For Almost 50 Years California’s Unemployment Rate Has Been Worse Than the US Average

By Sam Stebbins Updated Dec 19, 2:00PM EST · Published Dec 19, 10:11AM EST

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For Almost 50 Years California’s Unemployment Rate Has Been Worse Than the US Average — © Ron and Patty Thomas / E+ via Getty Images

In an era of economic uncertainty, the U.S. job market remains resilient. After falling to 3.7% in November 2023, the national unemployment rate has been below 4% for 22 consecutive months, the longest streak in over 50 years.

Of course, if history is any guide, much of the economy is subject to boom and bust cycles — and the job market is no exception. Since the mid-1970s, the average annual unemployment rate in the U.S. has fluctuated between 3.6% and nearly 10%, according to the Bureau of Labor Statistics.

These same cyclical patterns are also evident in California, where the job market is supported largely by the professional and scientific and retail trade industries. The annual unemployment rate in the state was 4.2% in 2022, closely in line with the state’s lowest recorded annual jobless rate of 4%. However, conditions for job seekers have not always been so favorable.

According to historical BLS data going back to 1976, the annual jobless rate has been as high as 12.2% in California. More than once, unemployment in the state has either matched or come close to that peak.

This is how California’s job market has changed in each of the last 47 years.

1976

Avg. unemployment rate: 9.1% (7.7% nationwide)
Labor force participation rate: 62.5% (61.6% nationwide)
Unemployed population in California: 908,635

1977

Avg. unemployment rate: 8.3% (7.1% nationwide)
Labor force participation rate: 63.8% (62.3% nationwide)
Unemployed population in California: 868,374

1978

WelcomeToIslaVista by Alanmak~commonswiki

WelcomeToIslaVista (CC BY-SA 3.0) by Alanmak~commonswiki

Avg. unemployment rate: 7.2% (6.1% nationwide)
Labor force participation rate: 65.1% (63.2% nationwide)
Unemployed population in California: 778,834

1979

Avg. unemployment rate: 6.2% (5.8% nationwide)
Labor force participation rate: 65.6% (63.7% nationwide)
Unemployed population in California: 701,996

1980

Avg. unemployment rate: 6.8% (7.1% nationwide)
Labor force participation rate: 65.6% (63.8% nationwide)
Unemployed population in California: 798,795

1981

Avg. unemployment rate: 7.4% (7.6% nationwide)
Labor force participation rate: 65.4% (63.9% nationwide)
Unemployed population in California: 879,116

1982

Avg. unemployment rate: 10.0% (9.7% nationwide)
Labor force participation rate: 66.0% (64.0% nationwide)
Unemployed population in California: 1,223,926

1983

Avg. unemployment rate: 9.8% (9.6% nationwide)
Labor force participation rate: 65.7% (64.0% nationwide)
Unemployed population in California: 1,207,942

1984

Avg. unemployment rate: 7.8% (7.5% nationwide)
Labor force participation rate: 65.8% (64.4% nationwide)
Unemployed population in California: 977,154

1985

Avg. unemployment rate: 7.2% (7.2% nationwide)
Labor force participation rate: 66.0% (64.8% nationwide)
Unemployed population in California: 933,949

1986

Avg. unemployment rate: 6.7% (7.0% nationwide)
Labor force participation rate: 66.5% (65.3% nationwide)
Unemployed population in California: 900,489

1987

Avg. unemployment rate: 5.8% (6.2% nationwide)
Labor force participation rate: 66.9% (65.6% nationwide)
Unemployed population in California: 801,291

1988

WelcomeToIslaVista (CC BY-SA 3.0) by Alanmak~commonswiki

Avg. unemployment rate: 5.3% (5.5% nationwide)
Labor force participation rate: 67.4% (65.9% nationwide)
Unemployed population in California: 745,913

1989

Avg. unemployment rate: 5.1% (5.3% nationwide)
Labor force participation rate: 67.7% (66.5% nationwide)
Unemployed population in California: 739,894

1990

Avg. unemployment rate: 5.8% (5.6% nationwide)
Labor force participation rate: 67.0% (66.5% nationwide)
Unemployed population in California: 873,843

