San Diego, December 13, 2025
San Diego County’s unemployment rate has decreased to 4.9%, down from 5% in the previous month. This new figure is slightly higher than the 4.4% rate from a year ago. Despite a slight overall drop in nonfarm employment, essential job sectors like private education and health services have shown significant growth year-over-year, with an increase of over 12,000 jobs. The report also highlights the challenges faced by the leisure and hospitality sectors amidst ongoing national changes in employment dynamics.
San Diego County Unemployment Rate Declines to 4.9% in September
San Diego County’s unemployment rate decreased to 4.9% in September 2025, down from a revised 5% in August 2025 and above the year-ago estimate of 4.4%, according to data released by the state Employment Development Department.
Comparison with State and National Rates
During the same period, the unemployment rate for California was 5.6%, and for the nation, it was 4.3%.
Employment Changes Between August and September 2025
Between August and September 2025, total nonfarm employment in San Diego County decreased from 1,559,100 to 1,558,900, a loss of 200 jobs. Agricultural employment lost 100 jobs.
Sector-Specific Employment Changes
The leisure and hospitality sector led all industries in job losses, declining by 3,800 positions. A total of seven other industries experienced month-over losses of 6,300 jobs, with mining and logging remaining unchanged.
Year-Over-Year Employment Changes
Between September 2024 and September 2025, total nonfarm employment increased by 11,300 jobs, while agricultural employment increased by 100 jobs. The private education and health services sector saw the most significant job gains, adding 12,900 positions. The government sector also increased payrolls by 8,000 jobs during this period.
Employment Losses Over the Year
Six sectors experienced employment losses over the year, totaling a decrease of 12,700 jobs. The professional and business services sector experienced the largest decline, losing 6,500 jobs. Other sectors that saw job losses include manufacturing, financial activities, trade, transportation, utilities, information, and construction.
Impact of Government Shutdown on Data Release
The 43-day-long government shutdown altered the normal release of labor numbers this fall. The Employment Development Department typically releases its numbers after the month’s totals have settled and been adjusted.
Federal Reserve’s Perspective on Employment Data
Federal Reserve Chairman Jerome Powell indicated that the Department of Labor might be exaggerating employment figures by nearly 60,000 jobs per month, which could influence the Fed to lower interest rates. He noted a gradual cooling in the labor market, with both household and business surveys showing declining supply and demand for workers.
Frequently Asked Questions (FAQ)
What was San Diego County’s unemployment rate in September 2025?
San Diego County’s unemployment rate decreased to 4.9% in September 2025, down from a revised 5% in August 2025 and above the year-ago estimate of 4.4%.
How does San Diego County’s unemployment rate compare to the state and national rates?
During the same period, the unemployment rate for California was 5.6%, and for the nation, it was 4.3%.
Which sectors experienced job losses in San Diego County between August and September 2025?
The leisure and hospitality sector led all industries in job losses, declining by 3,800 positions. A total of seven other industries experienced month-over losses of 6,300 jobs, with mining and logging remaining unchanged.
What were the year-over-year employment changes in San Diego County?
Between September 2024 and September 2025, total nonfarm employment increased by 11,300 jobs, while agricultural employment increased by 100 jobs. The private education and health services sector saw the most significant job gains, adding 12,900 positions. The government sector also increased payrolls by 8,000 jobs during this period.
How did the government shutdown affect the release of employment data?
The 43-day-long government shutdown altered the normal release of labor numbers this fall. The Employment Development Department typically releases its numbers after the month’s totals have settled and been adjusted.
What is the Federal Reserve’s perspective on the employment data?
Federal Reserve Chairman Jerome Powell indicated that the Department of Labor might be exaggerating employment figures by nearly 60,000 jobs per month, which could influence the Fed to lower interest rates. He noted a gradual cooling in the labor market, with both household and business surveys showing declining supply and demand for workers.
Key Features of San Diego County’s Unemployment Data
| Feature | Details |
|---|---|
| Unemployment Rate in September 2025 | 4.9% |
| Comparison with State Unemployment Rate | 5.6% |
| Comparison with National Unemployment Rate | 4.3% |
| Change in Total Nonfarm Employment (August to September 2025) | Decrease of 200 jobs |
| Sector with Largest Job Losses (August to September 2025) | Leisure and hospitality sector, with a decline of 3,800 positions |
| Year-Over-Year Increase in Total Nonfarm Employment (September 2024 to September 2025) | 11,300 jobs |
| Sector with Most Significant Job Gains (Year-Over-Year) | Private education and health services sector, adding 12,900 positions |
| Impact of Government Shutdown on Data Release | Altered the normal release of labor numbers; typically, the Employment Development Department releases its numbers after the month’s totals have settled and been adjusted |
| Federal Reserve’s Perspective on Employment Data | Indicated that the Department of Labor might be exaggerating employment figures by nearly 60,000 jobs per month, which could influence the Fed to lower interest rates; noted a gradual cooling in the labor market, with both household and business surveys showing declining supply and demand for workers |
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Author: STAFF HERE SAN DIEGO WRITER
The SAN DIEGO STAFF WRITER represents the experienced team at HERESanDiego.com, your go-to source for actionable local news and information in San Diego, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Comic-Con International, San Diego County Fair, and San Diego Pride Festival. Our coverage extends to key organizations like the San Diego Regional Chamber of Commerce and United Way of San Diego County, plus leading businesses in biotechnology, healthcare, and technology that power the local economy such as Qualcomm, Illumina, and Scripps Health. As part of the broader HERE network, including HEREAnaheim.com, HEREBeverlyHills.com, HERECostaMesa.com, HERECoronado.com, HEREHollywood.com, HEREHuntingtonBeach.com, HERELongBeach.com, HERELosAngeles.com, HEREMissionViejo.com, and HERESantaAna.com, we provide comprehensive, credible insights into California's dynamic landscape.
