Seattle/Bellevue/Everett region saw its unemployed population decrease from 76,188 to 73,151 between November and December, while its labor force grew by 12,013 workers.