These States Have the Best Chance To Bounce Back From the Coronavirus Unemployment Tsunami

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The novel coronavirus has taken the U.S. — and the world — by storm, temporarily paralyzing many of the industries that we’ve come to rely on.

Although Congress passed a $2 trillion “rescue” package that provided stimulus money to most taxpayers and increased unemployment insurance payments by $600 a week, these benefits were not enough for many working families. If anything, they could be compared to patching a leaky roof with duct tape. In one word: unsustainable.

Whether another stimulus bill is passed or not, local economies won’t begin to truly recover until the stay-at-home orders are lifted for good. Once officials can find a safe way for all Americans to go back to work and school, there will be a tangible path forward to healing the damage that the virus has dealt. That leaves the question: Which states will recover the quickest from the current unemployment crisis?

For this study, GOBankingRates found the change in the overall unemployment rate for each state between the months of January and March, as well as the unemployment change in the states’ top industries. These factors were used to determine not only which states experienced the highest jump in unemployment, but also which states were impacted the most due to the industries that drive their economies. The study is ranked from the states least affected by unemployment to the states most affected, with those high-unemployment states being the ones most likely to see a generous recovery once the stay-at-home orders are lifted.

See if your state is among those that might see a quicker recovery from the coronavirus unemployment crisis. And, if you work in one of the most vulnerable and rapidly changing industries, have hope that things will turn around for you sooner rather than later.

Last updated: Oct. 8, 2020

50. Idaho

January 2020 unemployment rate: 2.8%
March 2020 unemployment rate: 2.6%
Change in unemployment from January to March: -7.14%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.98%)
- Government (16.81%)
- Education and health services (14.46%)

49. Oklahoma

January 2020 unemployment rate: 3.3%
March 2020 unemployment rate: 3.1%
Change in unemployment from January to March: -6.06%
Top industries (total workforce percentage in January):
- Government (20.93%)
- Trade, transportation and utilities (17.86%)
- Education and health services (14.13%)

48. Alaska

January 2020 unemployment rate: 6.0%
March 2020 unemployment rate: 5.6%
Change in unemployment from January to March: -6.67%
Top industries (total workforce percentage in January):
- Government (24.13%)
- Trade, transportation and utilities (20.05%)
- Education and health services (15.55%)

47. Mississippi

January 2020 unemployment rate: 5.5%
March 2020 unemployment rate: 5.3%
Change in unemployment from January to March: -3.64%
Top industries (total workforce percentage in January):
- Government (20.92%)
- Trade, transportation and utilities (19.97%)
- Education and health services (12.77%)

46. North Dakota

January 2020 unemployment rate: 2.3%
March 2020 unemployment rate: 2.2%
Change in unemployment from January to March: -4.35%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (21.04%)
- Government (18.95%)
- Education and health services (15.39%)

45. Minnesota

January 2020 unemployment rate: 3.2%
March 2020 unemployment rate: 3.1%
Change in unemployment from January to March: -3.13%
Top industries (total workforce percentage in January):
- Education and health services (18.47%)
- Trade, transportation and utilities (17.83%)
- Government (14.30%)

44. South Dakota

January 2020 unemployment rate: 3.4%
March 2020 unemployment rate: 3.3%
Change in unemployment from January to March: -2.94%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.46%)
- Government (18.04%)
- Education and health services (16.76%)

43. Maryland

January 2020 unemployment rate: 3.3%
March 2020 unemployment rate: 3.3%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Government (18.06%)
- Education and health services (17.01%)
- Professional and business services (16.91%)

42. Hawaii

January 2020 unemployment rate: 2.7%
March 2020 unemployment rate: 2.6%
Change in unemployment from January to March: -3.70%
Top industries (total workforce percentage in January):
- Leisure and hospitality (19.39%)
- Government (19.30%)
- Trade, transportation and utilities (18.74%)

41. Wisconsin

January 2020 unemployment rate: 3.5%
March 2020 unemployment rate: 3.4%
Change in unemployment from January to March: -2.86%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (17.82%)
- Manufacturing (16.15%)
- Education and health services (15.70%)

40. Kansas

January 2020 unemployment rate: 3.1%
March 2020 unemployment rate: 3.1%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.70%)
- Government (18.25%)
- Education and health services (14.24%)

39. Oregon

January 2020 unemployment rate: 3.3%
March 2020 unemployment rate: 3.3%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.40%)
- Education and health services (15.57%)
- Government (15.46%)

38. Wyoming

January 2020 unemployment rate: 3.7%
March 2020 unemployment rate: 3.7%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Government (23.78%)
- Trade, transportation and utilities (17.91%)
- Leisure and hospitality (12.81%)

37. Montana

January 2020 unemployment rate: 3.5%
March 2020 unemployment rate: 3.5%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.60%)
- Government (18.66%)
- Education and health services (16.29%)

36. Connecticut

January 2020 unemployment rate: 3.7%
March 2020 unemployment rate: 3.7%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Education and health services (20.23%)
- Trade, transportation and utilities (17.49%)
- Government (13.96%)

