In July 2025, Government employment fell by 14,500 jobs, a 5.1% decline from the prior month. Job losses were not distributed evenly across the levels of government. Regional Federal Government employment shrank by 100 jobs, State Government decreased by 400 jobs, and the Local Government shed 14,000 jobs between June and July 2025. Specifically, Local Government Educational Services, think K-12 public schools, lost 14,100 jobs over the month, while Local Government Excluding Education gained 100 jobs. While the drop in Local Government Education Services employment is significant, it is also consistent with historical patterns. For example, since 2015, this industry has typically shed an average of 13,700 jobs between June and July, losing as few as 11,400 jobs in 2021 or as many as 18,000 in 2023. Because most public schools operate on a 10-month calendar, employment typically falls during the summer months when classes are not in session.

The size of Government employment in the region can overshadow trends in other sectors, with all other sectors gaining 3,900 jobs combined with Government losses excluded. Private Educational Services recorded the second-largest monthly decline across sectors, though employment in this sector remains 17.2% higher than a year ago. This decline reflects historical patterns. Construction shed 500 jobs in July and is now 6.0% below its July 2024 level. The Other Services sector also contracted, losing 0.8% of its workforce over the month.

Several industries experienced growth. Accommodation and Food Services added 400 jobs in July and has nearly regained all the positions lost since last summer. Health Care and Social Assistance increased by 1,200 jobs, bringing total employment in the sector to 295,500—up 15,300 jobs, or 5.5%, compared to last year. The Health Care and Social Assistance sector remains the region’s largest employer, accounting for just over 17% of all jobs. 

The Transportation sector added 2,800 jobs in July 2025, primarily within the Warehousing and Storage industry. This 1.5% increase in job counts surpasses the four-year historical average, in which the sector typically gains 1,800 jobs or 0.9%. Transportation job counts in July may signal a reversal of consistent job losses seen in this industry this year, with the sector up 0.3% jobs since July 2024. The increase in Transportation and Warehousing industry employment may be a product of increased port traffic reported over the last few months.