Federal job cuts crushed Montgomery County. A year later, recovery is still difficult

ROCKVILLE, Md. — New economic data reveals a sobering reality for Maryland’s largest jurisdiction: Montgomery County continues to deal with local job losses, lagging neighboring Virginia suburbs in its post-DOGE federal job cuts recovery. Some numbers show the problem might be deeper than just the federal cuts.

Data from the Bureau of Labor Statistics (BLS) shows that outside of Washington, D.C. itself, Montgomery County lost more federal jobs than any other jurisdiction in the DMV following the 2025 federal budget cuts. Nearly a year later, local unemployment numbers continue to climb.

Over the last year, the jobless rate in Montgomery County jumped more than a full percentage point, climbing from 2.4% to 3.5%. While that rate remains below the national average, the one-point spike represents thousands of lost livelihoods. Neighboring Prince George’s County saw a similar increase, while competing counties across the river in Northern Virginia have seen not as steep losses.

“This is a wake-up call,” said County Council President Natali Fani-Gonzalez, who chairs the Economic Development Committee. “Our unemployment is still lower than the national level, but it’s still not great. I cannot be happy; I cannot feel content.”…

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