In December, Las Vegas experienced a 5.2% unemployment rate, making it the second-highest among major metropolitan areas in the United States. This figure arises amid a prolonged downturn in tourism for Nevada’s entertainment hub, where the number of visitors decreased by 7.5%, totaling 38.5 million in 2025.

<p>The December unemployment rate, drawn from non-seasonally adjusted data provided by the US Bureau of Labor Statistics, <strong>places the Las Vegas metropolitan area second among over 50 metropolitan regions with populations exceeding 1 million</strong>. Fresno, California, holds the highest rate at 8.2%, while Honolulu boasts the lowest at 2.1%.</p>

<p>According to seasonally adjusted statistics from the Nevada Department of Employment, Training, and Rehabilitation, <strong>employment in the Las Vegas region increased by 2,000 jobs from November to December</strong>. Year-over-year, the overall employment declined by 9,800 jobs compared to December 2024.</p>

<p><strong>It's important to note that metro-level unemployment rates are not seasonally adjusted</strong>, in contrast to the monthly job counts.</p>

<p>Despite a reduction in annual visitor numbers, <strong>various taxable sales sectors saw year-over-year growth in November</strong>, as reported by the Nevada Department of Taxation.</p>

<p><strong>Food services and drinking establishments in Clark County generated over $1 billion in taxable sales</strong>, marking an increase of 4.3%, roughly $42 million more than in November 2024.</p>

<p><strong>Sales from clothing, footwear, and jewelry outlets amounted to $441.5 million in November</strong>, reflecting a 6.3% rise, or an additional $26 million compared to the previous year.</p>

<p><strong>Furniture, electronics, and appliance retailers reported November sales hitting $183 million</strong>, up by nearly 10%, or $16.5 million, year over year. These figures encompass expenditures by both locals and visitors in a market characterized by a high density of restaurants, bars, and retail spaces catering to tourism.</p>

<p>In its forecast for 2026, Las Vegas-based RCG Economics addressed <strong>key issues such as tariffs, housing affordability, water supply, and the convention sector</strong>. The report, led by founder John Restrepo, highlighted that the US economy faces an increased risk of recession and emphasized that Nevada’s dependency on tourism and discretionary spending makes it “especially vulnerable to national economic downturns.”</p>

<p>Furthermore, it noted: <strong>“Any recession would likely impact Nevada more severely and swiftly than many other states.”</strong></p>

<p><strong>Southern Nevada has historically depended on tourism</strong>. However, last year saw a significant dip in tourist numbers as fewer travelers opted for vacations in Las Vegas.</p>

<p><strong>Visitor numbers fell last year, with around 38.5 million tourists coming to Las Vegas</strong>, representing a decrease of 7.5%, or over 3 million fewer visitors compared to 2024, as reported by the Las Vegas Convention and Visitors Authority.</p>