Iowa’s seasonally adjusted unemployment rate decreased to 3.7 percent in September, according to Iowa Workforce Development. 

The state’s jobless rate was 3.3 percent one year ago. The U.S. unemployment rate rose to 4.4 percent in September. This is the most recent Iowa data available following the federal government shutdown.

September 2025 had more employed citizens, a higher labor force participation rate, 3,700 more jobs, and 25 percent fewer new unemployment claims than in September 2024.

The total number of unemployed Iowans decreased to 64,900 in September from 65,800 in August.