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Chicago's Resilient Job Market: Healthcare, Government, and Tech Drive Growth in 2025

Chicago's Resilient Job Market: Healthcare, Government, and Tech Drive Growth in 2025

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Chicago's job market ended 2025 strongly, with the Chicago-Naperville-Schaumburg Metro Division adding 28,800 nonfarm jobs over the year, marking 18 consecutive months of growth, according to the Illinois Department of Employment Security and U.S. Bureau of Labor Statistics data released January 29, 2026. The not seasonally adjusted unemployment rate held steady at 4.4 percent in December 2025, unchanged from December 2024, while total nonfarm employment reached a record for the month. Key industries driving gains included private education and health services with 20,200 jobs added, government at 15,500, information at 2,900, financial activities at 2,500, transportation-warehousing-utilities at 2,000, and construction at 1,400; losses occurred in retail trade minus 7,600 and manufacturing minus 6,100. Major employers span healthcare like Northwestern Medicine, finance such as JPMorgan Chase, and government entities.

Growing sectors include construction, bolstered by housing demand and infrastructure needs projected to require 349,000 new workers nationally in 2026 per Associated Builders and Contractors, and AI integration in healthcare, finance, and manufacturing as noted by J.P. Morgan Private Bank. Recent developments show business activity expanding for the first time in two years in January 2026, with the Chicago Business Barometer at 54.0, employment up 17.5 points to its highest since December 2024, and new orders surging per MNI Indicators. Trends indicate steady over-the-year growth amid national uncertainty, with AI promising disruption followed by productivity gains and new roles. Seasonal patterns reflect typical December stability, though data gaps exist for early 2026 projections and commuting trends, which remain hybrid-influenced without fresh specifics. No prominent government initiatives are detailed in recent releases, but state focus sustains momentum. The market evolves toward rebalanced industrial activity and tech-driven reinvention.

Key findings: Robust health services and government growth offset retail and manufacturing declines, positioning Chicago ahead of other Illinois metros with low unemployment and positive early 2026 signals.

Current openings include software engineer at a Chicago biotech startup, event planner for corporate outsourcing firms, and construction project manager amid housing momentum.

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