California’s unemployment rate has climbed again, placing the state at or near the top of the nation, and in Modoc County the jobless rate remains significantly higher than the statewide average. In June 2025, California’s unemployment rate stood at 5.4 percent, tying with Nevada for the highest rate among all U.S. states. By comparison, the national unemployment rate was about 4.1 percent.
Modoc County, located in northeastern California, recorded a jobless rate of 9.1 percent in January 2025, well above both state and national levels. The county’s civilian labor force numbered 3,070, with 280 people unemployed at the time.
State officials say California’s unemployment rate reflects slowing job growth and increased economic pressure. Employers are often holding off on hiring amid uncertainty over tariffs, immigration, automation, and rising costs.. While some job gains occurred in health services and private education, sectors like trade, transportation and utilities posted losses, driven by declines in warehousing and wholesale trade.
For Modoc County, a rural region with fewer than 9,000 residents and limited industry diversity, the high jobless rate reflects broader structural challenges. The county relies heavily on federal employment tied to public lands and services, which means it has fewer non‑government job opportunities compared to urban areas. Modoc’s median household income is among the lowest in California, and nearly a quarter of its population lives below the poverty line.
As of the latest EDD release for June 2025, California’s job market shows signs of stagnation. The state has added few jobs in sectors outside health care and government, and the overall unemployment level remains elevated.
In a county where job options are already limited, residents of Modoc County face some of the state’s sharpest employment challenges.
