The Dallas-Fort Worth area’s labor market is holding up well, even as formerly high-flying U.S. employment slows to cruising altitude.

The Labor Department reported on Friday that the U.S. jobs market entered 2025 on firm footing, generating 143,000 new positions in January.

Those were solid yet unimpressive figures that came after months of strong momentum in payrolls, with the preceding two months of data revised upward.

Meanwhile, the unemployment rate ticked down to 4%, suggesting that while much of the labor force is gainfully employed, those without jobs are having a tougher time finding new gigs.

Still, the employment picture in the D-FW region is comparatively rosier than the national picture, even as momentum slows from last year.

The Lone Star State has long enjoyed a reputation for being a haven for low taxes and pro-business sentiment, key reasons why an increasingly diverse set of industry participants are taking root in North Texas, and other booming areas.

In new data released on Friday, the Dallas Federal Reserve forecasted that the region will add jobs at a rate of 1.6% this year, slower than last year’s pace of 1.7%.

However, the local rate of job gains checked in at 1.5% – edging past the U.S. rate of 1.4%, Bureau of Labor Statistics data showed in November, the latest available data.

Among 12 major metropolitan areas, the Dallas region continued to be the second-largest source of new jobs – topped only by New York. Financial services topped the list of new jobs, according to the BLS, followed by education and health, then trade, transportation and utilities.

And at 4.2%, the Lone Star State’s overall unemployment rate is slightly higher than the U.S. overall, but the D-FW’s unemployment sits comfortably below at 3.5%, according to Texas Workforce Commission figures.

In fact, the state finished December with historic levels of job creation and people in the workforce, the most recent TWC data showed, with over 37,000 new positions in the month alone.

“Texas employers are creating jobs at a rate that outpaces the nation,” TWC Commissioner Representing Employers Joe Esparza, said in a statement.

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