The Granite State Workforce in 2025: Strengths, Shortages, and the Stakes Ahead
Granite State Report — Special Briefing
Executive Summary
New Hampshire’s job market in 2025 is a paradox in motion: low unemployment and high labor-force participation sit alongside structural worker shortages in health care, skilled trades, and advanced manufacturing; rising wages exist next to punishing housing and child-care costs that limit labor supply; and steady in-migration fortifies the workforce even as the state remains among the oldest in the nation. This report synthesizes the freshest data on jobs, industries, demographics, and household pressures, then outlines practical actions for employers and policymakers to keep New Hampshire competitive.
Key takeaways:
- Labor market is tight but resilient. July 2025 unemployment stood near the top tier of best-performing states at ~3.1%, while participation ticked up to 66.0% in July—well above the U.S. average. (Bureau of Labor Statistics)
- Growth is broad, led by services and health care. Real GDP expanded through 2024 with professional/business services and health care & social assistance among the biggest contributors; state employment data show health care as the largest job sector. (Bureau of Economic Analysis)
- Demographics are destiny—unless we bend the curve. NH is the second-oldest state with a median age ~43; net migration (+~9,200 between 2023–24) is sustaining population and workforce growth. (Carsey School of Public Policy)
- Housing and child care are the binding constraints. Only ~13% of 2-BR rentals are affordable to the median renter; center-based infant care averages ~$17,250/year and a 2-child center-based package approaches $30–32k/year. (New Hampshire Housing)
- Pipeline solutions are working—scale them. Registered apprenticeship programs have grown rapidly; CCSNH and employer partners are running “earn-while-you-learn” pathways across IT, manufacturing, and health care. (nhes.nh.gov)
Below, we unpack the numbers—and what to do next.
1) By the Numbers: Jobs, Wages, and Output
Unemployment & participation. New Hampshire remains a national leader in labor market health. Seasonally adjusted unemployment measured about 3.1% in July 2025, ranking in the top ten states, while labor-force participation reached 66.0% (NSA) in July 2025, up from spring levels. These twin metrics underline an economy near full employment. (Bureau of Labor Statistics)
Employment levels. State analysts note that employment in 2024 outpaced 2023, with 2025 showing modest cooling from 2024 peaks but still higher than pre-pandemic baselines. County-level trends from BLS highlight some first-quarter 2025 softness in New Hampshire’s three largest counties, consistent with a late-cycle normalization rather than contraction. (New Hampshire Fiscal Policy Institute)
Wages. According to NH Employment Security’s Occupational Employment & Wages report, average hourly earnings across occupations were ~$33.08 as of mid-2024, with wide variation by sector and skill. The 2024 ACS 1-year puts state median household income at ~$99,782, among the highest in the nation and well above the U.S. median. (nhes.nh.gov)
Output. Real GDP data show New Hampshire advancing alongside the broader Northeast in 2024. Professional/business services, real estate, and health care/social assistance contributed strongly to value added, with total real GDP around $96–97B (2024). (Bureau of Economic Analysis)
2) Industry Snapshots: Who’s Hiring—and Why
Health care & social assistance (largest employer). Health systems and ambulatory care continue to add jobs, with health care cemented as NH’s largest employment sector. Projections to 2032 show health care leading absolute job gains. Apprenticeship pipelines (e.g., Medical Assistant apprenticeships at Dartmouth Health) exemplify “earn while you learn” models that widen access and speed placement. (New Hampshire Fiscal Policy Institute)
Advanced manufacturing & defense. BAE Systems—with 6,500+ NH employees across Nashua, Hudson, Merrimack, and Manchester—continues active hiring in 2025. Lonza’s Portsmouth biomanufacturing hub is likewise recruiting across shifts in cell & gene tech and biologics. (BAE Systems)
Shipyard ripple effects. The Portsmouth Naval Shipyard (Kittery, ME) is a cross-border anchor with ~7,500 employees, including ~2,900–3,100 NH residents; federal cost-cutting and probationary layoffs announced in early 2025 created uncertainty, but long-term hiring needs remain significant. The employment base and training alliances around the yard continue to shape Seacoast labor demand. (Maine Public)
