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Maryland adds 2,900 total jobs in May 2025, loses 3,200 federal government jobs

Maryland added 2,900 total jobs in May 2025, according to new estimates released today by the U.S. Department of Labor’s Bureau of Labor Statistics (BLS), despite continued substantial losses to Maryland’s federal workforce.

While Maryland’s private sector employment expanded by 4,700 jobs in May, public sector employment had a net decrease of 1,800 jobs, primarily due to a loss of 3,200 jobs in the federal government.

The May jobs report does not reflect the most recent RIFs, employees who were placed on administrative leave or who accepted “buyout” offers and are still being paid, or federal employees who selected deferred retirement.

Maryland’s federal workforce is crucial to the state’s economy, and the concentration of federal workers in Maryland is second in the nation, following only Washington, DC. Accordingly, Maryland continues to focus on providing support resources to help residents who have been impacted by federal layoffs and other actions.

Maryland’s public servants resource webpage serves as a central location for information and resources to assist impacted workers and their families. Additionally, the Maryland Department of Labor resources webpage for federal workers and contractors provides information on unemployment insurance benefits, career guidance, reemployment support through American Job Centers (AJCs) and the Professional Outplacement Assistance Center (POAC), and the new Federal Worker Emergency Loan Program, which was launched at the beginning of June.

Labor officials also reports that Maryland’s unemployment rate increased slightly to 3.2 percent in May.

The five sectors with the largest employment gains in May were: Health Care and Social Assistance (1,700 jobs); Administrative and Support and Waste Management (1,100 jobs); Accommodation and Food Services (900 jobs); Arts, Entertainment, and Recreation (800 jobs); and Wholesale Trade (800 jobs).

The five sectors with the largest estimated employment losses in May were: Government (-1,800 jobs); Real Estate and Rental and Leasing (-500 jobs); Retail Trade (-500); Private Educational Services (-300); and Professional, Scientific, and Technical Services (-300 jobs).