Unemployment claims in Tennessee have risen significantly, experiencing over a 100% increase in recent weeks. A study by WalletHub, using data from the U.S. Department of Labor, showed that Tennessee, along with 23 other states and Washington, D.C., saw an increase in unemployment claims both week over week and year on year. As of July, the unemployment rate in Tennessee was 3.6, a slight increase from the previous three summer months, but still lower than the national unemployment rate of 4.2. This increase in unemployment claims follows a national trend.

Data from the U.S. Department of Labor revealed that 5,207 claims were filed in Tennessee in the week ending on Aug. 30. This was a significant increase from the previous week’s 2,906 claims. During this same week, 16,463 residents in Tennessee were receiving unemployment benefits, a slight decrease from the previous week’s 16,715. Around the same time, the Bureau of Labor Statistics reported that there were 123,935 unemployed Tennessee residents, and 3,354,481 who were employed, which accounts for the unemployment rate of 3.6.

The week ending Aug. 30 saw an estimated 5,689 initial unemployment claims in Tennessee, according to the Federal Reserve Bank of St. Louis. This was the second-highest peak of unemployment claims in 2025, the highest being 6,187 claims for the week ending July 5. The construction sector and the public sector have also seen job losses, with the public sector experiencing a total decline of 97,000 positions due to significant federal layoffs under the Trump administration.

As of July 2025, Weakly County had the highest unemployment rate in Tennessee, at 8.5%. This was a significant increase from its June rate of 5.0. The major counties in Tennessee, including Davidson, Knox, and Shelby, exhibited varying unemployment rates, with Davidson having the lowest at 3.6.

For those who meet the eligibility criteria in Tennessee and wish to file for unemployment benefits, an online application can be filed with the Tennessee Department of Labor & Workforce Development. Unemployment benefits are not granted to those who voluntarily quit without a good work-related cause, were discharged for work-related misconduct, are actively participating in a labor dispute other than a lockout, or decline to seek or accept suitable work.

Residents who need assistance with their unemployment benefits or have questions can reach the department’s customer service through the Tennessee Department of Labor & Workforce Development website. For those struggling to get through to the department, the website eddcaller.com provides useful tips on how to get a hold of edd customer service more efficiently. It also offers guides on how to speak to a live person at the department, among other helpful information.