Birmingham Metro’s latest unemployment rate remains much lower than national average

The Birmingham metro unemployment rate remains about one percent less than the national average at 2.7% for March 2024.

Last week, the U.S. Bureau of Labor Statistics (BLS) reported the U.S. April unemployment rate remained at 3.9%, unchanged from the previous month. 

Statewide rate is low, increasing since 2023

Alabama’s statewide April unemployment rate is 3.0% according to the Alabama Department of Labor (ADL), which is higher than the record low 2.1% in July 2023.

According to the most recent numbers, most cities around the Birmingham Metro are under the national average. Counties around the Bham Metro are about one percent lower than US rates.

Here are the Alabama Department of Labor’s March 2024 area unemployment rate numbers for selected Birmingham area cities and the 6 counties Birmingham-Hoover Metropolitan Statistical Area (MSA).

The cities:

• Alabaster — 2.1%
• Bessemer— 4.3%
• Birmingham — 3.7%
• Homewood — 2.1%
• Hoover — 2.2%
• Vestavia — 2.0%

The counties:

• Blount — 2.7%
• Chilton — 2.8%
• Jefferson County — 2.9%
• Shelby County — 2.3%
• St. Clair —2.7%

“The labor market in Birmingham metro remains historically strong, with unemployment coming in at 2.7% (March 2024). This is quite lower than the highs of the Great Recession (peaking at 10.3%), Covid (12.2%), and slightly higher than the record low of 2.1% last year. Given the Federal Reserve’s focus on fighting inflation, having strong labor force numbers like this is a win-win for Birmingham citizens.”

Ben Meadows, Ph.D.,  Assistant Professor of Economics, UAB Collat School of Business

How does Birmingham metro compare with others?

Compared to other Alabama metro areas, the  Birmingham-Hoover MSA is doing well. For example, The Magic City’s unemployment level is nearly tied with Huntsville, while Mobile has the highest metro unemployment rate number in Alabama at 3.9%

• Huntsville — 2.6%
• Gadsden — 3.5%
• Tuscaloosa — 2.9%
• Anniston/Oxford/Jacksonville — 3.3%
• Montgomery — 3.0%
• Dothan — 3.1%
• Daphne-Fairhope-Foley — 2.8%
• Mobile —3.9%

You can dive into the federal and state numbers utilizing the Bureau of Labor Statistics and Alabama Department of Labor’s websites.

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