Tennessee last month posted its lowest unemployment rate in two years, according to new data from the Tennessee Department of Labor and Workforce Development.
The state’s seasonally adjusted unemployment rate in July was 3.4%, down one-tenth of a percentage point from the previous month and from one year ago. The last time Tennessee reported an unemployment rate of 3.4% or lower was in July 2024.
The state’s rate remains well below the U.S. rate, which was 4.1% last month.
Tennessee will release the July 2026 unemployment data for all 95 counties on Thursday, August 27th, 2026.
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