Arkansas’ unemployment rate declined in May 2026 as the state’s workforce and employment levels reached new record highs, according to data released by the Arkansas Department of Commerce and the Bureau of Labor Statistics.
The seasonally adjusted unemployment rate fell from 4.3% in April to 4.2% in May. The national unemployment rate remained unchanged at 4.3%.
Arkansas’ civilian labor force increased by 1,167 people during May, while employment rose by 2,452. Both measures reached all-time highs. The number of unemployed Arkansans actively seeking work declined for the 4th consecutive month, helping push the unemployment rate lower.
Compared with May 2025, Arkansas has 21,532 more employed residents. The labor force participation rate also increased over the year.
Arkansas nonfarm payroll jobs climbed by 2,900 in May, reaching a record-high 1,351,700 jobs statewide. Eight major industry sectors reported monthly growth.
The largest monthly gain occurred in Leisure and Hospitality, which added 2,100 jobs and established a new industry record. Professional and Business Services also reached a record high after adding 200 jobs. Additional gains were reported in Trade-Transportation-Utilities, which added 900 jobs, and Construction, which added 500 jobs.
Compared with 1 year ago, Arkansas nonfarm payroll employment increased by 5,700 jobs. Trade-Transportation-Utilities led annual growth with an increase of 3,600 jobs, followed by Leisure and Hospitality with 3,400 jobs. Private Education and Health Services added 1,400 jobs, while Professional and Business Services gained 1,300 jobs.
Government employment recorded the largest annual decline, falling by 1,800 jobs.
State labor officials say the latest numbers continue to reflect a strong Arkansas economy with growing employment opportunities across multiple sectors.
For additional labor market information, visit Discover.Arkansas.gov.
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