Oregon Adds 5,800 Jobs in September as Unemployment Rate Edges to 5.0%

Oregon employers added 5,800 jobs in September, led by hiring in construction, health care, and hospitality, while the state’s unemployment rate edged down to 5.0%, according to the Oregon Employment Department.

The rate changed little from August’s 5.1% and remained within the narrow range of 5.0% to 5.3% recorded since March 2025. Nationally, unemployment was 4.2% in September, up from 4.1% in August.

September’s seasonally adjusted payroll gain followed a revised increase of 2,600 jobs in August. Construction added 2,000 jobs, health care and social assistance gained 1,700, and leisure and hospitality added 1,300. Retail trade had the largest monthly decline, shedding 1,500 jobs.

Despite the recent hiring, Oregon’s total payroll employment was only slightly higher than a year earlier. The state added 2,600 jobs over the past 12 months, an increase of 0.1%.

Health care and social assistance accounted for the strongest annual growth, adding 12,100 jobs, or 3.8%. That continued an expansion in the industry over the past four years. Other services added 1,600 jobs, while private education gained 1,300.

Those gains were largely offset by declines elsewhere. Manufacturing employment fell by 4,300 jobs over the year, a 2.4% decrease. Government employment dropped by 4,000 jobs, or 1.3%.

Construction’s September increase followed several months of gradual growth. All three components of the industry added jobs over the past year: construction of buildings gained 900, specialty trade contractors added 500, and heavy and civil engineering construction gained 100.

Several industries also showed signs of recovery in August and September. Manufacturing added 1,700 jobs since July, partially reversing declines over the past three years. Government gained 1,300 jobs during the same period, although employment remained below its year-earlier level. September’s increase in leisure and hospitality reversed losses recorded in June and July.

The statewide figures do not yet provide a September unemployment rate for Douglas County. The Employment Department plans to release county and metropolitan area data Oct. 20. Oregon’s October statewide employment report is scheduled for Nov. 18.