A Strong Year for the Arkansas Economy

The Arkansas economy continues to grow thanks to the state’s low costs of living, business advantages, and quality of life. 2024 saw businesses expand across the state in communities of all sizes. As a result, the Arkansas workforce is stronger than ever, with employment hitting record highs for 10 consecutive months! December 2024 closed with nearly 1.37 Arkansans in the workforce, more than anytime in state history.

The Arkansas economy continues to grow thanks to the state’s low costs of living, business advantages, and quality of life. 2024 saw businesses expand across the state in communities of all sizes. As a result, the Arkansas workforce is stronger than ever, with employment hitting record highs for 10 consecutive months! December 2024 closed with nearly 1.37 Arkansans in the workforce, more than anytime in state history.

What’s fueling this momentum? The state’s civilian labor force also hit record highs for 10 consecutive months, ending the year at more than 1.4 million. The labor force participation rate held steady at 58.2% in December, with younger adults (ages 20-54) leading the charge. As expected, participation starts to decline after age 55, especially among women, as many transition into retirement.

Even better? Arkansas’ unemployment rate remains lower than the national average, signaling that job opportunities are abundant for those ready to work.

According to the Bureau of Labor Statistics, the largest job gains over the past year have been in:

• Education & Health Services – A crucial boost for Arkansas’ efforts to address teacher shortages and expand the healthcare workforce. More than 11,000 jobs were added in this sector over the past year.
• Professional & Business Services – A sign of growing opportunities in corporate and administrative roles. The sector added 4,800 workers during the year.
• Manufacturing – A major win for Arkansas, where one in eight workers are employed in this sector. Manufacturing employment increased by 3,600 workers.
  

With a strong job market and continued business expansion across the state, Arkansas is well-positioned for even greater economic success in 2025.