For several years, Maine posted a lower unemployment rate and a higher labor participation rate than the national average. As of October, 2021, that is no longer the case.

The average U.S. unemployment rate for all 50 states was 4.6% in October. Maine lagged the national average with an unemployment rate of 4.9%, a rate that has virtually unchanged for the entire past year. The unemployment rate for our neighbors in New Hampshire was 2.9%.

The Maine Department of Labor reported that the number of Americans applying for unemployment benefits fell to the lowest level in 52 years, the lowest since September 1969.  However, in Maine, the number of initial claims grew by more than 400 to more than 1,250 claims.

The labor force participation rate is the percentage of the population that is either currently working at a job or is actively looking for work. The U.S. average as of Oct. 2021 for the overall labor force participation rate was 58.7%. Maine’s average overall labor force participation rate fell below the U.S. average to 57.4%.

Maine’s unemployment numbers and labor participation rates are beginning to fall below the national average demonstrate troubling signs that our economy is not performing as well as other states.  

For more information, check out the following data from the Maine Department of Labor, Center for Workforce Research and Information: