West Virginia’s civilian labor force was 9,639 people smaller in August than one year earlier, even as the state’s unemployment rate edged down to 4.0%, according to new federal estimates.
The state had 772,230 residents working or actively looking for work in August, compared with 781,869 in August 2025. Estimated resident employment fell by 7,057 over that span, to 740,961. The number counted as unemployed declined by 2,582, to 31,269, producing a lower unemployment rate than the 4.3% recorded one year earlier.
From July to August, the labor force decreased by 372 while the number unemployed fell by 769. Resident employment increased by 397, and the unemployment rate moved from 4.1% to 4.0%. The September 18 state summary did not identify West Virginia’s monthly or annual rate change as statistically significant, so the numerical improvement should not be treated as conclusive evidence of a new trend.
Payroll employment also softened
A separate survey of employers estimated 717,100 West Virginia nonfarm payroll jobs in August, down 1,200 from July and 1,800 from August 2025. BLS reported no statistically significant payroll change for the state over either period.
Industry estimates show limited offsets to losses elsewhere. Education and health services added about 2,700 jobs over the year, rising to 148,100. Construction employment declined by 700 to 34,600, manufacturing fell by 300 to 44,800, and leisure and hospitality decreased by 700 to 72,000. Trade, transportation and utilities and professional and business services also posted small declines.
The two employment measures are related but not interchangeable. The BLS technical note says the labor-force series measures residents through a household-based model, while payroll estimates count jobs at establishments located in the state. People holding multiple jobs can be counted more than once in payroll data, and residents who commute across state lines appear differently in the two systems.
Why the workforce number matters
A falling unemployment rate can signal improvement, but it does not by itself show whether a state is adding workers or jobs. West Virginia’s August figures show fewer unemployed residents alongside a smaller labor force, lower resident employment than a year ago and a slight reduction in payroll jobs.
That combination is consequential for a state where employers and workforce agencies are trying to match workers with available positions across both rural and urban communities. WorkForce West Virginia provides state and county labor-market tools for employers, job seekers and policymakers; the latest federal estimates give those users a new benchmark for assessing worker availability.
The August data are preliminary and may be revised. BLS plans to publish September state estimates on October 20. The next report will show whether West Virginia’s 4.0% rate holds and whether the labor force stabilizes after its year-over-year decline.