Houston's Thriving Job Market: Resilience, Diversity, and Future Prospects

The job market in Houston has demonstrated robust growth and resilience, particularly in the recent years. In 2024, Houston created 57,800 jobs, bringing the total payroll employment to a record 3.5 million. This growth was driven by a strong U.S. economy, expanding global trade, local population growth, and a surge in corporate relocations to the region.

The employment landscape in Houston is diverse, with 17 out of 19 major sectors tracked by the Texas Workforce Commission adding jobs in 2024. The sectors that saw the largest gains include construction, health care, wholesale trade, professional and business services, and restaurants and bars. However, retail and administrative support sectors experienced job losses due to retail bankruptcies and a shift towards gig work.

As of April 2025, employers in the Houston area added 14,400 jobs over the month, with seasonally adjusted employment standing at 3,474,200. The job growth for the three months ending in February 2025 was 2.1%, which is above the long-run trend. The unemployment rate remained flat at 4.2% from January to February 2025.

Major industries and employers in Houston include health care, construction, and professional services, with the city becoming a hotspot for both domestic and foreign companies to set up operations. The number of Fortune 500 companies headquartered in Houston has increased from 13 in 1981 to 24 today.

Growing sectors are expected to include health care, construction, professional and technical services, government, and restaurants and bars in 2025. The forecast suggests that Houston will create around 71,800 to 75,000 jobs in 2025, maintaining a steady rate of growth into 2026.

Recent developments indicate a moderate pace of labor market expansion, though there are signs of slower growth anticipated over the next three to nine months. Input prices have seen a sharp uptick, and surveys suggest a potential slowdown.

Seasonal patterns show that job growth can vary, but overall, Houston's economy has been expanding steadily. There is limited data on commuting trends, but the general economic growth suggests continued demand for labor across various sectors.

Government initiatives, while not explicitly detailed in recent reports, likely focus on supporting business growth and employment through favorable economic policies.

In conclusion, Houston's job market is strong, driven by diverse sectors and supported by a favorable economic environment. Key findings include record employment levels, diverse sector growth, and a positive outlook for 2025.

Current job openings include positions in health care, such as registered nurses and medical assistants; construction roles like project managers and engineers; and professional services jobs such as data analysts and software developers.

Episode Transcript

Speaker 1 (00:00):
This is your Houston Job Market Report Daily podcast, and
here is what we know for today. The job market
in Houston has demonstrated robust growth and resilience, particularly in
the recent years. In twenty twenty four, Houston created fifty
seven thousand, eight hundred jobs, bringing the total payroll employment
to a record three point five million. This growth was

(00:21):
driven by a strong US economy, expanding global trade, local
population growth, and a surge in corporate relocations to the region.
The employment landscape in Houston is diverse, with seventeen out
of nineteen major sectors tracked by the Texas Workforce Commission
adding jobs in twenty twenty four. The sectors that saw
the largest gains include construction, healthcare, wholesale trade, professional and

(00:46):
business services, and restaurants and bars. However, retail and administrative
support sectors experienced job losses due to retail bankruptcies and
a shift towards gigwork. As of April twenty twenty five,
employers in the Houston area added four thousand, four hundred
jobs over the month, with seasonally adjusted employment standing at

(01:06):
three thousand, four hundred seventy four thousand, two hundred. The
job growth for the three months ending in February twenty
twenty five was two point one percent, which is above
the long run trend. The unemployment rate remained flat at
four point two percent from January to February twenty twenty five.
Major industries and employers in Houston include healthcare, construction, and

(01:27):
professional services, with the city becoming a hotspot for both
domestic and foreign companies to set up operations. The number
of Fortune five hundred companies headquartered in Houston has increased
from thirteen in nineteen eighty one to twenty four today.
Growing sectors are expected to include healthcare, construction, professional and

(01:48):
technical services, government, and restaurants and bars in twenty twenty five.
The forecast suggests that Houston will create around seventy one thousand,
eight hundred to seventy five thousand jobs in twenty five,
maintaining a steady rate of growth into twenty twenty six.
Recent developments indicate a moderate pace of labour market expansion,

(02:09):
though there are signs of slower growth anticipated over the
next three to nine months. Input prices have seen a
sharp uptick and surveys suggest a potential slowdown. Seasonal patterns
show that job growth can vary, but Overall, Houston's economy
has been expanding steadily. There is limited data on commuting trends,

(02:30):
but the general economic growth suggests continued demand for labour
across various sectors. Government initiatives, while not explicitly detailed in
recent reports, likely focus on supporting business growth and employment
through favorable economic policies. In conclusion, Houston's job market is strong,
driven by diverse sectors and supported by a favorable economic environment.

(02:53):
Key findings include record employment levels, diverse sector growth, and
a positive outlook for twenty twenty five. Current job openings
include positions in healthcare such as registered nurses and medical assistants,
construction roles like project managers and engineers, and professional services
jobs such as data analysts and software developers. And that

(03:16):
is it for today. Hit the subscribe button. This has
been a quiet please production with the help of AI.
Thanks for listening.