- Posted August 2025
July 2025 highlights
Since June, the not seasonally adjusted unemployment rate increased from 3.6% to 4.3% and total nonfarm employment decreased by 110 jobs.
Summary
Total nonfarm employment was estimated at 18,860 jobs in July 2025. This is down 110 jobs compared to June 2025 and unchanged over the year. The unemployment rate in Island County increased over the month from 3.6% to 4.3%. The size of the labor force at 34,757 increased by 65 workers over the month. There were 129 initial claim filings for unemployment insurance over the month.
Geography
Island County is situated in the Salish Sea in northwest Washington. As its name suggests, it is made up of several islands. The two largest are Whidbey and Camano. Island County is the second smallest county in Washington by landmass, just larger than neighboring San Juan County. Island County is bounded to the north by Deception Pass and to the south by Puget Sound. Skagit Bay and Saratoga Passage are located to the east and Admiralty Inlet and the Strait of Juan de Fuca are west. Skagit and Snohomish counties lie to the east of Island County and the Olympic Peninsula lies across the water to the west.
Island County is one of six counties included in the Seattle-Tacoma Consolidated Metropolitan Statistical Area (CMSA).
The largest employer is U.S. Naval Air Station Whidbey Island in Oak Harbor. Oak Harbor is the largest city in the county.
Island County is part of the Northwest Workforce Development Area. Visit the Workforce Training & Education Coordinating Board website for information about the 12 regions.
Employment situation for July 2025
Labor force and unemployment
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The not seasonally adjusted unemployment rate was 4.3% in July 2025, up from 3.6% in June 2025 and below 4.7% in July 2024.
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The labor force in July 2025 was 34,757 workers, 986 workers less than July 2024 and 65 more workers than June.
Unemployment rate, not seasonally adjusted
Source: Employment Security Department/Labor Market Information and Research Division, Local area unemployment statistics
Payroll employment
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Total nonfarm employment decreased by 110 jobs from June, bringing the estimated job count to 18,860 jobs, the figure is unchanged from July 2024.
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Construction employment was down 60 jobs over the month and was 120 jobs below last year.
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Retail trade added 50 jobs over the month and was 20 jobs above last year.
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Professional and business services jobs lost 30 jobs over the month and were 70 jobs below last year.
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Private education and health services added 20 jobs over the month and 200 jobs above last year.
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Leisure and hospitality added 20 jobs over the month and was 130 jobs below last year.
Nonfarm employment estimates, not seasonally adjusted, Island County
| NAICS Industry Title | Jul 2025 (Prelim) | Jun 2025 (Revised) | Jul 2024 (Revised) | Jun 2025 to Jul 2025 Change | Jul 2024 to Jul 2025 Change | Jul 2024 to Jul 2025 % Change |
|---|---|---|---|---|---|---|
| Total nonfarm | 18,860 | 18,970 | 18,860 | -110 | 0 | 0.0% |
| Total private (total nonfarm less government) | 14,100 | 14,120 | 14,070 | -20 | 30 | 0.2% |
| Goods-producing | 1,850 | 1,940 | 1,990 | -90 | -140 | -7.0% |
| - Mining and logging | 10 | 10 | 10 | 0 | 0 | 0.0% |
| - Construction | 1,170 | 1,230 | 1,290 | -60 | -120 | -9.3% |
| - Manufacturing | 670 | 690 | 690 | -20 | -20 | -2.9% |
| Service-providing | 17,010 | 17,030 | 16,870 | -20 | 140 | 0.8% |
| - Wholesale trade | 280 | 280 | 270 | 0 | 10 | 3.7% |
| - Retail trade | 2,230 | 2,180 | 2,210 | 50 | 20 | 0.9% |
| - Transportation, warehousing, and utilities | 260 | 260 | 240 | 0 | 20 | 8.3% |
| - Information | 240 | 240 | 260 | 0 | -20 | -7.7% |
| - Financial activities | 710 | 690 | 700 | 20 | 10 | 1.4% |
| - Professional and business services | 1,890 | 1,920 | 1,820 | -30 | 70 | 3.8% |
| - Private education and health services | 2,980 | 2,960 | 2,780 | 20 | 200 | 7.2% |
| - Leisure and hospitality | 2,710 | 2,690 | 2,840 | 20 | -130 | -4.6% |
| - Other services | 970 | 950 | 970 | 20 | 0 | 0.0% |
| - Government | 4,760 | 4,850 | 4,800 | -90 | -40 | -0.8% |
Note: Data benchmarked through March 2025, updated August 14, 2025.
