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Federal workforce cuts have helped push Fairfax County’s number of unemployed residents to a level not seen since mid-2021, with 21,705 people counted as jobless in May.
New Virginia Department of Workforce Development and Advancement data show the county’s unemployed population rose 35% from May 2024, when 16,108 residents were out of work. The unemployment rate increased from 2.5% to 3.3% over the same period.
The May count also continued a recent climb, rising from 20,609 unemployed residents in April and 21,162 in March. It was Fairfax’s highest total since August 2021, when 22,600 residents were unemployed.
The increase comes amid federal staffing reductions implemented by the Trump administration. On July 8, the U.S. Supreme Court allowed those cuts to proceed.
Fairfax’s current unemployment figures remain far below the extraordinary levels reached during the COVID-19 shutdowns. In April 2020, 62,674 county residents—10.3% of the workforce—were unemployed.
Before the pandemic, Fairfax and neighboring Northern Virginia communities had experienced several years of historically low unemployment. Earlier economic downturns produced sharper increases, including January 2010, when the collapse of the late-2000s real estate bubble helped leave 33,170 Fairfax residents unemployed, or about 5.5% of the workforce.
The latest rise extends beyond Fairfax. Arlington recorded its largest unemployed population in nearly four years in May, while Falls Church reached its highest level in almost five years.
Across Virginia, 160,990 people were unemployed in May, producing a statewide rate of 3.5%. It was the fifth consecutive month of incremental increases.
Virginia’s modern unemployment peak occurred in April 2020, when pandemic-related closures left 513,715 residents jobless, representing 11.9% of the commonwealth’s workforce.
State officials in June emphasized growth in nonfarm employment despite the rising unemployment rate. Bureau of Labor Statistics figures showed Virginia added 1,200 jobs from April to May and 49,400 over the previous year.
“The growth in nonfarm payroll employment shows that Virginia’s labor market remains resilient, and we are committed to equipping our workforce with the tools they need to succeed,” state Secretary of Labor Bryan Slater said.
Slater said the slight increase in unemployment and contraction of the labor force showed that Virginia must continue supporting workforce participation.
On July 11, Gov. Glenn Youngkin announced grants for two programs intended to help residents enter high-demand fields and encourage new workforce-development approaches. The initiatives, “Facilitating Career Pivots into High-Demand Occupations” and “Investing in Workforce Development Innovation for the Future of the Commonwealth,” are part of the Workforce Innovation Opportunity Act.
“Virginia has jobs, and each of these proposals improves opportunities for jobseekers in the Commonwealth,” Youngkin said. “We look forward to working with each of the awardees to tackle important aspects of workforce development.”
McLean-based Virginia Career Works Northern will receive $150,000 to help workers affected by federal staff reductions change careers. The organization will also connect job seekers with entry- and mid-level openings in high-demand occupations.