LA's Evolving Job Market: Opportunities, Challenges, and Adaptability

The job market in Los Angeles is characterized by a mix of strengths and challenges. As of April 2025, civilian employment in California stood at 4,775,000, with a seasonally adjusted unemployment rate of 5.1% in December 2023, slightly higher than the national rate of 3.7% during the same period.

The employment landscape in Los Angeles is diverse, with key sectors driving job growth. Trade, transportation, and utilities have seen significant gains, particularly in retail trade, wholesale trade, and transportation. Private education and health services have also expanded, with health care and social assistance adding substantial jobs. Financial activities and professional and business services have also seen increases, although sectors like construction, leisure and hospitality, manufacturing, and government have experienced declines.

Recent trends indicate a shift towards technology, healthcare, and green energy, with remote work and the gig economy continuing to influence business strategies. The education, healthcare, and leisure & hospitality sectors are expected to continue driving job growth, while manufacturing faces long-term decline.

The unemployment rate is projected to rise to 6.1% in 2025 from 5.7% in 2024. Major industries include film and TV production, although employment in these sectors has not fully recovered post-strikes and remains below pandemic levels.

Growing sectors include healthcare, with 4,300 jobs added in health care and social assistance, and professional services. The preparations for the 2028 Olympics are driving infrastructure investment and business opportunities.

Seasonal patterns show that between November and December 2023, total nonfarm employment in Los Angeles County increased by 5,300 jobs, led by gains in trade and private education and health services. However, sectors like information, construction, and leisure and hospitality saw declines.

Commuting trends are influenced by the evolving nature of work, with remote work becoming more prevalent. Government initiatives focus on infrastructure development, particularly in preparation for the 2028 Olympics, and addressing long-term economic concerns such as regional wildfire risk and climate resilience.

The market is evolving with a focus on adaptability, local talent, and sustainability. Despite a stable unemployment rate and strategic wage growth, the cost of doing business in Los Angeles remains high, approximately 20% higher than the national average.

Key findings include a projected real GDP growth of 2.1% in 2025 and 1.3% in 2026, and nonfarm payroll jobs expected to grow by 0.7% in 2025 and 0.2% in 2026. Housing affordability remains a significant issue, with just 11% of households able to afford a median-priced home.

Current job openings include positions in healthcare, such as nurses and medical assistants, roles in technology and software development, and jobs in the financial sector, including financial analysts and accountants.

In conclusion, the Los Angeles job market is marked by sector-specific growth, evolving work patterns, and ongoing challenges such as housing affordability and the high cost of doing business.

Episode Transcript

Speaker 1 (00:00):
This is your Los Angeles Job Market Report Daily podcast,
and here is what we know for today. The job
market in Los Angeles is characterized by a mix of
strengths and challenges. As of April twenty twenty five, civilian
employment in California stood at four thousand, seven hundred seventy
five thousand, with a seasonally adjusted unemployment rate of five

(00:20):
point one per cent in December twenty twenty three, slightly
higher than the national rate of three point seven per
cent during the same period. The employment landscape in Los
Angeles is diverse, with key sectors driving job growth. Trade, transportation,
and utilities have seen significant gains, particularly in retail trade,
wholesale trade, and transportation. Private education and health services have

(00:44):
also expanded, with health care and social assistance adding substantial jobs.
Financial activities, and professional and business services have also seen increases,
although sectors like construction, leisure and hospitality, manufacturing, and government
have experienced declines. Recent trends indicate a shift towards technology, healthcare,

(01:05):
and green energy, with remote work and the gig economy
continuing to influence business strategies. The education, healthcare, and leisure
and hospitality sectors are expected to continue driving job growth,
while manufacturing faces long term decline. The unemployment rate is
projected to rise to six point one percent in twenty
twenty five from five point seven percent in twenty twenty four.

(01:29):
Major industries include film and TV production, although employment in
these sectors has not fully recovered post strikes and remains
below pandemic levels. Growing sectors include healthcare, with four thy
three hundred jobs added in health care and social assistance
and professional services. The preparations for the twenty twenty eight
Olympics are driving infrastructure investment and business opportunities. Seasonal patterns

(01:54):
show that between November and December twenty twenty three, total
non farm employment in Los Angeles Cares increased by five
thouy three hundred jobs, led by gains in trade and
private education and health services. However, sectors like information, construction,
and leisure and hospitality saw declines. Commuting trends are influenced

(02:15):
by the evolving nature of work, with remote work becoming
more prevalent. Government initiatives focus on infrastructure development, particularly in
preparation for the twenty twenty eight Olympics, and addressing long
term economic concerns such as regional wildfire risk and climate resilience.
The market is evolving with a focus on adaptability, local talent,

(02:38):
and sustainability. Despite a stable unemployment rate and strategic wage growth,
the cost of doing business in Los Angeles remains high,
approximately twenty percent higher than the national average. Key findings
include a projected real GDP growth of two point one
percent in twenty twenty five and one point three per
cent in twenty twenty six, and non farm payroll jobs

(02:59):
exc expected to grow by point seven percent in twenty
twenty five and point two percent in twenty twenty six.
Housing affordability remains a significant issue, with just eleven percent
of households able to afford a median priced home. Current
job openings include positions in healthcare such as nurses and
medical assistants, roles in technology and software development, and jobs

(03:21):
in the financial sector, including financial analysts and accountants. In conclusion,
the Los Angeles job market is marked by sector specific growth,
evolving work patterns, and ongoing challenges such as housing affordability
and the high cost of doing business. And that is
it for today. Hit the subscribe button. This has been

(03:41):
a quiet please production with the help of AI. Thanks
for listening.