Source: Employment Security Department/Labor Market Information and Research Division, Washington employment estimates (WA-QB & CES)
Detailed tables can be found on the source page in the third spreadsheet titled Current employment estimates, not seasonally adjusted.
Industry employment (covered employment)
Employment by industry, Island County 2023 annual average
Note: ND stands for not disclosed. ND is used to avoid disclosing data for individual employers. Industries labeled ND are grouped in the Not elsewhere classified category.
Source: Employment Security Department/Labor Market Information and Research Division, Covered Employment (QCEW)
Average annual covered employment in Island County was 18,095 in 2023. Covered employment refers to workers who received wages in Washington state and are eligible for state and federal unemployment insurance (UI) compensation programs.
Wages can vary substantially from one industry sector to another. The average annual wage in Washington state for all industries was $87,054 in 2023. The average annual wage in Island County was $55,071 in 2023.
Top sectors in terms of employment in 2023:
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Government (4,588)
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Retail trade (2,267)
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Accommodation and food services (2,220)
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Health care and social assistance (2,020)
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Construction (1,314)
The top sectors in terms of wage in 2023:
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Professional, scientific, technical ($112,683)
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Finance and insurance ($106,646)
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Mining and Utilities* ($91,835)
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Wholesale trade ($84,675)
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Information ($74,181)
Workforce demographics in Island County
Age
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| Population 16 years and over | 73,254 | 57.0% | 4.7% |
| 16 to 19 years | 3,479 | 46.5% | 22.8% |
| 20 to 24 years | 5,779 | 91.2% | 11.9% |
| 25 to 29 years | 5,632 | 80.5% | 3.1% |
| 30 to 34 years | 5,445 | 82.9% | 3.6% |
| 35 to 44 years | 10,114 | 82.6% | 4.6% |
| 45 to 54 years | 8,285 | 81.7% | 3.1% |
| 55 to 59 years | 5,106 | 75.2% | 2.6% |
| 60 to 64 years | 6,774 | 49.7% | 3.0% |
| 65 to 74 years | 13,659 | 19.5% | 1.5% |
| 75 years and over | 8,981 | 8.9% | 0.0% |
Race or Hispanic origin
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| White alone | 59,206 | 54.6% | 4.7% |
| Black or African American alone | 2,014 | 76.8% | 5.2% |
| American Indian and Alaska Native alone | 717 | 71.5% | 3.8% |
| Asian alone | 3,777 | 62.9% | 5.7% |
| Native Hawaiian and other Pacific Islander alone | 281 | 91.1% | 0.0% |
| Some other race alone | 1,467 | 78.5% | 2.4% |
| Two or more races | 5,792 | 61.3% | 4.0% |
| Hispanic or Latino origin (of any race) | 5,209 | 75.8% | 6.6% |
| White alone, not Hispanic or Latino | 57,586 | 53.9% | 4.4% |
| Population 20 to 64 years | 47,135 | 77.8% | 4.3% |
Sex
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| Male | 24,351 | 84.9% | 4.6% |
| Female | 22,784 | 70.2% | 3.9% |
Females with children
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| With own children under 18 | 7,543 | 68.8% | 2.1% |
| With own children under 6 only | 2,419 | 68.6% | 4.5% |
| With own children under 6 and 6 to 17 | 1,787 | 64.7% | 0.9% |
| With own children 6 to 17 only | 3,337 | 71.1% | 1.3% |
Poverty status in the past 12 months
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| Below poverty level | 3,314 | 35.6% | 11.3% |
| At or above the poverty level | 41,866 | 80.3% | 4.0% |
Disability status
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| With any disability | 5,632 | 54.2% | 5.2% |
Educational attainment
| Demographic characteristic | Total | Labor force participation rate | Unemployment rate |
|---|---|---|---|
| Population 25 to 64 years | 41,356 | 75.9% | 3.5% |
| Less than high school graduate | 1,946 | 61.4% | 9.6% |
| High school graduate (includes equivalency) | 10,107 | 76.7% | 3.1% |
| Some college or associate's degree | 16,605 | 73.7% | 3.5% |
| Bachelor's degree or higher | 12,698 | 80.3% | 3.0% |
Source: U.S. Census Bureau, American Community Survey 5-year estimates, S2301 | Employment Status
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