Ohio June unemployment rate remains steady

Ohio’s unemployment rate stood at 4.9% in June 2025, staying the same as the rate in May.

Numbers from the Ohio Department of Job and Family Services reveal that Ohio’s nonagricultural wage and salary employment increased by 10,400 during June. The numbers are up from a revised number of slightly more than 5.7 million in May to 5.71 million in June.

Additionally, the numbers show that while Ohio’s June unemployment rate held steady for the third consecutive month at 4.9%, the labor force participation rate remained unchanged at 62.7%.

“Overall, Ohio’s job market is weaker than the national average—with an unemployment rate of 4.1 percent and a labor force participation rate of 62.3 percent—with more people in Ohio looking for work but less likely to find jobs,” Rea S. Hederman Jr., executive director of the Economic Research Center and vice president of policy at The Buckeye Institute, said in a statement.

“In a positive sign, Ohio’s private-sector hiring surged in June, adding 11,600 new jobs, erasing the 6,300 job loss in May,” Hederman added. “A bright spot in the job market, private-sector hiring has averaged 5,000 new hires a month in 2025. Furthermore, Ohio is growing faster than some of our neighboring states, particularly Michigan, which is losing jobs and workers and has a much higher unemployment rate compared to Ohio.”

The number of unemployed workers in the Buckeye State in June, 293,000, was down slightly from May’s total of 294,000. Additionally, officials said that the number of unemployed increased by 41,000 in the past 12 months from 252,000.

Ohio’s unemployment rate in June increased by 0.6 percentage points to 4.9% from 4.3% in June 2024. However, that rate was slightly higher than the June 2025 unemployment rate nationally, which was 4.1%, down from 4.2% in May 2025 and unchanged from last June’s rate.

In June 2025, the labor force participation rate in Ohio was 62.7%, unchanged from May’s rate and up from 62.4% last June. Concurrently, the labor force participation rate at the national level was 62.3%, down from 62.4% in May 2025 and down from 62.6% in June 2024.

“Along with the positive signs, there is concern. Ohio lags the national average and needs to generate more job opportunities for Ohioans,” Hederman said. “By moving to a low flat tax rate, lawmakers have positioned Ohio for stronger economic growth, and regulatory and energy reforms will attract employers to the Buckeye State, creating more jobs for Ohioans.”

Meanwhile, state lawmakers may soon be forced to address the state’s unemployment fund, which could become insolvent during the next economic downturn.

Cleveland.com reported that since 1974, the feds have considered Ohio’s unemployment fund to be insolvent. That’s because the state hasn’t maintained a reserve large enough to cover a full year of benefits during a recession, as recommended by federal standards.

Proposed legislation would cut the maximum number of weeks that Ohioans can receive unemployment benefits.

House Bill 376, sponsored by state Rep. Michelle Teska, R-Clearcreek Township, would reduce the number of weeks to 20, down from the current 26 weeks allowed. A dozen Republicans have signed on as co-sponsors.

While the bill was introduced last month, it has not yet had a committee hearing.