THE IE LABOR MARKET PULSE
Monthly Analysis and Insights on the Latest Riverside and San Bernardino Jobs Data
January 12, 2025
Special Note: This Labor Market Pulse presents the most recent regional labor market information for the month of November. Publication was delayed due to the federal government shutdown, from October 1st through November 12th, which postponed the collection and release of labor force data. As a result, labor force information is not available for the month of October.
UNEMPLOYMENT RATE DECREASES; LABOR FORCE INCREASES BY 17,300
The Inland Empire’s seasonally adjusted unemployment rate for November 2025 was 5.5%, reflecting a 0.4% decrease from the previous month’s revised 5.9% unemployment rate. The California unemployment rate ticked up by 0.1% over the two-month period, decreasing from 5.6% in September to a 5.5% unemployment rate in November. The national unemployment rate ticked up by 0.2% over the month, the 4.6% national unemployment rate is less than that of the Inland Empire and California as a whole. In November, 17,300 individuals joined the labor force, increasing the total civilian labor force in Riverside and San Bernardino to 2.28 million people.
Figure 1: Monthly Seasonally Adjusted Civilian Unemployment Rate, IED Region, California, US, November 2025
Source: CA EDD LMID, Industry Employment November 2025; Bureau of Labor Statistics, Civilian Unemployment Rate Table
The labor force expanded in November as employment increased by 27,000 residents, while the number of unemployed residents declined by 9,700 compared to September. This combination indicates that job growth was strong enough not only to absorb new and returning workers but also to reduce unemployment, signaling an improvement in regional labor market conditions.
INLAND EMPIRE JOBS UP
The latest employment data from the California Labor Market Information Division (LMID) shows that the region added 18,400 nonfarm jobs between October and November 2025, a 1.1% increase in employment. This growth is rate is slightly less than the average November gain of 1.4% seen over the past four years. Over the month, ten sectors added jobs, four sectors lost jobs, and five sectors saw no change in job counts.
Figure 2 displays the sectors that gained and lost the most jobs from October to November 2025. Transportation and Warehousing (+10,200 jobs), Retail Trade (+5,700 jobs), and Government (+2,000 jobs) saw the largest gains in industries across the region in November 2025. Construction (-2,600 jobs), Manufacturing (-800 jobs), and Other Services (-300 jobs) experienced the largest job losses across all industries.
Figure 2: Largest Monthly Job Gains and Losses by Sector, Inland Empire-Desert Region, November 2025
Source: CA EDD LMID, Industry Employment November 2025
In November 2025, Transportation and Warehousing employment grew by 10,200 jobs or 5.0% from the prior month. While directionally aligned with historical averages, job gains over the month were slightly less than the four-year average of 12,400. Job gains over the month were primarily driven by gains in the Warehousing and Storage and Courriers and Messengers subsectors. Despite the significant gains in sector employment over the month, the Transportation and Warehousing sector is down 6,000 jobs or 3% over the year.
Following the Transportation and Warehousing sector, the Retail Trade sector added the most jobs, adding 5,700 jobs to the region over the month. This job growth over the month is consistent with historical job growth, in which the sector typically increases job counts by 3% in November. Government added 2,000 jobs over the month, consistent with job gains typically seen over the month. Job gains over the month are aligned with historical averages and are primarily driven by Local Government Educational Services (+1,500 jobs), think of K-12 public schools. The Government sector recorded 6,800 more jobs in November 2025 than the prior year, representing 2.5% of employment growth.
The number of jobs in the Construction sector decreased by 2,600 between October and November 2025, or a 1.3% decrease. This job loss exceeds the Construction sector’s typical decrease of 1,500 jobs over the month, driven by jobs shed in the specialty trade contractors subsector (-2,000 jobs). Construction sector employment is down 8,500 jobs over the year, representing a 7.3% decline in jobs.
The region’s Manufacturing employment decreased by 800 jobs over the month, despite typically only shedding 250 jobs between October and November. Other Services employers shed 300 jobs over the month, more than the typical flat employment over this period.
PORT TRAFFIC & REGIONAL TRANSPORTATION AND WAREHOUSING
Since our last Labor Market Pulse, November port traffic information has been released by the Port of Los Angeles and the Port of Long Beach. Port activity provides insight into how global trade dynamics translate into changes in the Inland Empire’s transportation and warehousing workforce. Between October 2025 and November 2025, cargo volume decreased by 7.8%1 at the Port of Los Angeles and decreased by 2.6%2 at the Port of Long Beach. Additionally, the drop in port traffic between October and November, container movement is down 11.5% over the year at the Port of Los Angeles and 7.5% at the Port of Long Beach.
Since port traffic serves as a leading indicator for the Transportation and Warehousing sector, these recent declines in port traffic volume may yet to be reflected in regional employment levels. The Transportation and Warehousing sector is down 3% over the year, in line with declines in port traffic.
REGIONAL OUTLOOK
November data indicate a near-term improvement in the Inland Empire’s labor market conditions, driven by strong employment growth and increased labor force participation. The decline in the unemployment rate, alongside a 17,300-person increase in the labor force, suggests that job growth was sufficient not only to absorb new and returning workers but also to reduce the number of unemployed residents.
Job growth over the month was broad but not evenly distributed. Transportation and Warehousing and Retail Trade accounted for a disproportionate share of gains, consistent with historical hiring patterns. However, employment growth in these sectors is below historical November averages, and year-over-year declines, particularly in Transportation and Warehousing, signal underlying softness. Continued job losses in Construction and Manufacturing further underscore that momentum remains concentrated in a limited set of industries.
Declining port activity at the Ports of Los Angeles and Long Beach suggests potential downside risk for Transportation and Warehousing employment in the coming months, particularly given the sector’s existing year-over-year job losses. November’s labor market data reflect short-term labor market resilience, but not a sustained acceleration. Monitoring port volumes, construction activity, and manufacturing employment will be critical to assessing whether recent gains can be sustained.
“From a community standpoint, this data is a reassuring sign that more of our neighbors are finding opportunities. For business owners, it’s a green light to plan ahead with confidence. We’re seeing the local economy on an upswing, and that’s good news for everyone.”
To learn more about this data or IEGO’s Labor Market Research, please email
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Sources
- Port of Los Angeles. (November 2025). Container Statistics. Retrieved from: https://www.portoflosangeles.org/business/statistics/container-statistics
- Port of Long Beach. (November 2025). Latest Statistics. Retrieved from: https://polb.com/business/port-statistics/#latest-statistics
Methodology
California’s Labor Market Information Division (LMID) compiles its monthly labor force, employment, and unemployment statistics through a combination of surveys, administrative records, and statistical adjustments. The basic data comes from sampled employer-and-government agency surveys (for payroll/employment) and household surveys (for unemployment/labor force participation), supplemented by more complete data such as unemployment insurance tax records, and then seasonally adjusted to account for predictable calendar patterns (for example, school schedules, holidays). Because many surveyed entities report after initial deadlines, and because some adjust or correct their submissions, the first published estimates are preliminary.
Over subsequent months, LMID revises its estimates as late survey responses arrive, and seasonal adjustment models are refined. In addition, there is an annual “benchmark” revision (in March) in which sample-based monthly data are aligned with more complete employment counts (for example from unemployment insurance records) to improve accuracy by anchoring the series to actual universe totals. Because of these revisions and methodological refinements, month-to-month numbers can and do change — not due to error or manipulation, but because later information yields a clearer, more accurate picture of the labor market. This dataset continues to be the “gold standard” of gauging monthly employment changes at both a national and regional level.