35. New Hampshire

January 2020 unemployment rate: 2.6%
March 2020 unemployment rate: 2.6%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (20.19%)
- Education and health services (18.26%)
- Government (13.04%)

34. New Jersey

January 2020 unemployment rate: 3.8%
March 2020 unemployment rate: 3.8%
Change in unemployment from January to March: 0%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (21.13%)
- Education and health services (17.19%)
- Professional and business services (16.35%)

33. Maine

January 2020 unemployment rate: 3.1%
March 2020 unemployment rate: 3.2%
Change in unemployment from January to March: 3.23%
Top industries (total workforce percentage in January):
- Education and health services (20.37%)
- Trade, transportation and utilities (18.57%)
- Government (15.91%)

32. South Carolina

January 2020 unemployment rate: 2.4%
March 2020 unemployment rate: 2.6%
Change in unemployment from January to March: 8.33%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.60%)
- Government (16.99%)
- Professional and business services (13.71%)

31. Tennessee

January 2020 unemployment rate: 3.3%
March 2020 unemployment rate: 3.5%
Change in unemployment from January to March: 6.06%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (20.68%)
- Education and health services (14.22%)
- Government (13.87%)

30. Indiana

January 2020 unemployment rate: 3.1%
March 2020 unemployment rate: 3.2%
Change in unemployment from January to March: 3.23%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.00%)
- Manufacturing (16.85%)
- Education and health services (15.30%)

29. Massachusetts

January 2020 unemployment rate: 2.8%
March 2020 unemployment rate: 2.9%
Change in unemployment from January to March: 3.57%
Top industries (total workforce percentage in January):
- Education and health services (22.07%)
- Professional and business services (16.24%)
- Trade, transportation and utilities (15.75%)

28. Michigan

January 2020 unemployment rate: 3.8%
March 2020 unemployment rate: 4.1%
Change in unemployment from January to March: 7.89%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.04%)
- Education and health services (15.30%)
- Professional and business services (14.73%)

27. North Carolina

January 2020 unemployment rate: 3.6%
March 2020 unemployment rate: 4.4%
Change in unemployment from January to March: 22.22%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.48%)
- Government (15.97%)
- Professional and business services (14.02%)

26. New York

January 2020 unemployment rate: 3.8%
March 2020 unemployment rate: 4.5%
Change in unemployment from January to March: 18.42%
Top industries (total workforce percentage in January):
- Education and health services (22.12%)
- Trade, transportation and utilities (15.74%)
- Government (15.13%)

25. Virginia

January 2020 unemployment rate: 2.7%
March 2020 unemployment rate: 3.3%
Change in unemployment from January to March: 22.22%
Top industries (total workforce percentage in January):
- Professional and business services (18.98%)
- Government (17.92%)
- Trade, transportation and utilities (16.19%)

24. New Mexico

January 2020 unemployment rate: 4.8%
March 2020 unemployment rate: 5.9%
Change in unemployment from January to March: 22.92%
Top industries (total workforce percentage in January):
- Government (21.96%)
- Education and health services (16.51%)
- Trade, transportation and utilities (15.99%)

23. West Virginia

January 2020 unemployment rate: 5.0%
March 2020 unemployment rate: 6.1%
Change in unemployment from January to March: 22.00%
Top industries (total workforce percentage in January):
- Government (21.43%)
- Education and health services (18.04%)
- Trade, transportation and utilities (17.69%)

22. Arizona

January 2020 unemployment rate: 4.5%
March 2020 unemployment rate: 5.5%
Change in unemployment from January to March: 22.22%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.49%)
- Education and health services (15.91%)
- Professional and business services (15.03%)

21. Delaware

January 2020 unemployment rate: 4.0%
March 2020 unemployment rate: 5.1%
Change in unemployment from January to March: 27.50%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (17.60%)
- Education and health services (17.39%)
- Government (14.30%)

20. Alabama

January 2020 unemployment rate: 2.7%
March 2020 unemployment rate: 3.5%
Change in unemployment from January to March: 29.63%
Top industries (total workforce percentage in January):
- Government (18.89%)
- Trade, transportation and utilities (18.61%)
- Manufacturing (12.94%)

19. Missouri

January 2020 unemployment rate: 3.5%
March 2020 unemployment rate: 4.5%
Change in unemployment from January to March: 28.57%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.72%)
- Education and health services (16.67%)
- Government (15.03%)

18. Washington

January 2020 unemployment rate: 3.9%
March 2020 unemployment rate: 5.1%
Change in unemployment from January to March: 30.77%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.65%)
- Government (16.83%)
- Education and health services (14.41%)

17. Louisiana

January 2020 unemployment rate: 5.3%
March 2020 unemployment rate: 6.9%
Change in unemployment from January to March: 30.19%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.03%)
- Government (16.69%)
- Education and health services (16.20%)

16. Pennsylvania

January 2020 unemployment rate: 4.7%
March 2020 unemployment rate: 6.0%
Change in unemployment from January to March: 27.66%
Top industries (total workforce percentage in January):
- Education and health services (21.41%)
- Trade, transportation and utilities (18.48%)
- Professional and business services (13.46%)

