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Iowa Jobs and Labor Force Update - June 2026

Summary

Iowa gained 600 nonfarm jobs in June, with government employment falling by 500 and private-sector employment growing by 1,100. The BLS also revised May 2026 nonfarm employment downward by 1,000 jobs. Taken together, Iowa's cumulative job growth so far in 2026 stands at 6,100 jobs since December 2025—well ahead of the 1,100-job loss recorded at this point last year. Nonetheless, Iowa has shed 9,500 jobs (-0.6%) over the last twelve months—well below the national average of +0.3%—ranking 46th nationally in job growth rate. Despite weak annual growth, Iowa has the 8th-lowest unemployment rate in the nation at 3.2% and the 3rd-highest labor force participation rate at 67.3%. At the metro level, Des Moines–West Des Moines led the state in nominal job growth, adding 1,200 jobs from June 2025 to June 2026, while Iowa City grew fastest in percentage terms at an annual rate of 0.9%.

Key Findings

  • Iowa's job growth rate ranks poorly over the last year. Iowa's -0.6% nonfarm growth rate ranks 46th among all states over the last 12 months. The national average was 0.3%.
  • Iowa gained 1,100 jobs in June. Iowa added 1,100 total nonfarm jobs, led by trade, transportation & utilities, financial activities, and education & health services.
  • Iowa has gained 6,100 jobs in the first half of 2026. That is well ahead of the 1,100 jobs lost by this point last year.
  • Only 3 of Iowa's 11 job sectors grew over the last year. Education & health services, construction, and financial activities grew, while the remaining eight sectors were flat or declined.

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