Ten American Cities With the Highest Unemployment

Photo of Douglas A. McIntyre
By Douglas A. McIntyre Updated Published
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The Bureau of Labor Statistics has released its data on unemployment by city for January. In general, the news was very good. Jobless rates were lower in 367 of the 372 metropolitan areas (MSAs) when compared to January 2013, higher in three areas and unchanged in two others. In 30 cities, however, unemployment remained above 10%. The hardest hit of these continue to be in the regions most badly damaged by the recession, particularly parts of California.

The cities with the highest unemployment were:

  1. Yuma, Ariz., at 26.1%
  2. El Centro, Calif, at 22.0%
  3. Ocean City, N.J., at 16.2%
  4. Merced, Calif., at 15.9%
  5. Yuba City, Calif., at 15.6%
  6. Visalia, Calif., at 15.2%
  7. Hanford, Calif., at 14.9%
  8. Fresno, Calif., at 13.6%
  9. Modesto, Calif., at 13.3%
  10.  Stockton at 13.2%

A number of other cities in the central valley region of California also had unemployment rates above 10%, including Santa Cruz and Redding. Much of this region’s employment is based on an agricultural industry that has been badly damaged.

Among the other cities with unemployment above 10% were several in the industrial Midwest, including Decatur and Rockford, Ill., both at 12.9%. Peoria’s unemployment rate just missed the cut at 9.8%.

At the other end of the spectrum, 41 cities (MSAs) had unemployment below 10%, led by Midland, Texas, at 2.9%. Texas continues to prosper because of the energy boom. Of the 25 MSAs in the state, eight had jobless rates under 5%. This included the state capital, Austin, where the unemployment rate was 4.7%

Not surprisingly, unemployment in several MSAs located within the Plains states was particularly low. Many of these states have extremely low jobless rates.

For the time being, there is no reason to believe that the jobs situations in the hardest hit cities will improve much. They dynamics of their regional economies have recovered too little from the Great Recession.

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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