Tennessee's Unemployment Rate Drops

    Monday, July 20, 2026 at 4:32 AM

    By News Staff

    Tennessee’s unemployment rate dipped in June, matching its lowest point of the year, according to data released by the Tennessee Department of Labor and Workforce Development.

    The state’s seasonally adjusted unemployment rate was 3.5% in June, down one-tenth of a percentage point from the previous month and unchanged from June 2025.

    Tennessee’s unemployment rate remains well below the national rate, which was 4.2% in June. 

    Over the past year, Tennessee employers added 25,300 nonfarm jobs. The largest gains were in the healthcare and social assistance sector, followed by the leisure and hospitality sector and the administrative, support, and waste services sector.

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