Alabama Department of Workforce Secretary Greg Reed announced today that Alabama’s labor force participation rate for May held steady at 58.0 percent. The rate increased by six-tenths of a percentage point from May 2024. The percentage of prime-age workers decreased by a tenth of a percentage point to 78.7 percent over the month. Prime-age workers are those aged 25-54 years.
Alabama’s preliminary, seasonally adjusted May unemployment rate is 3.3 percent, unchanged from April 2025’s rate and above May 2024’s rate of 2.9 percent. The rate represents 78,246 unemployed persons, compared to 78,756 in April and 67,878 in May 2024.
The number of people counted as employed increased by 34,312 over the year to 2,306,355, a new record high. The civilian labor force also increased to 2,384,601, also a new record high, with 44,680 more people joining over the year.
Over the year, wage and salary employment increased by 23,100 to 2,217,600, a new record high, with gains in the private education and health services sector (+6,700), the leisure and hospitality sector (+6,300), and the government sector (+5,000), among others.
Counties with the lowest unemployment rates are: Shelby County at 2.2 percent, St. Clair, Morgan, Madison, Limestone, and Elmore Counties at 2.3 percent, and Marshall, Lawrence, DeKalb, Blount, and Autauga Counties at 2.4 percent. Counties with the highest unemployment rates are: Greene County at 6.2 percent, Perry County at 5.5 percent, and Wilcox County at 5.2 percent.
Major cities with the lowest unemployment rates are: Vestavia Hills, Trussville, Madison, and Homewood at 2.0 percent, Hoover, Alabaster, and Pelham at 2.1 percent, and Athens and Prattville at 2.3 percent. Major cities with the highest unemployment rates are: Prichard at 5.6 percent, Selma at 4.9 percent, and Bessemer at 4.0 percent.
