Alaska job growth appeared to slow in May, according to state data

After months of robust increases Alaska employment growth slowed in the most recent data from the Alaska Department of Labor and Workforce Development.

Data for May, which was published June 20 and based on surveys of employers, showed an increase of 1.1 percent in total employment and 1.4 percent for private sector employers. That’s down from growth in total jobs for April and also for May 2024, when total jobs grew 2.9 percent and private sector employment gained 3.2 percent.

The job report for June is due out Friday, July 11. State labor economists will be watching to see if the slowdown in job growth continues.

For May, 2025 petroleum and construction job numbers are still strong due mainly to oil field work on the North Slope, the labor data showed, but other kinds of employment that reflect the general economy were flat or even slightly down.

Retail jobs, for example, showed no growth in May compared with the same month in 2024, and wholesale trade, which also reflects economic activity, was down 1.5 percent, again compared with the same month a year ago. Data for the same months of 2024 saw retail jobs slightly up, 0.6 percent, and wholesale trade up 1.6 percent.

In terms of numbers of jobs in the May, 2025 report, statewide employment was up by 3,800, or 1.1 percent, from May 2024. The oil and gas industry and construction each added 700 jobs over the year.

Construction benefitted from North Slope oil and gas and federally funded infrastructure projects. Those projects also spurred growth in professional and business services, which were up 500 and transportation, warehousing and utilities, up 600.

Health care added 1,200 jobs over the year, continuing its long-running trend of strong growth.

Most industries grew, but the exceptions were manufacturing, mostly fish processing, which dropped 200 jobs; wholesale trade, down 100 jobs; information services, down 100 and financial services also down 100. Retail employment remained flat. In the public sector, state government added 400 jobs over the year, local government was flat, and the federal government lost 200 jobs.

Alaska’s seasonally adjusted unemployment rate remained at 4.7 percent in May 2025 for the eighth straight month. The U.S. rate was 4.2 percent for the third month in a row.