Arkansas’ seasonally adjusted unemployment rate fell to 3.9% in August 2026, marking its 4th consecutive monthly decline as employment and the civilian labor force remained at record highs.
The Arkansas Department of Commerce, in conjunction with the Bureau of Labor Statistics, reported the state’s unemployment rate dropped from 4.0% in July. The national rate remained unchanged at 4.1%, putting Arkansas 0.2 percentage points below the United States rate.
Arkansas’ civilian labor force increased by 192 in August. That change reflected 1,972 more employed residents and 1,780 fewer unemployed Arkansans actively seeking work.
According to the report, the number of unemployed residents actively looking for work has steadily declined throughout 2026.
Compared with August 2025, Arkansas had 22,140 more employed residents. The state’s labor force participation rate increased 0.4 percentage points over the year.
SEASONAL HIRING BOOSTS PAYROLL JOBS
Arkansas added 12,200 nonfarm payroll jobs in August, largely because of seasonal hiring associated with the new school year. These payroll figures are not seasonally adjusted.
Government recorded the largest monthly increase, adding 5,700 jobs. Private Education and Health Services added 3,200.
Professional-Business Services gained 1,700 jobs, while Leisure and Hospitality added 1,500. Hiring in those sectors was also partly connected to the start of the school year.
PAYROLL JOBS UP 11,300 OVER THE YEAR
Compared with August 2025, Arkansas’ nonfarm payroll employment increased by 11,300 jobs.
Notable annual gains included:
Leisure and Hospitality: 6,200 jobs
Professional-Business Services: 3,400 jobs
Trade-Transportation-Utilities: 2,800 jobs
Construction: 1,500 jobs
Annual declines included:
Government: 1,300 jobs
Financial Activities: 1,200 jobs
Other Services: 1,100 jobs
The report measures employed residents and payroll jobs separately. The labor force figures count people, while the nonfarm payroll figures count jobs reported by employers.
Current-month payroll figures are preliminary, and previous-month figures have been revised.
Additional labor market information is available at discover.arkansas.gov.
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