KNOXVILLE, Tenn. (WOKI / WVLT) – Unemployment rates declined across nearly all of Tennessee in July, with the vast majority of counties reporting jobless rates below 5%, according to newly released figures from the Tennessee Department of Labor and Workforce Development.
The latest report shows continued strength in Tennessee’s labor market, as 93 of the state’s 95 counties either saw unemployment rates decrease or remain unchanged compared to June.
Only two counties did not report a monthly decline. Obion County’s unemployment rate held steady, while Weakley County was the only county in Tennessee to record an increase during the month.
Four Counties Share Lowest Unemployment Rate
Four counties tied for the lowest unemployment rate in Tennessee in July at 2.8%:
- Cheatham County (down 0.2 percentage points from June)
- Sevier County (down 0.3 percentage points)
- Williamson County (down 0.3 percentage points)
- Dickson County (down 0.3 percentage points)
The ranking places Sevier County among Tennessee’s strongest local economies, supported by its tourism industry and ongoing business activity in the Smoky Mountain region.
Most Counties Remain Below 5%
According to the state data, 89 of Tennessee’s 95 counties posted unemployment rates below 5% during July, highlighting continued labor market stability across much of the state.
While unemployment remains low statewide, a handful of counties continued to report higher rates.
Counties with Highest Unemployment Rates
The highest unemployment rates in Tennessee during July were:
- Perry County: 5.8% (down 0.3 percentage points from June)
- Hancock County: 5.7% (down 0.1 percentage points)
- Weakley County: 5.3% (up 0.4 percentage points)
State officials noted that even several counties with the highest rates still experienced month-to-month improvements.
State Encourages Hiring Incentives
The Tennessee Department of Labor and Workforce Development is encouraging employers looking to expand their workforce to take advantage of available hiring incentives.
Among those opportunities is the Work Opportunity Tax Credit, a federal program that provides tax credits to businesses that hire workers from targeted employment groups.
State officials say the incentive can help employers fill open positions while reducing hiring costs.
Looking Ahead
Tennessee’s next statewide unemployment report is scheduled for release on September 17, when the Department of Labor and Workforce Development will publish August employment figures.
Economists and workforce officials will be watching closely to see whether Tennessee’s strong labor market continues through the late summer and into the fall.