15. Texas

January 2020 unemployment rate: 3.5%
March 2020 unemployment rate: 4.7%
Change in unemployment from January to March: 34.29%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.64%)
- Government (15.29%)
- Professional and business services (14.09%)

14. Iowa

January 2020 unemployment rate: 2.8%
March 2020 unemployment rate: 3.7%
Change in unemployment from January to March: 32.14%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.50%)
- Government (16.52%)
- Education and health services (14.79%)

13. Illinois

January 2020 unemployment rate: 3.5%
March 2020 unemployment rate: 4.6%
Change in unemployment from January to March: 31.43%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.72%)
- Education and health services (15.51%)
- Professional and business services (15.29%)

12. Georgia

January 2020 unemployment rate: 3.1%
March 2020 unemployment rate: 4.2%
Change in unemployment from January to March: 35.48%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (20.56%)
- Professional and business services (15.40%)
- Government (14.88%)

11. Ohio

January 2020 unemployment rate: 4.1%
March 2020 unemployment rate: 5.5%
Change in unemployment from January to March: 34.15%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.38%)
- Education and health services (16.98%)
- Government (13.98%)

10. Kentucky

January 2020 unemployment rate: 4.3%
March 2020 unemployment rate: 5.8%
Change in unemployment from January to March: 34.88%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (20.56%)
- Government (15.97%)
- Education and health services (14.77%)

9. Vermont

January 2020 unemployment rate: 2.4%
March 2020 unemployment rate: 3.2%
Change in unemployment from January to March: 33.33%
Top industries (total workforce percentage in January):
- Education and health services (20.97%)
- Government (18.05%)
- Trade, transportation and utilities (17.09%)

8. California

January 2020 unemployment rate: 3.9%
March 2020 unemployment rate: 5.3%
Change in unemployment from January to March: 35.90%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (17.42%)
- Education and health services (16.22%)
- Professional and business services (15.61%)

7. Arkansas

January 2020 unemployment rate: 3.5%
March 2020 unemployment rate: 4.8%
Change in unemployment from January to March: 37.14%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.88%)
- Government (16.45%)
- Education and health services (15.37%)

6. Rhode Island

January 2020 unemployment rate: 3.4%
March 2020 unemployment rate: 4.6%
Change in unemployment from January to March: 35.29%
Top industries (total workforce percentage in January):
- Education and health services (21.72%)
- Trade, transportation and utilities (15.49%)
- Professional and business services (13.47%)

5. Utah

January 2020 unemployment rate: 2.5%
March 2020 unemployment rate: 3.6%
Change in unemployment from January to March: 44.00%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (18.67%)
- Government (16.24%)
- Professional and business services (14.00%)

4. Nebraska

January 2020 unemployment rate: 2.9%
March 2020 unemployment rate: 4.2%
Change in unemployment from January to March: 44.83%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (19.24%)
- Government (16.78%)
- Education and health services (15.31%)

3. Florida

January 2020 unemployment rate: 2.8%
March 2020 unemployment rate: 4.3%
Change in unemployment from January to March: 53.57%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (20.12%)
- Professional and business services (15.57%)
- Education and health services (15.01%)

2. Colorado

January 2020 unemployment rate: 2.5%
March 2020 unemployment rate: 4.5%
Change in unemployment from January to March: 80.00%
Top industries (total workforce percentage in January):
- Trade, transportation and utilities (17.14%)
- Government (16.37%)
- Professional and business services (15.96%)

1. Nevada

January 2020 unemployment rate: 3.6%
March 2020 unemployment rate: 6.3%
Change in unemployment from January to March: 75.00%
Top industries (total workforce percentage in January):
- Leisure and hospitality (24.86%)
- Trade, transportation and utilities (18.14%)
- Professional and business services (14.30%)

More From GOBankingRates

Methodology: In order to find out which states have the best chance to bounce back from the wave of unemployment caused by the coronavirus pandemic, GOBankingRates first had to define “bounce back.” To bounce back, a state had to have experienced a significant increase in unemployment, and the state’s top industries also had to see equally significant unemployment — the assumption being big losses equals big opportunity for recovery.

GOBankingRates collected both the January 2020 and March 2020 unemployment rates for each state as sourced from the corresponding State Employment and Unemployment (Monthly) News Releases from the Bureau of Labor Statistics. These two rates were then compared to give (1) the percentage change in unemployment from January to March, with the highest rise in unemployment being the best. GOBankingRates then found the (2) national unemployment for each nonfarm industry as sourced from the Current Population Survey conducted by the Bureau of Labor Statistics and conducted the same comparison and scoring as above. Next, GOBankingRates found the percentage of the labor force each industry employs in each state as sourced from the Bureau of Labor Statistics Table 3: Employees on nonfarm payrolls by state and selected industry sector, seasonally adjusted. Using each state’s largest three industries in terms of employment, GOBankingRates took each industry’s score from factor No. 2 and multiplied it by the percentage of the workforce it made up in each state to get scores for factors No. 3-5 representing each state’s top three industries.

Factors No. 1 and 3-5 were then combined and scored with the highest score being the best. All data was collected on and up to date as of April 27, 2020.