• The most recent jobs report showed that between June 2025 and July 2025, Maryland gained 11,700 Total Nonfarm jobs.
  • The official unemployment rate for Maryland increased to 3.4 percent.

According to the most recent report from the Bureau of Labor Statistics (BLS), Maryland gained a total of 11,700 Total Nonfarm jobs between June 2025 and July 2025. This was attributed to an increase of 900 Total Private jobs, along with an increase of 10,800 Total Government jobs. Despite job gains, Maryland’s unemployment rate increased slightly from 3.3 percent in June to 3.4 percent in July.

While unemployment has been gradually increasing since March, Maryland was one of four states nationwide to report an increase in Nonfarm payroll. The state continues to maintain the lowest unemployment rate amongst neighboring Mid-Atlantic region states (Delaware, 4.1; District of Columbia, 6.0; New Jersey, 4.9; Pennsylvania, 4.0; Virginia, 3.6) and is tied with Georgia for the 14th lowest overall rate in the country. Maryland’s 12-month change in unemployment rose 0.2 percent from the year prior.

July increases in Maryland’s Total Nonfarm employment were primarily driven by growth in Government jobs, including 10,200 in Local Government Jobs, 1,100 in State Government jobs, and 500 in Federal Government jobs. However, Federal Government employment has continued to decline overall. Maryland’s Initial Federal Unemployment Insurance Claims (UCFE) have remained elevated since the start of the new federal administration in January. As of August 15, Maryland residents have filed a total of 2,030 initial UCFE claims between January 19 and August 9. Currently, 572 claims are ongoing. A recent news article highlighted June as the state’s largest single-month decline in federal jobs in nearly 30 years, estimating a total loss of approximately 12,700 federal jobs since the inauguration of the second Trump administration.

Amid these economic challenges, Maryland is advancing clean energy initiatives through the Local Government Energy Modernization Program. The state plans to allocate $64 million towards capital projects to modernize infrastructure and help local governments to reduce energy utility costs; further supporting Maryland’s goal of achieving net-zero emissions. Additional investments have been announced to support innovation in strategic industry sectors, aimed at strengthening the state’s economy and creating high-quality jobs. Governor Moore emphasized the importance of these investments in bolstering Maryland’s economy.

Meanwhile, the One Big Beautiful Bill Act recently signed into law by President Donald Trump on July 4, 2025, has raised economic concerns for some of Maryland’s most vulnerable residents. While the bill offers benefits, such as increased take-home pay for a typical two-child family household, and single earners, and eliminates federal taxes on tips, overtime, and Social Security income, it also results in the loss of Medicaid coverage for approximately 175,000 Marylanders. This change would disproportionately affect children, seniors, people with disabilities, and rural communities that depend on Medicaid coverage. These trade-offs provide tax relief and increased wages, while negatively impacting social assistance in the form of eliminating healthcare access to many Maryland residents.

The Regional Economic Studies Institute (RESI) will continue to monitor new policies at both the federal and state level and their potential impact on the economy of Maryland. With the situation evolving quickly, stay tuned for more updates on how employment is changing across Maryland, the region, and the country.