1991

Avg. unemployment rate: 7.7% (6.8% nationwide)
Labor force participation rate: 66.4% (66.2% nationwide)
Unemployed population in California: 1,180,805

1992

Avg. unemployment rate: 9.3% (7.5% nationwide)
Labor force participation rate: 66.4% (66.4% nationwide)
Unemployed population in California: 1,432,475

1993

Avg. unemployment rate: 9.5% (6.9% nationwide)
Labor force participation rate: 65.9% (66.3% nationwide)
Unemployed population in California: 1,453,169

1994

Avg. unemployment rate: 8.6% (6.1% nationwide)
Labor force participation rate: 65.8% (66.6% nationwide)
Unemployed population in California: 1,322,849

1995

Avg. unemployment rate: 7.9% (5.6% nationwide)
Labor force participation rate: 65.6% (66.6% nationwide)
Unemployed population in California: 1,204,269

1996

WelcomeToIslaVista (CC BY-SA 3.0) by Alanmak~commonswiki

Avg. unemployment rate: 7.3% (5.4% nationwide)
Labor force participation rate: 65.7% (66.8% nationwide)
Unemployed population in California: 1,131,644

1997

Avg. unemployment rate: 6.4% (4.9% nationwide)
Labor force participation rate: 66.3% (67.1% nationwide)
Unemployed population in California: 1,011,078

1998

Avg. unemployment rate: 5.9% (4.5% nationwide)
Labor force participation rate: 66.6% (67.1% nationwide)
Unemployed population in California: 960,743

1999

Avg. unemployment rate: 5.2% (4.2% nationwide)
Labor force participation rate: 66.5% (67.1% nationwide)
Unemployed population in California: 867,316

2000

Avg. unemployment rate: 4.9% (4.0% nationwide)
Labor force participation rate: 67.0% (67.1% nationwide)
Unemployed population in California: 825,917

2001

Avg. unemployment rate: 5.4% (4.7% nationwide)
Labor force participation rate: 67.0% (66.8% nationwide)
Unemployed population in California: 935,919

2002

Avg. unemployment rate: 6.7% (5.8% nationwide)
Labor force participation rate: 66.6% (66.6% nationwide)
Unemployed population in California: 1,165,056

2003

Avg. unemployment rate: 6.8% (6.0% nationwide)
Labor force participation rate: 65.9% (66.2% nationwide)
Unemployed population in California: 1,190,384

2004

WelcomeToIslaVista (CC BY-SA 3.0) by Alanmak~commonswiki

Avg. unemployment rate: 6.2% (5.5% nationwide)
Labor force participation rate: 65.6% (66.0% nationwide)
Unemployed population in California: 1,080,951

2005

Avg. unemployment rate: 5.4% (5.1% nationwide)
Labor force participation rate: 65.5% (66.0% nationwide)
Unemployed population in California: 944,309

2006

Avg. unemployment rate: 4.9% (4.6% nationwide)
Labor force participation rate: 65.4% (66.2% nationwide)
Unemployed population in California: 863,334

2007

Avg. unemployment rate: 5.4% (4.6% nationwide)
Labor force participation rate: 65.7% (66.0% nationwide)
Unemployed population in California: 955,326

2008

Avg. unemployment rate: 7.3% (5.8% nationwide)
Labor force participation rate: 65.9% (66.0% nationwide)
Unemployed population in California: 1,323,825

2009

City Hall . (CC BY 2.0) by Simon Shek

Avg. unemployment rate: 11.2% (9.3% nationwide)
Labor force participation rate: 65.5% (65.4% nationwide)
Unemployed population in California: 2,112,831

2010

Avg. unemployment rate: 12.2% (9.6% nationwide)
Labor force participation rate: 64.4% (64.7% nationwide)
Unemployed population in California: 2,292,082

2011

Avg. unemployment rate: 11.7% (8.9% nationwide)
Labor force participation rate: 63.6% (64.1% nationwide)
Unemployed population in California: 2,186,154

2012

WelcomeToIslaVista (CC BY-SA 3.0) by Alanmak~commonswiki

Avg. unemployment rate: 10.4% (8.1% nationwide)
Labor force participation rate: 63.1% (63.7% nationwide)
Unemployed population in California: 1,943,842

