Private-sector businesses in Texas experienced substantial employment changes during the first quarter of 2026, with more than 654,000 jobs gained through business openings and expansions.
However, businesses also eliminated approximately 653,000 positions through closures and reductions in employment.
The U.S. Bureau of Labor Statistics released the findings October 30, 2026, as part of its Business Employment Dynamics program.
The report shows that Texas recorded a net private-sector employment increase of 1,242 jobs between December 2025 and March 2026.
The figures provide a detailed look at employment changes occurring within businesses across the state.
Expanding Businesses Account for Most Job Gains
Texas businesses generated 654,260 gross job gains during the first quarter.
Of those gains, 510,595 came from existing establishments expanding their workforces.
Another 143,665 jobs were associated with establishments opening during the period.
Gross job gains measure employment increases at individual business establishments.
The figures do not mean that 654,260 entirely new positions remained available at the end of the quarter.
Instead, they measure employment growth occurring across businesses during the reporting period.
Compared with the previous quarter, job gains at expanding establishments declined by 54,481.
Meanwhile, employment gains associated with opening establishments increased by 16,672.
Business Contractions Account for Most Job Losses
The report also identified 653,018 gross job losses during the first quarter.
Businesses reducing their existing workforces accounted for 528,088 of those losses.
Closing establishments accounted for another 124,930.
Compared with the previous quarter, job losses at contracting establishments increased by 50,563.
Job losses associated with closing establishments increased by 15,237.
These figures measure changes at business establishments rather than the number of individual companies that permanently ceased operations.
A company operating multiple locations may experience employment increases at some establishments and decreases at others.
Texas Records Smaller Net Employment Gain
The difference between gross job gains and gross job losses produced a net increase of 1,242 private-sector jobs.
That compares with a net increase of 104,851 jobs during the fourth quarter of 2025.
The latest figures indicate that employment gains and losses were nearly equal during the first quarter of 2026.
Gross job gains represented 5.4% of private-sector employment in Texas.
Gross job losses also represented 5.4%.
Nationally, both measures represented approximately 5.5% of private-sector employment during the same period.
Construction and Healthcare Record Job Gains
Employment changes varied considerably across industries.
Education and health services recorded the largest net employment increase among the industries identified in the report.
The sector gained 6,880 jobs after accounting for both employment increases and decreases.
Construction recorded a net increase of 6,459 jobs.
Transportation and warehousing experienced the largest net employment decline, losing 14,366 jobs.
Overall, six of the 11 published industry sectors recorded more gross job gains than losses.
The figures describe employment changes during the first quarter and should not be interpreted as current hiring conditions in October.
What the Findings Mean for Texas Businesses
The Business Employment Dynamics program provides information about how employment changes within operating businesses.
Unlike reports that focus primarily on total employment, these statistics separately identify jobs gained and lost through business openings, expansions, contractions, and closures.
The information can help business owners, economic development organizations, and workforce professionals understand historical employment activity.
However, the statewide report does not establish hiring conditions for individual Texas cities or counties.
It also does not identify specific businesses that are currently recruiting employees.
The Bureau of Labor Statistics plans to release second-quarter 2026 Business Employment Dynamics data on January 27, 2027.
For Texas businesses and communities, the latest report provides a newly published statistical picture of private-sector employment changes ...