The Houston area shed more than 7,300 jobs last month, the second-largest monthly decline in nearly 40 years, according to the latest jobs report.
Mohammad Ahmadizadeh, an economist with the Gulf Coast Workforce Board, said the drop was not a surprise. He pointed to slower job ads and said the biggest declines were in leisure and hospitality, professional and business services, trade, transportation and warehousing, and health services. He also said changing school schedules affected the numbers, since companies tend to hire less in September after schools start in August.
Despite the monthly loss, the area's job count is up by nearly 30,000 for the year. Construction, health services, and professional and business services, which includes oil and gas jobs, are all higher. Ahmadizadeh said higher oil prices have helped add jobs in the oil and gas industry. Jobs reports show about 15,000 jobs were added in 2025.
Economists expect a rebound in the next few months, with retailers adding holiday jobs. They expect growth of around 40,000 jobs next year, about 10,000 below normal. They named rising interest rates as a possible risk, but said they did not expect the Federal Reserve to raise rates this year.