by Ethan Faverino | Apr 12, 2026 | Economy, News
By Ethan Faverino |
New data from the Common Sense Institute’s Arizona Jobs and Labor Force Update shows Arizona added 5,100 non-farm jobs on a seasonally adjusted basis in January, representing a modest 0.16% increase from December. This gain ranked the state 25th highest among all 50 states and Washington, D.C. Nationally, the U.S. economy added 160,000 jobs in January, with 44 states reporting month-over-month job gains.
However, on a year-over-year basis, Arizona’s labor market weakened significantly. The state lost 15,000 jobs compared to January 2025, marking a stark contrast to the national gain of +0.20%. Arizona ranked 43rd in year-over-year job growth, one of 24 states experiencing annual job losses. This marked the 22nd consecutive month of annual job growth below 2% in Arizona.
Revised data now indicate the state has been experiencing year-over-year job losses since August 2025—the first negative annual reading since September 2024 and the largest percentage decline since March 2021.
Arizona’s manufacturing sector provided a bright spot in January, adding approximately 600 jobs. The state was one of only 20 to add manufacturing jobs that month. However, on an annual basis, manufacturing employment continued to contract, down 0.7% from January 2025, with Arizona among 40 states losing manufacturing jobs over the year.
Unemployment in Arizona edged up slightly to 4.5% in January from a revised 4.4% in December, giving the state the 35th highest unemployment rate nationally. The state’s labor force participation rate held steady at 62%. Nationally, the unemployment rate declined modestly to 4.3% in January and has remained at that level through March 2026.
Sector performance in January varied. The “Other Services” sector led growth, adding 1,300 jobs (+1.3%), though it remains one of Arizona’s smaller supersectors with just 105,000 workers. Construction added 800 jobs month-over-month.
On an annual basis, the Mining and Logging sector continued to outperform, expanding 7.2% since January 2025. Meanwhile, the state’s largest supersector—Trade, Transportation, and Utilities—added only 200 jobs in January. The Information sector posted the weakest annual performance, declining 1.83% year-over-year.
While employment growth has slowed, wage growth in Arizona remained robust at the start of 2026. Average hourly wages rose $0.47 in January, ranking the state 9th nationally for monthly wage growth. Over the past year, Arizona’s average hourly wage increased by $1.10, placing it 29th in the U.S. for annual wage growth. Private Sector workers in Arizona now earn an average of $35.32 per hour, up from $34.22 a year ago.
Nationally, average hourly wages rose 0.35% in January and have continued growing, with the U.S. rate reaching 3.5% year-over-year as of March. Real (inflation-adjusted) wages in Arizona were up 1.2% as of January. Roughly in line with national trends, though they remain down 3.4% since April 2020.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Apr 9, 2026 | Economy, News
By Ethan Faverino |
The National Federation of Independent Business (NFIB) March Jobs Report, released earlier this week, shows the Small Business Employment Index declined 1.9 points to 101.6. While the index pulled back from February, it remains above the 2025 average of 101.2 and the long-term historical average of 100.
In March, a seasonally adjusted 32% of small business owners reported having job openings they could not fill, down just 1 point from the prior month but still well above the historical average of 24%. Of those, 27% had openings for skilled workers (down 1 point), and 12% had openings for unskilled labor (up 2 points).
“While small businesses are not hiring extensively, they continue to face difficulties related to labor cost and quality,” stated Chief Economist Bill Dunkelberg. “Despite the current stagnant employment growth, economic conditions could change rapidly.”
NFIB State Director Chad Heinrich added, “The numbers tell a clear story — small businesses want to hire, but qualified applicants are hard to find. Add the uncertainty around tax conformity, and owners simply can’t plan with confidence. Inaction at the Capitol has a real cost.”
A seasonally adjusted net 12% of owners reported plans to create new jobs over the next three months, unchanged from February and near the historical average of net 11%. Overall, 52% of owners said they were hiring or trying to hire in March, down 2 points from the previous month.
Among those attempting to hire, 45% reported few or no qualified applicants for the open positions, down 1 point from February. Specifically, 22% reported few qualified applicants (down 3 points) and 23% reported none (up 2 points).
Labor quality remained a top concern, with 15% of small business owners citing it as their single most important problem—unchanged from February and above the historical average of 12%. This marks the first time since December 2016 that labor quality has consistently registered at or above 15%. Meanwhile, 10% of owners identified labor costs as their top problem, up 1 point from February.
On the compensation front, a seasonally adjusted net 33% of owners reported raising worker pay in March, down 1 point from February. Looking ahead, a net 18% plan to increase compensation over the next three months, down 4 points from the prior month and the lowest reading since July 2025. Despite the recent softening, both actual and planned compensation levels remain above their historical averages.
