Southern California, August 22, 2025
News Summary
Job growth in Southern California has dramatically decreased, with only 55,000 jobs added in the past year, reflecting economic challenges across various sectors. Many industries faced job cuts, while a few, such as healthcare and social assistance, still showed growth. The current environment is shaped by reduced consumer confidence and corporate caution, leading to a challenging job market landscape.
Southern California
Job growth in Southern California has slowed dramatically, reflecting ongoing economic uncertainty affecting major employment sectors. As of July, the region saw a total of 7.95 million workers across Los Angeles, Orange, Riverside, and San Bernardino counties, marking a year-over-year increase of just 55,000 jobs. However, this current job creation rate is significantly below the historical average, with an annual growth rate that is 47% lower than previous years since 2010.
Out of 15 major employment sectors in Southern California, only six displayed positive job growth, while nine sectors experienced job cuts. The current economic environment, influenced by new administration policies, has diminished consumer and corporate confidence, contributing to the sluggish job market.
Job Cuts and Expansion
In total, expanding sectors added 120,700 jobs over the past year, compared to 65,600 job cuts in contracting sectors. The hardest-hit sectors include:
- Manufacturing: Down 18,100 jobs, now totaling 544,500 workers, surpassing historical annual declines of 5,100 jobs.
- Construction: Lost 16,400 jobs with a total employment of 362,600, falling short of the typical growth rate of 8,600 jobs.
- Professional and Business Services: Saw a decline of 9,500 jobs, with current employment at 1.12 million, compared to a former growth rate of 15,300.
- Financial Services: Experienced an 8,700 job decrease, adjusting down to 48,100 workers, trailing historical declines of just 500 jobs.
- Fast-Food Restaurants: Down 6,800 jobs with 46,900 currently employed, significantly below a historical growth rate of 8,300.
- Logistics and Utilities: Job count fell by 2,400, now totaling 794,300, sharply declining from an average increase of 14,700.
- Personal Services: A decrease of 1,700 jobs to 265,700 employees, underperforming historical growth of 3,100.
- Retailing: Down 1,400 jobs, now at 718,600, also below the usual growth rate of 2,800.
- Full-Service Eateries: Reduced by 600 jobs, leaving 33,100 workers, significantly under historical growth of 4,700.
Sectors Experiencing Growth
Despite the overall decline, several industries added jobs at rates above historical norms:
- Healthcare: Added 39,500 jobs, totaling 871,100 workers, surpassing a historical average of 19,700.
- Social Assistance: Increased by 36,500 jobs, now at 542,900 workers, exceeding the growth of 17,800.
- Government: Gained 18,400 jobs, reaching a total of 996,300, significantly more than the past growth of 4,900.
- Private Education: Up 15,400 jobs to 200,900, surpassing historical growth figures of 4,700.
- Hotels and Recreation: Added 6,000 jobs, totaling 284,500, exceeding historical trends of 5,700.
- Information Technology: Increased by 4,900, bringing the total to 223,100 workers, moving past historical declines of 400 jobs.
Current Economic Climate
The findings highlight a cooling economy in Southern California, with job growth showing signs of lagging behind previous averages. Local businesses face increasing challenges as companies remain cautious in their hiring approaches amid persistent economic pressures.
Conclusion
Southern California’s job market is navigating through significant turbulence, with many sectors contracting while a few manage to flourish. The combined effects of policy changes and economic hesitance underscore the complexity of the current employment landscape.
FAQ
What is the current job growth rate in Southern California?
The current job growth rate is 47% below the historical average, with only 55,000 new jobs added in the past year.
Which sectors have experienced job cuts?
The sectors that saw job cuts include manufacturing, construction, professional and business services, financial services, fast-food restaurants, logistics and utilities, personal services, retailing, and full-service eateries.
What sectors are still seeing growth?
Sectors experiencing growth include healthcare, social assistance, government, private education, hotels and recreation, and information technology.
How many total jobs were lost across sectors?
In total, 65,600 jobs were lost across various contracting sectors in Southern California.
Key Features Chart
| Sector | Job Change | Total Employment | Historical Growth Comparison |
|---|---|---|---|
| Manufacturing | -18,100 | 544,500 | Exceeding -5,100 |
| Construction | -16,400 | 362,600 | Below 8,600 |
| Professional and Business Services | -9,500 | 1,120,000 | Below 15,300 |
| Financial Services | -8,700 | 48,100 | Trailing -500 |
| Healthcare | +39,500 | 871,100 | Exceeding 19,700 |
| Social Assistance | +36,500 | 542,900 | Exceeding 17,800 |
Deeper Dive: News & Info About This Topic
- OC Register: What Southern California Industries Are Cutting The Most Jobs
- ABC7: Jobs, Hire, Hiring Openings
- OC Register: Southern California Job Creation Runs 62% Below Normal
- Brewbound: Southern California Regional Craft Beverage Sales Rep
- LA Times: FEMA Hiring Temporary Workers
- Wikipedia: Southern California
- Google Search: Southern California Employment News
- Google Scholar: Southern California Job Market
- Encyclopedia Britannica: Southern California
- Google News: Southern California Jobs
Author: STAFF HERE SAN DIEGO WRITER
SAN DIEGO STAFF 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.
