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Arkansas Unemployment Rate Holds at 4.4% as Labor Force Reaches Record High in February 2026

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The Arkansas Department of Commerce, in conjunction with the, reports Arkansas’ seasonally adjusted unemployment rate held steady at 4.4% from January to February 2026.

Nationally, the U.S. unemployment rate increased slightly to 4.4%, up one-tenth of a percentage point from January.

Arkansas’ civilian labor force grew by 3,245, reaching a new record high. Employment also set a record, increasing by 3,519, while the number of unemployed Arkansans declined by 274. The state’s labor force participation rate rose to 59.2%, its highest level since October 2012.

Compared to February 2025, employment in Arkansas is up 19,785, while 8,465 more Arkansans are actively seeking work. Both the unemployment rate and participation rate have increased year-over-year.

Nonfarm payroll jobs rose by 4,200 in February. The largest gains were seen in Leisure and Hospitality (+2,200), Government (+1,900), Professional and Business Services (+1,300), and Private Education and Health Services (+1,300). Trade, Transportation, and Utilities experienced a decline of 1,900 jobs.

Year-over-year, nonfarm payroll jobs increased by 5,100, with strong growth in Trade-Transportation-Utilities (+3,400), Private Education and Health Services (+3,300), Leisure and Hospitality (+2,900), and Professional and Business Services (+1,900). The largest annual losses occurred in Manufacturing (-2,500) and Government (-2,000).

State officials say the continued job growth and rising participation rate signal strength in Arkansas’ labor market heading into 2026.