What the Unemployment Rate Means for Older Adults

The June numbers show employers are still shy about hiring

Kenneth Terrell,

Updated July 02, 2026

AARP

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Updated July 02, 2026

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Finding new employment remains a challenge for job seekers, as the U.S. Bureau of Labor Statistics reported that the national unemployment rate in June was 4.2 percent, essentially unchanged from 4.3 percent in May. Businesses hired 57,000 workers last month, a significant drop from the 172,000 hired in May. Much of that decrease resulted from lower hiring in the leisure and hospitality industries, as hotels and other businesses that had previously been revving up for summer tourists and World Cup soccer tournament visitors slowed their hiring.

Human resources professionals have described the current job market as challenging, with many companies choosing to hold on to their current staff for now while they figure out how new AI technology and uncertainties about rising prices could affect the future business.

“The current state of the labor market continues to be a low-hire, low-fire environment with most job growth concentrated in health care and social assistance,” says Sam Kuhn, an economist with Appcast. “The industries that may have traditionally employed older adults may not be hiring as much.”

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What is the unemployment rate for older workers?

While the overall U.S. unemployment rate draws headlines each month, the BLS also breaks down jobs data demographically, for example, by sex, race and age. Most of the time, the unemployment rates for older adults are lower than the overall figures. For June, those rates were:

Ages 45 to 54 and older: 3.1 percent
Age 55 and older: 2.8 percent
Men, ages 45 to 54: 3.1 percent
Men, ages 55 and older: 2.8 percent
Women, ages 45 to 54: 3.1 percent
Women, ages 55 and older: 2.7 percent

The unemployment rate for older adults tends to be lower than the overall rate for a variety of complex, often intertwined, reasons. Some workers age 50 and older have experience and knowledge that makes them harder for employers to replace. Many have professional networks and achievements that enable them to transition quickly from one job to another. And other workers stick with employers for health insurance and retirement savings as they approach the next phase of their lives. Age discrimination in hiring also makes some older workers reluctant to switch jobs.

How is the unemployment rate determined?

Keeping track of how many people need new jobs each month is vital to helping both job seekers and businesses understand their circumstances. For that reason, the BLS sends out two sets of surveys each month. The first survey covers about 60,000 households and asks about the employment status of everyone age 16 and older in each household. The other survey covers roughly 119,000 businesses and asks about the employment, hours and earnings of everyone on the nonfarm payroll.

The two surveys provide a snapshot of how many people are employed or seeking work, but that picture is not complete. For example, if someone did not apply for jobs during the four weeks covered by the survey, the BLS does not count them as unemployed. That means many older workers who pause their job searches for personal reasons or because they aren’t getting responses from employers are often overlooked by the report.

What is long-term unemployment?

When the labor market is sluggish, it can sometimes take months of applying before a job seeker lands a position. Those who have been looking for a job for more than 27 weeks fall into a category the BLS defines as long-term unemployed.

The average duration of unemployment for all age groups reported in June was 23.7 weeks. Among adults, the 20-to-24-year-old age group had the shortest period of unemployment, with 18 weeks. Older workers had the longest average periods of unemployment among all age groups:

Ages 45 to 54: 32.5 weeks unemployed
Ages 55 to 64: 32.3 weeks unemployed
Ages 65 and older: 31.3 weeks unemployed

Looking for a job can be difficult at any age. For people age 50 and older, that process can include additional needs, such as flexibility for dealing with medical issues and caregiving responsibilities. And some employers are hesitant to consider older applicants because they think they might retire soon. Through its Employer Alliance, AARP is working with businesses to help them better understand the value of older workers. AARP is also collaborating with Indeed to provide job-search resources to people 50-plus.

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Kenneth Terrell covers employment, age discrimination, work and jobs, careers, and the federal government for AARP. He previously worked for the Education Writers Association and U.S. News & World Report, where he reported on government and politics, business, education, science and technology, and lifestyle news.