WASHINGTON – The state’s economic outlook remains mostly unchanged, but growth is slowing. This update comes from the State’s Economic and Revenue Forecast Council.
In a meeting held Tuesday, the council projected that slower economic growth would persist. Job openings have returned to pre-pandemic levels, but the state now expects employment to grow by just 0.3% this year, a decrease from the earlier forecast of 0.5%. Unemployment is also anticipated to rise, reaching nearly 5% by 2027.
Dave Reich of the Washington Economic and Revenue Forecast Council highlighted changes in the labor market.
“I think the biggest change since we saw you last has been sort of the degradation in labor markets. And likely heard recent data has been very soft, much, much weaker than we had expected,” he said.
Reich also noted growing concerns over federal tariffs. While their impact has been minimal so far, price increases are expected in the coming months.
Readers can find additional information on the economic outlook on the Economic and Revenue Forecast Council’s website.
