The labor market is still doing relatively well. The national labor force participation rate is close to pre-pandemic levels, at 62.6% as of January 2025, and the unemployment rate is 4%. Plus, employees have been getting progressively less inclined to leave their employers, allowing companies to focus on filling new positions rather than simply backfilling them from employee turnover. Despite these positive statistics, though, many businesses are still facing labor shortages, finding it difficult to hire new employees.
Workers are easier to find in some states than others. To see where employers are struggling the most in hiring, WalletHub compared the 50 states and the District of Columbia based on the rate of job openings for the latest month and the last 12 months.
Main Findings
States Where Employers Are Struggling the Most in Hiring
| Rank | State | Job Openings Rate (Latest Month) | Job Openings Rate (Last 12 Months) |
|---|---|---|---|
| 1 | Kentucky | 6.50% | 6.08% |
| 2 | Alaska | 6.00% | 6.71% |
| 3 | West Virginia | 5.90% | 6.11% |
| 4 | South Carolina | 5.70% | 5.97% |
| 5 | Arkansas | 5.70% | 5.65% |
| 6 | Virginia | 5.60% | 5.79% |
| 7 | Georgia | 5.70% | 5.35% |
| 8 | Oklahoma | 5.40% | 5.82% |
| 9 | New Mexico | 5.40% | 5.72% |
| 10 | Louisiana | 5.40% | 5.53% |
| 11 | Alabama | 5.40% | 5.35% |
| 12 | Missouri | 5.40% | 5.28% |
| 13 | North Carolina | 5.40% | 5.27% |
| 14 | Delaware | 5.20% | 5.46% |
| 15 | Montana | 5.00% | 5.81% |
| 16 | Minnesota | 5.20% | 5.36% |
| 17 | North Dakota | 5.20% | 5.31% |
| 18 | Maryland | 4.80% | 5.87% |
| 19 | Rhode Island | 5.00% | 5.29% |
| 20 | Mississippi | 4.90% | 5.42% |
| 21 | Maine | 4.90% | 5.38% |
| 22 | Massachusetts | 5.00% | 5.13% |
| 23 | Arizona | 5.00% | 5.12% |
| 24 | Wyoming | 4.80% | 5.39% |
| 25 | South Dakota | 4.90% | 5.09% |
| 26 | Ohio | 5.00% | 4.74% |
| 27 | New Hampshire | 4.80% | 5.05% |
| 28 | Vermont | 4.80% | 4.94% |
| 29 | Kansas | 4.80% | 4.83% |
| 30 | Nebraska | 4.80% | 4.61% |
| 31 | Oregon | 4.50% | 5.13% |
| 32 | Wisconsin | 4.60% | 4.88% |
| 33 | Colorado | 4.10% | 5.80% |
| 34 | New York | 4.70% | 4.60% |
| 35 | Indiana | 4.70% | 4.53% |
| 36 | Illinois | 4.40% | 5.03% |
| 37 | Idaho | 4.30% | 5.14% |
| 38 | Tennessee | 4.40% | 4.91% |
| 39 | Florida | 4.30% | 4.74% |
| 40 | Pennsylvania | 4.30% | 4.72% |
| 41 | Nevada | 4.30% | 4.62% |
| 42 | Michigan | 4.20% | 4.72% |
| 43 | New Jersey | 4.20% | 4.67% |
| 44 | District of Columbia | 4.20% | 4.63% |
| 45 | Connecticut | 4.10% | 4.67% |
| 46 | Iowa | 4.20% | 4.47% |
| 47 | Utah | 4.00% | 4.73% |
| 48 | Texas | 4.00% | 4.56% |
| 49 | Washington | 3.80% | 4.17% |
| 50 | Hawaii | 3.60% | 4.08% |
| 51 | California | 3.40% | 3.63% |
Ask the Experts
In order to get more insight into the current hiring trends, WalletHub turned to a panel of experts. You can click on the pictures of the experts below to read their bios and responses to the following key questions.
- Why do employers have difficulties in filling employment positions?
- What is the economic impact of this trend?
- What are the best ways for employers to attract and retain employees?
- In your opinion, will this imbalance in the labor market continue to be an issue throughout all of 2025?
Ask the Experts
Ph.D. – Department Chair & Professor, Wilbur O. & Ann Powers College of Business – Clemson University
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Ph.D. – Richard T. Farmer Associate Professor; Associate Professor of Management; Academy of Management Program Chair: Diversity, Equity, and Inclusion Division; Associate Editor, Journal of Managerial Psychology; Former President of Management Faculty of Color Association; Vice President of Association of Black Faculty and Staff; Department of Management, Farmer School of Business – Miami University
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Ph.D. – Dean, UIC Business – University of Illinois Chicago
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Ph.D., SPHR – Business Program Coordinator, PSU Scranton; Interim Business Program Coordinator, PSU Wilkes-Barre; Project & Supply Chain Management Program Coordinator, PSU Scranton; Associate Teaching Professor of Business – The Pennsylvania State University, Scranton Campus
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Ph.D. – Professor and Powers Fellow, Department of Mgt; Director, Executive Leadership Ph.D. Program, Wilbur O. and Ann Powers College of Business – Clemson University
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M.A. – Adjunct Professor – University of Richmond, School of Professional and Continuing Studies
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Methodology
WalletHub compared the 50 states and the District of Columbia based on two metrics, the rate of job openings for the latest month and the last 12 months. These metrics are listed below with their corresponding weights. WalletHub then used these metrics to rank-order the states and the District from those that struggle the most with hiring to those that struggle the least.
- Job Openings Rate (Latest Month): Double Weight (~66.67 Points)
- Job Openings Rate (Last 12 Months): Full Weight (~33.33 Points)
Sources: Data used to create this ranking were obtained from the U.S. Bureau of Labor Statistics.
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