The US has more job seekers than open jobs. These 10 states are seeing the biggest increases in unemployment claims.

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Job Seekers seeking Employment line up

Job seekers in 2025 are facing a tough labor market, reports show. Bob Riha, Jr./Getty Images
  • There are officially more job seekers than open jobs in the US labor market.
  • Unemployment claims increased by 3.5% week-over-week at the end of August, WalletHub found.
  • Connecticut and Tennessee saw the fastest-growing rates of unemployment claims.

If you feel like job opportunities are hard to come by right now, it's not just you.

The Bureau of Labor Statistics' latest report on job openings and labor turnover, released on Wednesday, showed that, for the first time since April 2021, there are more job seekers than job openings in the US, Reuters reported.

At 0.99 openings per unemployed person, compared to the 1.05 rate in June, it's the first time job seekers have outnumbered openings since April 2021, when the rate was 0.96.

The bureau's jobs report, released Friday, showed that 22,000 jobs opened up in August, short of the expected 75,000. The unemployment rate slightly increased to 4.3%.

A WalletHub study released Thursday shed light on how unemployment is hitting each of the US states and Washington, DC. Using data from the Labor Department, it ranked all 50 states and DC based on the percentage increase in unemployment claims between the week of August 18 and August 25. It also considered how the number of claims compared to those made a year ago, and calculated the number of claims per 100,000 people in the labor force.

Overall, WalletHub found that the week-over-week increase in unemployment claims in the US averaged 3.5%.

"The dynamic has shifted towards employers when it comes to hiring as employers have slowed their hiring rate significantly, but employers are reluctant to reduce headcount as they recall the challenges of hiring a few years ago," Daraius Irani, the vice president of business and public engagement at Towson University, said in the WalletHub report.

Here are the 10 places where unemployment claims are increasing the most, per WalletHub.

10. California

The sun rising and reflecting on buildings in downtown Oakland, California.

Oakland, California. Thomas Winz/Getty Images

Unemployment claims per 100,000 people in the workforce: 198

Week-over-week increase in unemployment claims: 3.56%

Increase in unemployment claims in 2025 compared to last year: 11.47%

9. New York

New York City skyline.

New York City. TTstudio/Shutterstock

Claims per 100,000 people in the workforce: 167

Week-over-week increase: 12.20%

Increase in unemployment claims in 2025 compared to last year: 13.69%

8. Mississippi

Highways converge in downtown Memphis, Tennessee, as they approach the Mississippi River.

Memphis, Tennessee. John Coletti/Getty Images

Claims per 100,000 people in the workforce: 97

Week-over-week increase: 35.68%

Increase in unemployment claims in 2025 compared to last year: 6.92%

7. Virginia

Richmond Virginia skyline and the James River

Richmond, Virginia. Sky Noir Photography by Bill Dickinson/Getty Images

Claims per 100,000 people in the workforce: 52

Week-over-week increase: 3.84%

Increase in unemployment claims in 2025 compared to last year: 43.77%

6. Oregon

Portland, Oregon

Portland, Oregon. © Allard Schager/Getty Images

Claims per 100,000 people in the workforce: 190

Week-over-week increase: 12.17%

Increase in unemployment claims in 2025 compared to last year: 18.58%

5. Illinois

A view of the Chicago skyline with the Chicago River running down the middle of the frame.

Chicago, Illinois. Moses P/Shutterstock

Claims per 100,000 people in the workforce: 170

Week-over-week increase: 13.74%

Increase in unemployment claims in 2025 compared to last year: 28.61%

4. Nebraska

Lincoln, Nebraska skyline

Lincoln, Nebraska. John Coletti/Getty Images

Claims per 100,000 people in the workforce: 86

Week-over-week increase: 63.21%

Increase in unemployment claims in 2025 compared to last year: 35.08%

3. District of Columbia

Washington DC skyline

Washington, DC. Orhan Cam/Shutterstock

Claims per 100,000 people in the workforce: 158

Week-over-week increase: 4.67%

Increase in unemployment claims in 2025 compared to last year: 105.36%

2. Tennessee

Nashville, Tennessee downtown skyline at Cumberland River.

Nashville, Tennessee. Adina Olteanu/Getty Images

Claims per 100,000 people in the workforce: 163

Week-over-week increase: 103.09%

Increase in unemployment claims in 2025 compared to last year: 18.68%

1. Connecticut

The skyline of Hartford, Connecticut.

Hartford, Connecticut. f11photo/Shutterstock

Claims per 100,000 people in the workforce: 317

Week-over-week increase: 89.26%

Increase in unemployment claims in 2025 compared to last year: 17.62%

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