New Mexico Adds 11,300 Jobs as Unemployment Rate Dips

The state’s seasonally adjusted unemployment rate stood at 4.7 percent in August, down from 4.8 percent in July.

Source: N.M. Economic Research and Analysis Bureau
Images: N.M. Office of the State Engineer & Interstate Stream Commission
Originally Released September 18, 2026

New Mexico added 11,300 jobs over the past year, while the state’s unemployment rate edged down slightly in August.

The state’s seasonally adjusted unemployment rate stood at 4.7 percent in August, down from 4.8 percent in July. It remains higher than a year ago, however, when New Mexico’s unemployment rate was 4.1 percent.

The national unemployment rate was 4.1 percent in August.

Overall employment in New Mexico grew 1.3 percent between August 2025 and August 2026. Private employers added 7,200 jobs, while government employment increased by a combined 4,100 jobs.

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Construction, mining and retail lead private-sector growth

Some of the strongest growth came from industries that produce or move physical goods.

Mining and construction added 4,200 jobs over the year, an increase of 5.2 percent. Construction accounted for 2,900 of those jobs, while mining added 1,300.

Manufacturing added another 500 jobs.

Trade, transportation and utilities was the largest source of growth among private service industries, adding 3,400 jobs. Most of that increase came from retail, which added 2,500 jobs.

Health care and social assistance also continued to grow, adding 2,500 jobs over the year.

Some industries lost ground

The gains were not spread evenly across the economy.

Professional and business services lost 2,300 jobs, a decline of 1.9 percent from August 2025.

The information sector recorded the steepest percentage decline, losing 800 jobs, or 8.1 percent of its employment. Miscellaneous other services lost another 400 jobs.

Leisure and hospitality employment was essentially flat, adding just 100 jobs over the year.

Local and state government grow as federal employment falls

Government employment increased by 4,100 jobs overall, but the growth was concentrated at the state and local levels.

Local governments added 4,700 jobs, including 3,200 in local government education. Other local government employment increased by 1,500 jobs.

State government added another 1,400 jobs. Employment outside state government education increased by 1,000, while state government education added 400 jobs.

Federal employment moved in the opposite direction. New Mexico had 2,000 fewer federal government jobs than it did in August 2025, a decline of 6.9 percent.

The big picture

New Mexico had 11,300 more payroll jobs in August than it did a year earlier, with particularly strong growth in construction, mining, retail, health care and local government.

The losses were concentrated in a smaller group of sectors, including professional and business services, information and the federal government.

At the same time, the unemployment rate was six-tenths of a percentage point higher than it was in August 2025 and remained above the national rate.

So the August report paints a mixed picture: New Mexico is adding jobs, but a larger share of its labor force is unemployed than it was a year ago.