“Examining America’s Unemployment: 20 Cities Facing Job Challenges”

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Study Reveals High Unemployment Rates in Major U.S. Cities

In an age marked by economic challenges—such as rising tariffs, soaring grocery prices, and high rental costs—the fear of unemployment becomes increasingly pronounced. However, the impact isn’t uniform across the United States; certain cities are grappling with significantly higher unemployment rates than others.

Check Out: What Salary Single People Need To Live Comfortably in 100 Major US Cities

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GOBankingRates recently performed an extensive study to identify U.S. cities affected by high unemployment. The analysis focused on areas with populations exceeding 5,000 and at least 1,000 households. The research examined variables like household incomes, cost of living, and rental rates. It revealed 20 cities characterized by notably high unemployment rates in comparison to others of similar size and economic conditions.

Is your city struggling with unemployment? Are you wondering if your ideal location faces these economic hurdles? Below is a list of cities with the highest unemployment rates.

Check out the salary required to afford the American Dream in the 50 largest cities in the country.

Unemployment Benefits Application with calculator on notepad

Beecher, Michigan

  • Unemployment rate: 24.5%
  • Median income: $35,582
  • % households with income under $10K: 11.1%
  • Annual cost of living: $25,978

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Bakersfield, California

Earlimart, California

  • Unemployment rate: 23.4%
  • Median income: $51,343
  • % households with income under $10K: 13.6%
  • Annual cost of living: $44,506

Also see: Warren Buffett Offers One Piece of Estate Planning Advice to the Middle Class

California flag with US dollar bills

Lucerne Valley, California

  • Unemployment rate: 23.4%
  • Median income: $50,330
  • % households with income under $10K: 9.6%
  • Annual cost of living: $44,281

Downtown Lafayette, Louisiana

Ville Platte, Louisiana

  • Unemployment rate: 21.0%
  • Median income: $28,874
  • % households with income under $10K: 11.8%
  • Annual cost of living: $32,618

Chicago skyline

Benton Harbor, Michigan

  • Unemployment rate: 20.8%
  • Median income: $29,652
  • % households with income under $10K: 12.1%
  • Annual cost of living: $32,535

Welcome to California

Gustine, California

  • Unemployment rate: 19.3%
  • Median income: $58,321
  • % households with income under $10K: 2.4%
  • Annual cost of living: $56,813

Texas map

Prairie View, Texas

  • Unemployment rate: 19.2%
  • Median income: $19,106
  • % households with income under $10K: 37.5%
  • Annual cost of living: $38,843

Learn More: 10 Things the Middle Class Won’t Be Able To Afford in Less Than a Decade

Business graph unemployment and inflation in newspapers

California City, California

  • Unemployment rate: 18.5%
  • Median income: $55,271
  • % households with income under $10K: 6.8%
  • Annual cost of living: $46,069

Explore America’s Cities with the Highest Unemployment Rates

Calexico, California

  • Unemployment Rate: 18.3%
  • Median Income: $50,021
  • % Households with Income Under $10K: 5.6%
  • Annual Cost of Living: $51,017

Helena-West Helena, Arkansas

  • Unemployment Rate: 18.3%
  • Median Income: $32,466
  • % Households with Income Under $10K: 12.5%
  • Annual Cost of Living: $23,843

Orosi, California

  • Unemployment Rate: 18.1%
  • Median Income: $49,279
  • % Households with Income Under $10K: 3.5%
  • Annual Cost of Living: $46,849

Muskegon Heights, Michigan

  • Unemployment Rate: 18.0%
  • Median Income: $33,780
  • % Households with Income Under $10K: 13.5%
  • Annual Cost of Living: $27,483

Pahokee, Florida

  • Unemployment Rate: 18.0%
  • Median Income: $50,464
  • % Households with Income Under $10K: 2.3%
  • Annual Cost of Living: $40,259

East Cleveland, Ohio

  • Unemployment Rate: 17.7%
  • Median Income: $22,883
  • % Households with Income Under $10K: 19.6%
  • Annual Cost of Living: $26,641

Martins Ferry, Ohio

  • Unemployment Rate: 17.5%
  • Median Income: $43,073
  • % Households with Income Under $10K: 10.7%
  • Annual Cost of Living: $28,457

Flint, Michigan

  • Unemployment Rate: 17.4%
  • Median Income: $36,194
  • % Households with Income Under $10K: 14.4%
  • Annual Cost of Living: $27,801

Calumet Park, Illinois

  • Unemployment Rate: 17.2%
  • Median Income: $57,389
  • % Households with Income Under $10K: 6.7%
  • Annual Cost of Living: $36,162

Isla Vista, California

  • Unemployment Rate: 17.1%
  • Median Income: $24,428
  • % Households with Income Under $10K: 27.0%
  • Annual Cost of Living: $139,122

Clearlake, California

  • Unemployment Rate: 16.9%
  • Median Income: $41,580
  • % Households with Income Under $10K: 9.6%
  • Annual Cost of Living: $41,321

Oakdale, Louisiana

  • Unemployment Rate: 16.6%
  • Median Income: $45,038
  • % Households with Income Under $10K: 9.7%
  • Annual Cost of Living: $31,619

Editor’s Note: Images are for representational purposes and may not show the exact locations mentioned.

Methodology: This data was sourced from the U.S. Census American Community Survey. Cities had to have a population of at least 5,000 and a minimum of 1,000 households. We analyzed the 50 cities with the highest unemployment rates, using other relevant data points as well. Cost of living information was provided by Sperling’s BestPlaces and included mortgage data sourced from Zillow Home Value Index as of January 2025 and the Federal Reserve Economic Data. All data is current as of February 25, 2025.

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This article originally appeared on GOBankingRates.com: Jobless in the USA: 20 High-Unemployment Cities

The views expressed in this article are those of the author and do not necessarily reflect those of Nasdaq, Inc.

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