Maryland lost almost 25,000 federal jobs between January and November of 2025 according to recent estimates from the Bureau of Labor Statistics (BLS).
The jobs lost in Maryland represent roughly 8 percent of all federal position eliminations since the beginning of the Trump administration.
Federal employment declined by 10,300 jobs in October and November alone due to a voluntary deferred resignation program.
Gov. Wes Moore pointed out at this week’s Board of Public Works meeting, the job losses are more than any other state in the country.
“As I said months into the new Trump-Vance administration, what is happening to the state of Maryland, that these are not glancing blows. These are direct shots. They are direct shots that are impacting every single corner of our state,” the governor said.
Currently, federal jobs located in Maryland represent 6 percent of the state’s overall employment and 10 percent of overall wages.
BLS also estimates that private sector employment fell by 4,400 in October and November combined, which State Labor Secretary Portie Wu says is attributable to weaker than expected seasonal hiring.
Estimates also pin Maryland’s unemployment rate at 4.2 percent for November, an increase from 3.8 percent in September – that rate is still below the national average of 4.6 percent.
State Comptroller Brooke Lierman says despite the job losses, Maryland’s revenues remained fairly resilient in 2025, but she says this is largely thanks to wealthier residents keeping the economy afloat.
“Our general fund revenues were steady through November, in part because they were helped by capital gains revenue. Maryland is really bolstered by our high-income earners and has one of the highest median incomes in the nation,” she explained.
However, Lierman has repeatedly pointed out the state is living through a K-shaped economy, meaning as conditions continue to improve for high earners, low-income residents’ struggles are only growing.
“Those families who own homes and have investment portfolios, their spending and income sometimes masks the fact that individuals on the other side of the K are struggling, but they do still have jobs,” she said.
Moore, Lierman and Wu all agree that diversifying Maryland’s economy must become a renewed priority for the state.
“The sort of ‘eds, meds, feds’ formula has been very successful for Maryland. We continue to believe in those sectors, and still have very strong economic support in those sectors, but we need to diversify,” Wu said.
“Our administration is focused on our industries of the future to include anchoring institutions like life sciences and IT and aerospace and defense industries,” Moore said. “That we know that there's not just unique pathways for Maryland to lead, but that Maryland has unique assets to make sure that we can become the national leader.”
Moore has spent the past week releasing his spending proposals and legislative priorities for the fiscal year 27 state budget, including the Delivering Economic Competitiveness and Advancing Development Efforts — or DECADE — Act of 2026.
The proposal focuses on enhancing Department of Commerce Programs, increasing grants for innovation infrastructure, lessening eligibility requirements for start-ups and extending the Research and Development Tax Credit.
