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Texas' unemployment rate rose to 8.3% in September despite adding 40,700 new jobs – the fifth consecutive month of job growth since coronavirus response measures began.
The increase in the rate was due to the number of people looking for work shrinking while the number of those who are unemployed rose.
"Despite the increase in the overall unemployment rate, Texas had a net gain in jobs for September,” Bryan Daniel, Texas Workforce Commission chairman, said. “TWC continues to implement tools to spur additional job growth as a critical part of our efforts to grow the state’s economy."
The leisure and hospitality sector added 23,600 jobs while 5,400 government jobs and 4,000 professional and business services jobs were added.
The state's unemployment rate peaked at 13.5% in April when the peak of the COVID-19 economic shutdown was felt.
The Gulf Coast's unemployment rate is sitting at 9.6%, according to data from the Texas Labor Market Information.