Oregon’s Unemployment Rate Rises to 4.4% in January

Salem, Oregon- Oregon’s unemployment rate increased to 4.4% in January, up from a revised 4.3% in December, according to the latest data from the Oregon Employment Department. The rate has risen gradually over the past year from 4.1% in January 2024. The last time Oregon’s unemployment rate reached 4.4% was in September 2021. In comparison, the U.S. unemployment rate was 4.0% in January 2025, up from 4.1% in December 2024.

Oregon’s seasonally adjusted nonfarm payroll employment rose by 2,400 jobs in January, following a revised loss of 2,000 jobs in December. Professional and business services added 1,400 jobs, while leisure and hospitality added 1,200 jobs. Retail trade and private educational services each gained 900 jobs. The largest declines were in manufacturing, which cut 2,200 jobs, and health care and social assistance, which lost 1,300 jobs.

Over the past year, Oregon’s private sector added 12,700 jobs, an increase of 0.8%. However, job growth in 2024 was slower than previously reported. Annual data revisions reduced the average monthly job gain during the second half of 2024 by 15,600 jobs.

Health care and social assistance remained the fastest-growing sector over the past three years, adding 15,100 jobs, or 5.2%, in the 12 months through January. A major health care strike contributed to the 1,300-job decline in this sector in January.

Other sectors with moderate growth over the past year included other services, which added 2,100 jobs (3.2%); private educational services, which gained 1,100 jobs (3.0%); professional and business services, which added 2,900 jobs (1.1%); and construction, which increased by 900 jobs (0.8%).

Manufacturing continued its two-year decline, losing 6,900 jobs (-3.7%) over the past year. Retail trade shed 2,300 jobs (-1.1%) during the same period.