Alabama’s preliminary, seasonally adjusted July unemployment rate is 3.4%, up from June 2026’s rate of 3.2%. July’s rate is above July 2025’s rate of 2.8%. The rate represents 79,345 unemployed people, compared to 76,589 in June and 66,983 in July 2025.
The number of people counted as employed decreased by 22,283 over the year to 2,286,389. The civilian labor force also decreased to 2,365,734, with 9,921 fewer people joining over the year.
Alabama’s labor force participation rate for July is 56.9 %. The percentage of prime-age workers measured 79.5%. Prime-age workers are those aged 25-54 years.
Counties with the lowest unemployment rates are: Shelby County at 2.9%, Morgan, Limestone, Chambers, and Blount Counties at 3.0%, and Marshall and Elmore Counties at 3.1%. Counties with the highest unemployment rates are: Perry County at 7.1%, Greene County at 6.7%, and Monroe County at 6.5%.
Major cities with the lowest unemployment rates are: Trussville at 2.7%, Vestavia Hills at 2.8%, and Pelham, Madison, Hoover, and Alabaster at 2.9%. Major cities with the highest unemployment rates are: Prichard at 6.9%, Selma at 5.8%, and Bessemer at 5.2%.