Counties with the highest unemployment in Tennessee

Written by:
February 12, 2025
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Counties with the highest unemployment in Tennessee

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 Tennessee, 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 Tennessee.

45. Hardin County (tie)

December unemployment rate (preliminary): 3.8%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.2 percentage points
- Total labor force: 10,361 people (395 unemployed)

45. Dyer County (tie)

December unemployment rate (preliminary): 3.8%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 17,318 people (654 unemployed)

45. Obion County (tie)

December unemployment rate (preliminary): 3.8%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 13,277 people (510 unemployed)

45. Grainger County (tie)

December unemployment rate (preliminary): 3.8%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 9,962 people (377 unemployed)

45. Lewis County (tie)

December unemployment rate (preliminary): 3.8%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.8 percentage points
- Total labor force: 5,741 people (216 unemployed)

45. Weakley County (tie)

December unemployment rate (preliminary): 3.8%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 15,161 people (571 unemployed)

40. Claiborne County (tie)

December unemployment rate (preliminary): 3.9%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 12,990 people (503 unemployed)

40. Warren County (tie)

December unemployment rate (preliminary): 3.9%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 17,187 people (669 unemployed)

40. Lawrence County (tie)

December unemployment rate (preliminary): 3.9%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.8 percentage points
- Total labor force: 19,936 people (778 unemployed)

40. Montgomery County (tie)

December unemployment rate (preliminary): 3.9%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 91,764 people (3,613 unemployed)

40. Morgan County (tie)

December unemployment rate (preliminary): 3.9%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.3 percentage points
- Total labor force: 8,049 people (316 unemployed)

33. Fayette County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.1 percentage points
- Total labor force: 19,166 people (773 unemployed)

33. Hawkins County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 23,623 people (937 unemployed)

33. Polk County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: +0.2 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 7,197 people (288 unemployed)

33. Johnson County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: +0.2 percentage points
--- 1-year change: +1.0 percentage points
- Total labor force: 7,696 people (304 unemployed)

33. Carroll County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.3 percentage points
- Total labor force: 11,844 people (472 unemployed)

33. Henderson County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 11,927 people (475 unemployed)

33. Pickett County (tie)

December unemployment rate (preliminary): 4%
--- 1-month change: +0.1 percentage points
--- 1-year change: -0.3 percentage points
- Total labor force: 2,055 people (83 unemployed)

27. Tipton County (tie)

December unemployment rate (preliminary): 4.1%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 27,332 people (1,113 unemployed)

27. Jackson County (tie)

December unemployment rate (preliminary): 4.1%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 4,855 people (201 unemployed)

27. Union County (tie)

December unemployment rate (preliminary): 4.1%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.7 percentage points
- Total labor force: 8,045 people (332 unemployed)

27. Grundy County (tie)

December unemployment rate (preliminary): 4.1%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 5,372 people (218 unemployed)

27. Marion County (tie)

December unemployment rate (preliminary): 4.1%
--- 1-month change: +0.2 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 12,897 people (527 unemployed)

27. Campbell County (tie)

December unemployment rate (preliminary): 4.1%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 15,276 people (629 unemployed)

25. Carter County (tie)

December unemployment rate (preliminary): 4.2%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.9 percentage points
- Total labor force: 24,420 people (1,017 unemployed)

25. Scott County (tie)

December unemployment rate (preliminary): 4.2%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 8,143 people (338 unemployed)

22. DeKalb County (tie)

December unemployment rate (preliminary): 4.3%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 7,788 people (336 unemployed)

22. Sequatchie County (tie)

December unemployment rate (preliminary): 4.3%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.8 percentage points
- Total labor force: 6,478 people (280 unemployed)

22. Benton County (tie)

December unemployment rate (preliminary): 4.3%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.7 percentage points
- Total labor force: 6,951 people (297 unemployed)

20. McMinn County (tie)

December unemployment rate (preliminary): 4.4%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 21,116 people (932 unemployed)

