El Paso County

Unemployment in El Paso County has dropped to 3.6% after peaking at 4.6% two months ago—a 21.7% decline that marks the second consecutive monthly improvement in the local labor market. The jobless rate climbed steadily from December 2025 through February 2026, reaching its high point last winter before reversing course in March. With a labor force of 368,705, the downward trend now spans two data releases and signals potential momentum in hiring or workforce participation.

The employment recovery arrives as the county's housing market shows mixed signals. Median home values peaked at $456,215 in May before declining in June to $455,934, snapping a three-month appreciation streak. The pullback is modest—less than 0.1%—but represents the first decline after steady gains from March through May.

The concurrent weather hazards—a Fire Weather Watch and Red Flag Warning—pose immediate near-term risks to economic activity, particularly in outdoor sectors and agriculture-dependent areas. Local reporters should investigate whether the recent unemployment drop reflects broad-based job growth or is concentrated in specific sectors, and whether seasonal hiring patterns or base employment changes are driving the improvement.