Japan Unemployment Rate

Japan’s unemployment rate rose to 2.6% in August 2025 from 2.3% in the previous month, surpassing market estimates of 2.4% and marking the highest reading since July 2024. The number of unemployed increased by 150 thousand to a 13-month peak of 1.79 million. At the same time, employment fell 210 thousand to a four-month low of 68.10 million, while the labor force edged down 40 thousand to 69.89 million. Meanwhile, the number of people outside the labor force was down by 20 thousand to 39.70 million. On a non-seasonally adjusted basis, the labor force participation rate went up to 64.0% from 63.6% a year earlier. Meanwhile, the jobs-to-applicants ratio eased to 1.20, the lowest level since January 2022.