“Employment growth has stagnated, as hiring plans continue to slide toward the historical average,” the report noted. Job openings have reached their lowest levels since the recovery from the COVID-19 recession.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Apr 8, 2026 | News
By Ethan Faverino |
The Arizona Corporation Commission (ACC) will host its annual 2026 Summer Preparedness Workshop on Tuesday, April 14, at 9:00 a.m. in Hearing Room One at the Commission’s Offices. The workshop will also be available virtually.
This annual event serves as a critical exercise in which Arizona’s regulated electric utilities present detailed plans to the Commission outlining their readiness to meet peak electricity demand during the state’s intense summer heat.
The workshop allows the ACC to review utility preparations, verify proactive grid maintenance efforts year-round, and confirm that infrastructure remains safe, reliable, and resilient for customers.
Arizona’s summer temperatures routinely drive record-breaking electricity demand as residents rely heavily on air-conditioning. In recent years, major utilities—including Arizona Public Service (APS), Salt River Project (SRP), and Tucson Electric Power (TEP)—have repeatedly set new peak demand records amid scorching heat, with highs often exceeding 115 degrees in the Phoenix area.
In 2025, utilities forecasted and prepared for peaks exceeding 8,400 MW for APS and SRP each, while emphasizing additions of solar, battery storage, and other resources alongside adequate reserves to maintain reliability.
The commission uses the workshop to ensure utilities demonstrate sufficient generating capacity, transmission readiness, maintenance schedules, emergency response protocols, and contingency measures for high-demand periods.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Apr 7, 2026 | Economy, News
By Ethan Faverino |
The Joint Economic Committee released its analysis of the latest Monthly Trade Update, drawing on data from the Bureau of Economic Analysis, U.S. Census Bureau, Treasury Department, and Bureau of Labor Statistics. The U.S. recorded a total trade deficit of $57.35 billion in February 2026, an increase of $2.67 billion from January but 11% below the 12-month average.
The goods trade deficit stood at $84.60 billion in February, up $2.47 billion from the previous month and 8% below the 12-month average. Meanwhile, the services trade surplus narrowed slightly to $27.26 billion, down $204 million from January and 1% below the 12-month average.
Over the 12 months through February 2026, the cumulative U.S. trade deficit totaled $775.60 billion. This included a goods trade deficit of $1.11 trillion, partially offset by a services trade surplus of $329.60 billion.
Largest Goods Trade Deficits and Surpluses
During the 12 months, the United States recorded its largest goods trade deficit with Mexico ($194.61 billion, representing 17.76% of the total goods deficit), Vietnam ($187.93 billion, 17.15%), and China ($172.90 billion, 15.78%).
The largest goods trade surpluses were with the Netherlands ($65.56 billion), the United Kingdom ($42.57 billion), and Hong Kong ($36.16 billion).
Key Export and Import Categories
The top exported goods by value over the 12 months were civilian aircraft, engines, equipment, and parts; pharmaceutical preparations; and non-monetary gold. These categories together accounted for 17.14% of total U.S. goods exports.
On the import side, the leading categories were pharmaceutical preparations, computers, and passenger cars, which together made up 20.25% of the value of all imported goods.
February Trade Flows
Total exports in February reached $314.79 billion, up $12.56 billion from January and 8% above the 12-month average. Goods exports rose to $206.92 billion, while services exports increased to $107.87 billion.
Total imports climbed to $372.14 billion, up $15.23 billion from January and 5% above the 12-month average. Goods imports totaled $291.52 billion, and services imports reached $80.61 billion.
12-month Overview
Over the full 12-month period through February 2026:
- Total exports amounted to $3.49 trillion ($2.25 trillion in goods and $1.25 trillion in services)
- Total imports reached $4.27 trillion ($3.35 trillion in goods and $917.14 billion in services)
The U.S. exported the most to Mexico ($343.77 billion), Canada ($327.91 billion), and the United Kingdom ($105.71 billion), which together represented 34.89% of total exports. Imports were highest from Mexico ($538.38 billion), Canada ($367.20 billion), and China ($275.12 billion), accounting for 35.52% of total imports.
Major export port districts included New York City, NY ($268.93 billion), Houston-Galveston, TX ($242.43 billion), and Laredo, TX ($166.74 billion). On the other side, the leading ports were Los Angeles, CA ($369.30 billion), Chicago, IL ($352.76 billion), and New York City, NY ($319.81 billion).
Import Duties and Tariff Rates
In February 2026, the U.S. collected $21.24 billion in import duties, 13.25% below the 12-month average. Over the 12 months, total calculated duties reached $293.80 billion.
