South Carolina's Jobless Rate Climbs to Post-Pandemic High, But Columbia Bucks the Trend
New federal data reveals a tightening labor market in South Carolina, with the state's unemployment rate reaching a level not seen since the height of the pandemic. According to the latest figures from the U.S. Bureau of Labor Statistics, the jobless rate climbed to 4.8% in December 2025, up from 4.4% a year prior and now exceeding the national average of 4.4%.
This increase comes despite a record-high number of employed South Carolinians—nearly 2.49 million—and signals a complex economic landscape. Analysts point to the state's significant population and labor force growth, which added approximately 65,000 workers over the past year, as a primary driver. With the number of unemployed individuals rising to 124,807, the expanding pool of job seekers is outpacing immediate hiring needs.
"December's employment report shows that South Carolina's labor market remains stable," said William Floyd, Executive Director of the SC Department of Employment and Workforce (DEW). "Although the unemployment rate ticked up slightly to 4.8 percent, this was primarily driven by an influx of new entrants to the labor force."
Floyd emphasized that opportunities exist across most sectors, with nonfarm employment seeing broad growth outside of manufacturing. He directed job seekers to state-sponsored SC Works programs for assistance.
Amid the statewide trend, Columbia presented a notable exception. The state capital saw its unemployment rate dip slightly to 4.7% in December from 4.8% in November, even after a significant increase over the course of the year from a 3.9% rate at the end of 2024. Columbia's labor force grew by over 14,000 year-over-year, yet the number of unemployed decreased by nearly 400 in December.
Analysis & Context: Economists suggest the data reflects a healthy, if challenging, labor market adjustment. A growing workforce indicates confidence in the economy, but the lag in job creation for new entrants can temporarily push unemployment higher. The contrast between Columbia's modest improvement and the broader state trend may point to regional economic strengths, potentially tied to the capital's concentration of government, healthcare, and education sectors.
Voices from the Community:
- Michael Torres, Small Business Owner in Charleston: "It's a mixed signal. My customer base is growing, which is good, but I'm also hearing from more qualified people applying for every open position. It feels competitive out there."
- Dr. Anya Sharma, Economics Professor at Clemson University: "This is a classic symptom of a strong economy attracting workers. The key metric to watch is wage growth. If that remains steady or increases, it confirms the labor market's underlying health."
- Rebecca Jones, Recent Graduate in Greenville: "'Stable'? That's a generous term from the officials. It's frustrating to hear about labor force growth when so many of us who are newly entering it can't find a foothold. The opportunities they mention aren't matching the need for entry-level roles with a living wage."
- Carlos Mendez, Workforce Development Nonprofit Director: "Columbia's data is encouraging and shows targeted local initiatives can make a difference. We need to replicate that support in other regions, especially in connecting new labor force participants with in-demand skills."
For those considering filing for unemployment insurance, the SC DEW outlines eligibility requirements, including being unemployed through no fault of your own, meeting past wage thresholds, and being able and available to work. The agency offers resources and guidance at its dedicated support page or by phone at 803-737-2400.