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Detroit has the highest unemployment rate among large US cities

Detroit has the highest unemployment rate among large US cities

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In Detroit, 14.0 percent of the labor force is out of work and looking for a job. In Sioux Falls, South Dakota, it is just 2.5 percent. Those are the two ends of the American labor market among cities of 100,000 people or more.

The figures come from the American Community Survey, which averages responses over five years, 2020 through 2024. That window includes the pandemic, so the levels run higher than the monthly unemployment rate reported by the Bureau of Labor Statistics. 

CityUnemployment ratePopulation
Detroit, MI14.0%638,530
Newark, NJ11.6%310,178
Victorville, CA11.1%137,627
Cleveland, OH10.8%366,097
Hartford, CT10.7%121,127
Paterson, NJ10.7%158,735
Paradise, NV9.8%185,913
Killeen, TX9.7%158,159
El Cajon, CA9.6%104,449
Hesperia, CA9.3%100,775
Jackson, MS9.3%146,631
Waterbury, CT9.3%114,869

Detroit is nearly three percentage points clear of anywhere else, and its rate is more than double the national figure of 5.2%. Older industrial cities fill much of the rest of the list, including Cleveland, Paterson, and Waterbury. Paradise, Nevada, the unincorporated area that holds most of the Las Vegas Strip, is there for a different reason: its economy runs on hospitality, the sector hit hardest in 2020.

Where work is easiest to find

The lowest rates belong to midsize cities in the Midwest and Mountain West. Sioux Falls, South Dakota, is lowest at 2.5 percent, followed by Madison, Wisconsin, Meridian, Idaho, Olathe, Kansas, and Carmel, Indiana, all at 2.7 percent. Fishers, Indiana, follows at 2.8 percent.

Most of those are prosperous suburbs or state capitals with concentrations of government, university, and health-care employment, sectors that kept hiring through the whole period.

By state and county

State rates run from 7.0 percent in Nevada down to 2.8 percent in North Dakota. California is second highest at 6.6 percent, then New York at 6.4 percent, and the District of Columbia, New Jersey, and Louisiana all at 6.3 percent. Behind North Dakota at the low end are South Dakota at 2.9 percent, Nebraska at 3.0 percent, and Wisconsin at 3.2 percent.

Among counties with at least 100,000 residents, the highest rates are in California's agricultural interior. Imperial County, on the Mexican border, is highest among large counties at 12.5 percent. Bronx County, New York, follows at 11.4 percent, then Kings County, California, at 10.8 percent, Merced at 10.6 percent, Madera at 10.1 percent, and Tulare at 9.3 percent. Farm work is seasonal, and counties built around it carry high measured unemployment even in good years.

Related reading: median household income by county, the poorest cities in America, and where women work the most. The complete list is at cities with the highest unemployment rate.

Sources

Rates are from the U.S. Census Bureau's 2020-2024 American Community Survey 5-year estimates, table S2301, and represent unemployed people as a share of the civilian labor force aged 16 and over. Because the estimate averages five years, it is not a current reading and is not comparable to the Bureau of Labor Statistics monthly rate, which uses a different survey and a shorter reference period. City figures cover places with 100,000 or more residents, including census-designated places such as Paradise, Nevada, which is not an incorporated city.

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Frequently asked

Which US city has the highest unemployment rate?

Among cities of 100,000 or more, Detroit is highest at 14.0 percent in the 2020-2024 American Community Survey. Newark, New Jersey follows at 11.6 percent and Victorville, California at 11.1 percent. Older industrial cities make up most of the top of the list.

Which cities have the lowest unemployment?

Sioux Falls, South Dakota is lowest at 2.5 percent, then Madison, Wisconsin, Meridian, Idaho, Olathe, Kansas, and Carmel, Indiana, all at 2.7 percent. Most are prosperous suburbs or state capitals with heavy government, university, and health-care employment.

Why is this different from the unemployment rate in the news?

Monthly unemployment headlines come from the Bureau of Labor Statistics household survey. These figures come from the American Community Survey, which averages five years of responses, 2020 through 2024, so they run higher and are not a current reading. They are useful for comparing places measured the same way.

Brenda Smith
Written by
Brenda Smith
Brenda Smith writes about demographic change, population trends, and the Census data that reveals how American cities and towns are transforming. She resides in suburban Atlanta.