Virginia’s March Unemployment Rate at 3.2 Percent; Labor Force Participation Rate at 65.5 Percent

RICHMOND— Virginia Works – the Commonwealth’s Department of Workforce Development and Advancement – announced today that Virginia’s seasonally adjusted unemployment rate in March increased by 0.1 percentage points to 3.2 percent, which is 0.4 percentage points above the rate from a year ago. According to household survey data in March, the labor force decreased by 9,752 to 4,586,386 as the number of unemployed residents increased by 5,029 to 145,441. The number of employed residents decreased by 14,781 to 4,440,945. Virginia’s seasonally adjusted unemployment rate is 1.0 percentage points below the national rate, which increased by 0.1 percentage points to 4.2 percent.

The Commonwealth’s labor force participation rate decreased by 0.2 percentage points to 65.5 percent in March. The labor force participation rate measures the proportion of the civilian population age 16 and older that is employed or actively looking for work.

In March, Virginia’s nonagricultural employment, from the monthly establishment survey increased by 5,900 to 4,271,400. February’s preliminary estimate of employment, after revision, decreased by 600 to 4,265,500. In March, private sector employment increased by 8,300 to 3,508,700 while government employment decreased by 2,400 to 762,700. Within that sector, federal government jobs decreased by 4,100 to 192,000, state government employment increased by 1,000 to 161,800, and local government increased by 700 to 408,900 over the month.  

Seasonally adjusted total nonfarm employment data is produced for eleven industry sectors. In March, six experienced over-the-month job gains, one remained unchanged, and four experienced a decline. The largest job gain occurred in Construction (+7,200) to 226,100. The second largest job gain occurred in Education and Health Services (+2,200) to 632,400. The third largest job gain occurred in Trade, Transportation, and Utilities (+1,600) to 680,400. The other gains were in Leisure and Hospitality (+1,500) to 418,400; Manufacturing (+600) to 243,500; and Financial Activities (+200) to 220,700.

The largest job loss occurred in Professional and Business Services (-4,400) to 805,300. The second largest job loss occurred in Government (-2,400) to 762,700. The third largest job loss occurred in Information   (-300) to 70,200 and Miscellaneous Services (-300) to 204,500. Mining and Logging remained unchanged.

*Current month’s estimates are preliminary.

From March 2024 to March 2025, Virginia Works estimates that total nonfarm employment in Virginia increased by 48,300 to 4,271,400, private sector employment increased by 37,000 to 3,508,700, and government employment increased by 11,300 to 762,700 jobs. Within that sector, federal government jobs decreased by 800 to 192,000, state government employment increased by 3,000 to 161,800, and local government increased by 9,100 to 408,900 over the year.

For the eleven industry sectors in Virginia over the year, six experienced over-the-year job gains, one remained unchanged, and four experienced a decline. The largest job gain occurred in Education and Health Services (+30,000) to 632,400. The second largest job gain occurred in Government (+11,300) to 762,700. The third largest job gain occurred in Construction (+8,700) to 226,100. The other gains were in Trade, Transportation, and Utilities (+4,300) to 680,400; Leisure and Hospitality (+1,700) to 418,400; and Information (+100) to 70,200.

The largest job loss occurred in Professional and Business Services (-6,500) to 805,300. The second largest job loss occurred in Manufacturing (-900) to 243,500. The third largest job loss occurred in Financial Activities (-200) to 220,700 and Miscellaneous Services (-200) to 204,500. Mining and Logging remained unchanged.

*Current month’s estimates are preliminary.

Seasonally adjusted total nonfarm employment data is produced for ten metropolitan areas. In March, six experienced over-the-month job gains, one remained unchanged, and three experienced a decline. The largest job gain occurred in Arlington-Alexandria (+1,000) to 1,634,900. The second largest job gain occurred in Virginia Beach-Chesapeake-Norfolk (+800) to 824,000. The third largest job gain occurred in Roanoke (+400) to 168,500. The other gains were in Charlottesville (+200) to 126,000; Lynchburg (+200) to 104,700; and Harrisonburg (+100) to 71,100.

The largest job loss occurred in Richmond (-800) to 724,000. The second largest job loss occurred in both Staunton (-100) to 54,100 and in Winchester (-100) to 73,800. Blacksburg-Christiansburg-Radford remained unchanged.

Over the year, six metro areas experienced over-the-year job gains, one remained unchanged, and three experienced a decline. The largest job gain occurred in Arlington-Alexandria (+21,200) to 1,634,900. The second largest job gain occurred in Richmond (+7,900) to 724,000. The third largest job gain occurred in Virginia Beach-Chesapeake-Norfolk (+2,800) to 824,000. The other gains were in Charlottesville (+1,500) to 126,000; Roanoke (+1,200) to 168,500; and Winchester (+500) to 73,800.

The largest job loss occurred in Blacksburg-Christiansburg-Radford (-1,600) to 82,000. The second largest job loss occurred in Harrisonburg (-1,400) to 71,100. The third largest job loss occurred in Lynchburg (-300) to 104,700. Staunton remained unchanged.

Not Seasonally Adjusted Data

Virginia’s unadjusted unemployment rate increased by 0.1 percentage points to 3.4 percent in March. It has increased by 0.7 percentage points to 3.4 percent compared to last year. Compared to a year ago, the number of unemployed increased by 32,868 to 157,134, household employment decreased by 63,725 to 4,409,591, and the labor force decreased by 30,857 to 4,566,725. Virginia’s not seasonally adjusted unemployment rate is 0.8 percentage points below the national unadjusted rate, which decreased by 0.3 percentage points to 4.2 percent.

Compared to last month, the March unadjusted workweek for Virginia’s 157,000 manufacturing production workers increased by 1.3 to 39.7 hours. Average hourly earnings of private-sector production workers increased by $0.11 to $28.39, and average weekly earnings increased by $41.13 to $1,127.08.

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Technical note: Estimates of unemployment and industry employment levels are obtained from two separate monthly surveys. Resident employment and unemployment data are mainly derived from the Virginia portion of the national Current Population Survey (CPS), a household survey conducted each month by the U.S. Census Bureau under contract with BLS, which provides input to the Local Area Unemployment Statistics (LAUS) program (often referred to as the “household” survey). Industry employment data is mainly derived from the Current Employment Statistics (CES) survey, a monthly survey of approximately 18,000 Virginia businesses conducted by BLS, which provides estimates of employment, hours, and earnings data broken down by industry for the nation as a whole, all states and most major metropolitan areas (often referred to as the “establishment” survey). Both industry and household estimates are revised each month based on additional information from updated survey reports compiled by the BLS. For national figures and information on how COVID-19 affected collection of the BLS establishment and household surveys in April 2020, refer to the BLS March Employment Situation press release for details.

The statistical reference week for the household survey this month was the week of March 9-15, 2025

Mar 25 CES Distribution Publication File