Counties with the highest unemployment in Rhode Island

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February 12, 2025
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Counties with the highest unemployment in Rhode Island

The first jobs report under the new Trump administration showed a stable job market, with the unemployment rate ticking down from 4.1% to 4% in January, the lowest since last May, according to Bureau of Labor Statistics figures released Feb. 7.

The report marks 49 consecutive months of overall job growth, the second-longest recorded period since 1939.

Job losses that did occur were concentrated in the mining, quarrying, and oil and gas extraction industries, which declined by 8,000 jobs over the month. There was little change in employment in other major industries.

To get a glimpse of regional variations in employment, Stacker compiled a list of counties with the highest unemployment rates Rhode Island, using BLS data. Counties are ranked by their preliminary unemployment rate in December 2024, with initial ties broken by the number of unemployed people within that county, though some ties may remain. County-level unemployment rates are not seasonally adjusted.

Key takeaways: Jobs report reveals cooling labor market

January's job growth of 143,000 fell short of expectations, while the downward revision of 589,000 fewer jobs in 2024 suggests the labor market was weaker last year than initially thought.

Business leaders are starting to display more caution, with 67% of executives reporting higher stress levels heading into 2025, according to a survey of 1,000 executives by Sentry, a business insurance company. Among survey respondents, 47% citing economic uncertainty as their biggest concern.

"We have what I would describe as a robust but frozen labor market," Gregory Daco, chief economist at EY-Parthenon, told The New York Times, noting that while unemployment remains low, there's very little churn or employee turnover as "businesses are being cautious as to how they manage their work force."

Moody's Analytics projects monthly payroll gains could slow to around 100,000 by year-end.

The big story: Potential for economic headwinds grows

Behind the "Now Hiring" signs and modest unemployment rate, there's growing concern on Main Street that the economy might be more fragile than it appears.

"You've already got companies hiring as if they're in a recession—even if they're not laying people off," Oliver Allen, senior U.S. economist at Pantheon Macroeconomics, told CNN. Average unemployment duration, a lagging indicator, rose from 20.8 weeks in January 2024 to 22 in January of this year.

Tightening trade regulations and federal trimming could also have an impact on the job market. Experts predict the U.S. gross domestic product could take a hit due to increased tariffs. The U.S. government is the country's largest employer and contributes 36% to the GDP.

Sudden cuts to federal spending advocated by the new administration could hit the economy hard. One example of the potential fallout is that if prices were to increase further due to higher tariffs, consumer purchasing power would decline, stymieing economic growth.

Whether the effects of slashing the workforce and the budget will be exceeded by Trump's plans to loosen business regulations and cut taxes remains to be seen.

To get a better idea of your community's current economy, read on to see the counties with the highest unemployment in Rhode Island.

5. Washington County

December unemployment rate (preliminary): 3.3%
--- 1-month change: -0.2 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 71,523 people (2,387 unemployed)

4. Bristol County

December unemployment rate (preliminary): 3.4%
--- 1-month change: -0.2 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 27,123 people (933 unemployed)

3. Newport County

December unemployment rate (preliminary): 3.6%
--- 1-month change: -0.2 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 46,080 people (1,639 unemployed)

2. Kent County

December unemployment rate (preliminary): 3.8%
--- 1-month change: -0.2 percentage points
--- 1-year change: +0.8 percentage points
- Total labor force: 95,816 people (3,639 unemployed)

1. Providence County

December unemployment rate (preliminary): 4.7%
--- 1-month change: -0.3 percentage points
--- 1-year change: +0.9 percentage points
- Total labor force: 343,366 people (16,152 unemployed)

This story features data reporting by Karim Noorani, writing by Ben Popken, and is part of a series utilizing data automation across 50 states.

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