2013

Avg. unemployment rate: 8.9% (7.4% nationwide)
Labor force participation rate: 62.7% (63.2% nationwide)
Unemployed population in California: 1,677,544

2014

Avg. unemployment rate: 7.5% (6.2% nationwide)
Labor force participation rate: 62.3% (62.9% nationwide)
Unemployed population in California: 1,412,174

2015

Avg. unemployment rate: 6.2% (5.3% nationwide)
Labor force participation rate: 62.2% (62.7% nationwide)
Unemployed population in California: 1,176,732

2016

Avg. unemployment rate: 5.5% (4.9% nationwide)
Labor force participation rate: 62.2% (62.8% nationwide)
Unemployed population in California: 1,046,610

2017

Avg. unemployment rate: 4.8% (4.4% nationwide)
Labor force participation rate: 62.3% (62.9% nationwide)
Unemployed population in California: 927,302

2018

Avg. unemployment rate: 4.3% (3.9% nationwide)
Labor force participation rate: 62.3% (62.9% nationwide)
Unemployed population in California: 819,595

2019

Avg. unemployment rate: 4.0% (3.7% nationwide)
Labor force participation rate: 62.5% (63.1% nationwide)
Unemployed population in California: 795,311

2020

WelcomeToIslaVista (CC BY-SA 3.0) by Alanmak~commonswiki

Avg. unemployment rate: 10.1% (8.1% nationwide)
Labor force participation rate: 60.8% (61.7% nationwide)
Unemployed population in California: 1,923,991

2021

Avg. unemployment rate: 7.3% (5.3% nationwide)
Labor force participation rate: 61.0% (61.7% nationwide)
Unemployed population in California: 1,387,063

2022

Avg. unemployment rate: 4.2% (3.6% nationwide)
Labor force participation rate: 61.9% (62.2% nationwide)
Unemployed population in California: 811,079

Year	California unemployment rate	U.S. unemployment rate	Unemployed population in California
1976	9.1	7.7	908,635
1977	8.3	7.1	868,374
1978	7.2	6.1	778,834
1979	6.2	5.8	701,996
1980	6.8	7.1	798,795
1981	7.4	7.6	879,116
1982	10.0	9.7	1,223,926
1983	9.8	9.6	1,207,942
1984	7.8	7.5	977,154
1985	7.2	7.2	933,949
1986	6.7	7.0	900,489
1987	5.8	6.2	801,291
1988	5.3	5.5	745,913
1989	5.1	5.3	739,894
1990	5.8	5.6	873,843
1991	7.7	6.8	1,180,805
1992	9.3	7.5	1,432,475
1993	9.5	6.9	1,453,169
1994	8.6	6.1	1,322,849
1995	7.9	5.6	1,204,269
1996	7.3	5.4	1,131,644
1997	6.4	4.9	1,011,078
1998	5.9	4.5	960,743
1999	5.2	4.2	867,316
2000	4.9	4.0	825,917
2001	5.4	4.7	935,919
2002	6.7	5.8	1,165,056
2003	6.8	6.0	1,190,384
2004	6.2	5.5	1,080,951
2005	5.4	5.1	944,309
2006	4.9	4.6	863,334
2007	5.4	4.6	955,326
2008	7.3	5.8	1,323,825
2009	11.2	9.3	2,112,831
2010	12.2	9.6	2,292,082
2011	11.7	8.9	2,186,154
2012	10.4	8.1	1,943,842
2013	8.9	7.4	1,677,544
2014	7.5	6.2	1,412,174
2015	6.2	5.3	1,176,732
2016	5.5	4.9	1,046,610
2017	4.8	4.4	927,302
2018	4.3	3.9	819,595
2019	4.0	3.7	795,311
2020	10.1	8.1	1,923,991
2021	7.3	5.3	1,387,063
2022	4.2	3.6	811,079

About the Author Sam Stebbins →

Sam Stebbins is a writer at a673b.bigscoots-temp.com where his primary focus is on government policy, politics, companies, and broad social and economic trends. Sam has been writing in the money and news verticals for over 8 years and holds a bachelor's degree from Hobart College, which he earned in 2010. Sam resides in upstate New York and enjoys hiking, biking, canoeing, and skiing in the Adirondack Mountains and across the Northeast.