20. Hancock County (tie)

December unemployment rate (preliminary): 4.4%
--- 1-month change: -0.1 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 2,398 people (105 unemployed)

19. Cumberland County

December unemployment rate (preliminary): 4.5%
--- 1-month change: +0.3 percentage points
--- 1-year change: +0.3 percentage points
- Total labor force: 24,637 people (1,120 unemployed)

13. Clay County (tie)

December unemployment rate (preliminary): 4.6%
--- 1-month change: -0.2 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 2,938 people (135 unemployed)

13. Rhea County (tie)

December unemployment rate (preliminary): 4.6%
--- 1-month change: +0.3 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 14,024 people (645 unemployed)

13. Van Buren County (tie)

December unemployment rate (preliminary): 4.6%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.5 percentage points
- Total labor force: 2,215 people (102 unemployed)

13. Hardeman County (tie)

December unemployment rate (preliminary): 4.6%
--- 1-month change: 0.0 percentage points
--- 1-year change: 0.0 percentage points
- Total labor force: 9,030 people (412 unemployed)

13. Haywood County (tie)

December unemployment rate (preliminary): 4.6%
--- 1-month change: +0.1 percentage points
--- 1-year change: +1.0 percentage points
- Total labor force: 8,589 people (399 unemployed)

13. Shelby County (tie)

December unemployment rate (preliminary): 4.6%
--- 1-month change: 0.0 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 430,470 people (19,910 unemployed)

10. Greene County (tie)

December unemployment rate (preliminary): 4.7%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.8 percentage points
- Total labor force: 28,910 people (1,363 unemployed)

10. Monroe County (tie)

December unemployment rate (preliminary): 4.7%
--- 1-month change: +0.8 percentage points
--- 1-year change: +1.4 percentage points
- Total labor force: 21,217 people (988 unemployed)

10. Decatur County (tie)

December unemployment rate (preliminary): 4.7%
--- 1-month change: +0.2 percentage points
--- 1-year change: +0.6 percentage points
- Total labor force: 4,416 people (207 unemployed)

7. Lauderdale County (tie)

December unemployment rate (preliminary): 4.8%
--- 1-month change: +0.1 percentage points
--- 1-year change: 0.0 percentage points
- Total labor force: 9,360 people (453 unemployed)

7. Meigs County (tie)

December unemployment rate (preliminary): 4.8%
--- 1-month change: +0.3 percentage points
--- 1-year change: +0.1 percentage points
- Total labor force: 4,819 people (232 unemployed)

7. Perry County (tie)

December unemployment rate (preliminary): 4.8%
--- 1-month change: +0.1 percentage points
--- 1-year change: +0.7 percentage points
- Total labor force: 2,786 people (134 unemployed)

6. Cocke County

December unemployment rate (preliminary): 4.9%
--- 1-month change: 0.0 percentage points
--- 1-year change: +1.3 percentage points
- Total labor force: 15,127 people (734 unemployed)

2. Houston County (tie)

December unemployment rate (preliminary): 5.2%
--- 1-month change: +0.3 percentage points
--- 1-year change: +0.9 percentage points
- Total labor force: 3,290 people (170 unemployed)

2. McNairy County (tie)

December unemployment rate (preliminary): 5.2%
--- 1-month change: 0.0 percentage points
--- 1-year change: +1.0 percentage points
- Total labor force: 8,496 people (440 unemployed)

2. Bledsoe County (tie)

December unemployment rate (preliminary): 5.2%
--- 1-month change: -0.2 percentage points
--- 1-year change: +0.4 percentage points
- Total labor force: 4,671 people (245 unemployed)

2. Lake County (tie)

December unemployment rate (preliminary): 5.2%
--- 1-month change: +0.2 percentage points
--- 1-year change: +1.4 percentage points
- Total labor force: 1,631 people (84 unemployed)

1. Unicoi County

December unemployment rate (preliminary): 5.9%
--- 1-month change: 0.0 percentage points
--- 1-year change: +1.8 percentage points
- Total labor force: 7,326 people (434 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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