Iowa’s nonfarm businesses employed 8,200 fewer workers in May than they did a year ago, with most of the job losses occurring in the manufacturing and professional and business services sectors, new Iowa Workforce Development data shows.

In May, Iowa’s nonfarm employment stood at 1,593,300; in May 2024, nonfarm employment was 1,601,500, state data shows. In the past year, 8,400 jobs have been lost in the manufacturing sector and 4,600 jobs have been lost in the professional and business services sector.

Sectors that have gained jobs in the past year include education and health services (4,100 jobs added) and government (3,000 jobs added).

The state’s monthly jobs and employment report had some bright spots. In May, 1,669,100 Iowans were employed, 2,100 more than in April and 5,700 more than in May 2024, the state report shows. The state’s labor force participation rate moved up to 67.3%; in April, it was 67.2%.

“Iowans continued to rejoin the labor force in May, with nearly 4,000 people who were previously on the sidelines coming back to launch their search for a new career,” Beth Townsend, executive director of the state agency, said in a news release.

Iowa’s unemployment rate in May was 3.6%, up from April when it was 3.5%. The U.S. unemployment rate in May was 4.2%.

To read Iowa’s May jobs and employment report, click here.