(January 2026) Arkansas’ job creation rate is greater than the U.S. average since state policymakers launched a new fiscal policy in 2015 to reduce income tax rates, reversing a trend that saw the state trail the nation in two earlier 21st century expansions, Bureau of Labor Statistics (BLS) data show.
Arkansas (15.8%) is one of 16 states with a job creation rate greater than the U.S. (13.4%) since policymakers launched the new fiscal policy in January 2015 by enacting the first in a series of income tax cuts. By contrast, Arkansas’s jobs growth rate (5.2%) trailed the U.S. (5.5%) in the expansion that occurred between November 2001 and December 2007. Arkansas (3.6%) also trailedthe U.S. (7.3%) between June 2009, the start of the subsequent expansion, and January 2015, the month state policymakers started cutting income tax rates.
Tax rates are one of many factors affecting a business climate and jobs creation.
Others include a skilled labor force, which is the function of an educational system; infrastructure; amenities; and market-based elements such as property rights, freedom of contract, and a non-arbitrary regulatory climate.
The following chart presents job creation rates for the 16 states that topped the U.S. average in the period between January 2015 and October 2025; the last month that non-preliminary data is available for in the BLS public data base.
Idaho 33.0%
Utah 31.0%
Nevada 26.6%
Florida 25.9%
Arizona 25.2%
South Carolina 22.2%
North Carolina 21.7%
Texas 21.3%
Colorado 19.2%
Tennessee 18.9%
Georgia 18.5%
Washington 18.0%
Arkansas 15.8%
Montana 15.5%
Oregon 14.0%
California 13.8%
United States 13.4%
— Greg Kaza
Source: U.S. Bureau of Labor Statistics (wwww.bls.gov), “Current Employment Statistics,” SAE Data, Databases, Top Picks, “Seasonally Adjusted.” BLS Nonfarm Payroll Employment (November 2001, December 2007) Arkansas 1,146,800, 1,206,700; United States 131,144,000, 138,395,000. Nonfarm Payroll Employment (June 2009, January 2015) Arkansas 1,161,000, 1,202,400; United States 131,007,000, 140,568,000.
Nonfarm Payroll Employment (January 2015, October 2025) Arizona 2,606,300, 3,262,300; Arkansas 1,202,400, 1,391,900; California 15,813,700, 17,992,400; Colorado 2,514,000, 2,997,600; Florida 7,978,700, 10,048,200; Georgia 4,206,800, 4,986,500; Idaho 662,600, 881,700; Montana 458,900, 529,900; Nevada 1,241,900, 1,572,000; North Carolina 4,205,400, 5,116,600; Oregon 1,759,600, 2,006,600; South Carolina 1,982,600, 2,423,600; Tennessee 2,867,700, 3,409,900; Texas 11,804,900, 14,313,700; Utah 1,355,600, 1,775,700; Washington 3,104,000, 3,663,400; United States 140,568,000, 159,420,000.
