The latest Alabama jobs report puts the state’s preliminary, seasonally adjusted unemployment rate at 3.5% for September 2026. That is one-tenth of a percentage point above August and seven-tenths above September 2025.
The same release shows a more complicated picture than one rate. Wage and salary employment increased over the year, while the number of unemployed people and the statewide rate also rose.
Alabama jobs report at a glance
The Alabama Labor Market Information portal published the September statistics Oct. 16.
| Measure | September 2026 | Comparison |
|---|---|---|
| Unemployment rate | 3.5% | 3.4% in August; 2.8% in September 2025 |
| Unemployed people | 82,075 | 80,550 in August; 65,692 a year earlier |
| Employed people | 2,279,937 | Down 2,080 from August |
| Civilian labor force | 2,362,012 | Down 555 from August |
| Wage and salary employment | 2,218,800 | Up 24,300 over the year |
These figures are not all built the same way. The unemployment rate comes from a household-based estimate, while wage and salary employment comes from an establishment-based survey. The two measures can move in different directions without contradicting each other.
September’s figures are preliminary. Readers comparing the Alabama jobs report across months should save the release date as well as the value because later reports may revise earlier estimates. The cleanest comparison uses the same series, seasonal treatment and source release. Mixing a statewide adjusted rate with an unadjusted county rate can produce a conclusion the data does not support.
What changed from August
The number of unemployed people increased by 1,525 from August to September. The number counted as employed fell by 2,080, while the civilian labor force declined by 555.
The totals balance: the 2,080 decline in employed people, offset by a 555-person decline in the labor force, leaves a 1,525-person increase in unemployment. That calculation provides a useful check on the published figures.
The statewide rate is rounded, so readers should not try to reproduce it exactly from displayed whole numbers alone.
Which sectors added the most jobs
Over the year, the largest listed gains were in leisure and hospitality, up 10,200; private education and health services, up 7,300; and professional and business services, up 6,800.
Together, those three categories account for 24,300 added positions, equal to the net statewide gain reported across all wage and salary employment. That does not mean no other sector changed. Gains in those categories can be offset by losses elsewhere.
The sector totals describe payroll jobs, not unique workers. A person with two jobs can appear twice in establishment employment data.
County and city gaps remain wide
Shelby, Limestone and Chambers counties had the lowest listed county rates at 3.0%. Perry County had the highest at 6.6%, followed by Greene at 6.5% and Monroe at 6.4%.
That creates a 3.6-point gap between the lowest and highest county rates. Among major cities, Pelham was lowest at 2.6%, while Prichard was highest at 7.0%, a 4.4-point spread.
Local rates are not seasonally adjusted and should not be compared mechanically with the seasonally adjusted statewide rate. County population, industry mix and monthly seasonal patterns also affect local estimates.
What job seekers can use now
The state portal links wage data, online job listings and local unemployment dashboards. Job seekers can use the sector trend as a starting point, then check occupation-specific wages, required credentials and openings in a practical commuting area.
One statewide month does not predict an individual hiring outcome. For the next comparable update, the state’s 2026 publication calendar lists October labor data for release Nov. 20.
The Alabama jobs report shows continued payroll growth alongside higher measured unemployment. The useful next step is to watch whether the October report confirms the movement and how local rates change.
For other Alabama service and workforce links, visit The Daily Quill’s Central Alabama Public Services Directory.