The average applied duty rate in February was 8.48%, 0.56 percentage points lower than the 12-month average. The top categories by duty revenue were passenger cars ($28.62 billion at 16.54%); other parts and accessories of vehicles ($19.12 billion at 14.21%); and electric apparatus ($15.11 billion at 15.09%).
The leading countries of origin by calculated duty revenue were China ($94.80 billion at an average rate of 35.99%), Mexico ($22.93 billion at 4.28%), and Vietnam ($20.84 billion at 10.06%).
Terms of Trade and Currency Movements
The U.S. dollar weakened against several major currencies over the period: down 5.8% against the Chinese yuan, 12% against the euro, 6.4% against the British pound, and 16.1% against the Mexican peso. However, it strengthened 3.6% against the Japanese yen.
Export prices rose 3.54% year-over-year (2.22% for agricultural exports and 3.76% for non-agricultural). Import prices increased 7.44% overall, with fuel imports falling 10.53% while non-fuel imports rose 8.64%.
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
by Ethan Faverino | Apr 2, 2026 | News
By Ethan Faverino |
Senate Health and Human Services Committee Chair Carine Werner (R-LD4) will hold the final Department of Child Safety (DCS) oversight hearing of the legislative session on Monday, April 6, at 9 a.m. The hearing caps a months-long investigation into systemic failures that left vulnerable Arizona children unprotected despite repeated contacts with the child welfare system.
The oversight effort, launched after several high-profile tragedies, exposed critical breakdowns in how DCS handles reports of abuse, coordinates with partners, and responds to warning signs.
Among the cases that drew urgent attention were Emily Pike, a 14-year-old who ran away from a group home and was later found dead, Rebekah Baptiste, a 10-year-old who died after multiple reports of abuse were filed but not addressed with sufficient urgency, and Zariah Dodd, a 16-year-old in DCS care who was reported missing and later found murdered in Phoenix.
In each instance, the children had prior involvement with the system, yet missed opportunities for timely intervention, poor information sharing, and delayed action contributed to fatal outcomes.
“This investigation made one thing painfully clear. People were raising red flags, but the system wasn’t connecting the dots or acting fast enough,” stated Senator Werner. “These children were not invisible. They were known. Reports were made. And still, the response fell short. That cannot happen again.”
Through a series of stakeholder meetings and hearings involving DCS officials, law enforcement, child welfare experts, and affected families, Senator Werner’s committee identified key gaps in coordination, documentation, reporting, and response times. That work has culminated in a targeted package of bipartisan reform bills designed to prevent similar failures.
- SB 1125 strengthens coordination between DCS and Arizona’s Indian tribes by requiring efforts to establish memoranda of understanding. These agreements focus on sharing best practices in intake, investigations, placement, case management, and service coordination; designating tribal liaisons; and providing tribes access to regulatory actions, licensing sanctions, and safety violations involving group homes where tribal children are placed.
- SB 1126 improves information sharing between schools and DCS investigators. In compliance with federal privacy laws, schools must, upon request, identify other schools that have sought a student’s records, note any withdrawals, and provide relevant information or records during active abuse or neglect investigations. The bill also prohibits schools from barring employees from speaking with DCS caseworkers.
- SB 1127 tightens mandatory reporting requirements, stipulating that individuals with a duty to report suspected abuse or neglect who have direct knowledge must report immediately to DCS and may not delegate responsibility to another person.
- SB 1174 enhances DCS’s centralized intake process by requiring hotline workers to compile and review a child’s full history—including prior hotline calls and investigations involving the child and siblings—so patterns of concern are immediately visible. Workers must also review recent non-report calls when assessing new allegations.
- SB 1175 mandates that DCS caseworkers photograph children during every contact in an abuse or neglect investigation and maintain those images in the case file. When developing safety plans, caseworkers must review photos to identify any decline in the child’s appearance or health.
- SB 1496 strengthens legal protections and representation for children in dependency cases, including provisions addressing the Department’s role as representative payee for benefits and efforts to identify more appropriate non-DCS individuals for that responsibility.
- SB 1631 ensures that children who are alleged victims of sexual abuse receive a forensic interview conducted by a trained professional immediately or within 72 hours of the report. The requirement includes specific definitions of sexual abuse and allows documented good cause exceptions for limited delays, such as the child receiving inpatient care or not being located.
Presentations at Monday’s hearing will feature insights from Casey Family Programs, a national nonprofit dedicated to improving child welfare and reducing unnecessary foster care placements; Collaborative Safety, which partners with agencies to enhance child protection practices and lower risks; and an update from the Arizona Department of Child Safety on policy changes implemented since the investigation began.
“The reforms we’re advancing are about making sure information is shared, warning signs are taken seriously, and experienced professionals step in immediately when a child is in danger,” added Senator Werner. “When a child’s life is on the line, there is no room for delays, confusion, or missed communication.”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.