Tourism, hospitality, and retail. Tourism supports ~70,000 jobs statewide and is gearing for ~4.6M summer visitors in 2025 with ~$2.6B in seasonal spending—a critical engine for hospitality and local retail. Meals & Rooms (Rentals) tax data (8.5%) track this activity in near-real time. Winter visitation delivers a “small but mighty” $1.5B impact as well. (Visit NH)
Information & tech. Computer & mathematical occupations are projected to be the fastest-growing major occupational group through 2032 (about +18%), signaling ongoing demand for software, data, and cybersecurity talent. (nhes.nh.gov)
3) Demographics: The Granite State’s Aging—and Renewal
Aging baseline. NH is tied for the second-oldest state (median age ~43; ~19–21% age 65+), which structurally suppresses labor supply as retirements accelerate. (Carsey School of Public Policy)
Population trend. Census-based estimates place the population at ~1,409,000 (July 1, 2024), up ~6,800 year-over-year. Crucially, net migration (+~9,200) offset natural decrease (more deaths than births), implying the workforce depends on attracting newcomers—from other states and abroad—to grow. (Carsey School of Public Policy)
Regional context. Across New England, international immigration accounted for the entire regional population gain from 2023 to 2024, consistent with U.S. trends in which immigration explains the vast majority of net growth. (Carsey School of Public Policy)
Implication. Without continued in-migration and improved retention of young adults, New Hampshire’s labor force will tighten further—even if productivity and wages rise.
4) Binding Constraints: Housing & Child Care
Housing affordability. NH Housing reports a severe mismatch between wages and rents: only about 13% of two-bedroom units are affordable to the median renter; the 2024 Rental Cost Survey underscores persistent low vacancy, rising rent, and affordability strain. Median home purchase affordability has also deteriorated, reflected in a low REALTORS® affordability index and Manchester’s recurrent ranking as a top-pressure housing market. (New Hampshire Housing)
Child care access and price. Average center-based infant care ~$17,250/year; combined infant + 4-year-old center-based care ~$31–32k/year—often near or above a quarter of household income. Market rate and cost studies from 2024–2025 confirm high prices and tight capacity, with providers reporting workforce shortages. (New Hampshire Fiscal Policy Institute)
Why it matters. Housing and child care are the top two levers for increasing labor-force participation of parents, young adults, and new arrivals; employers regularly cite these as primary barriers to recruitment and retention.
5) Education & Training Pipelines: What’s Working
Registered apprenticeships. New Hampshire has rapidly expanded apprenticeships: 56 new programs in FY2024 (total ~492), spanning advanced manufacturing, IT, construction, hospitality, and health care. The ApprenticeshipNH initiative (CCSNH) coordinates “earn-while-you-learn” roles with USDOL support and employer partners. (nhes.nh.gov)
Community College System of NH (CCSNH). With statewide reach across seven colleges, CCSNH provides industry-aligned credentials, WorkReadyNH soft-skills training, and rapid-response upskilling for employers. The state’s Work-Based Learning and NH Works networks connect jobseekers to training and placements. (ccsnh.edu)
Career centers & WIOA. NH Works One-Stop/American Job Centers offer counseling, job matching, and federally funded training for dislocated and low-income workers—crucial in smoothing the cycle for both individuals and firms. (nhes.nh.gov)
Paid Family and Medical Leave (PFML). Since January 2023, NH’s voluntary PFML program provides wage replacement (typically ~60%) for qualifying leave. For small employers competing for talent, offering PFML via the state framework can be a cost-effective differentiator—especially for caregivers. (paidfamilymedicalleave.nh.gov)
6) Occupational Outlook: Where the Jobs Will Be
Growth rate and churn. Long-term projections (2022–2032) indicate ~5.8% employment growth (~+42,000 jobs). But annual openings are dominated by replacements—workers exiting or transferring—meaning recruiting and reskilling matter as much as net new growth. (nhes.nh.gov)
Fastest-growing groups.
- Computer & mathematical: ~+18% (software, data, cybersecurity).
- Health care: largest absolute gains (nurses, techs, aides, allied health).
- Skilled trades: steady demand given retirements and capital projects. (nhes.nh.gov)
Regional nuance. Urban areas (Hillsborough, Rockingham, Merrimack) show faster projected growth than rural north and west, though select rural occupations (e.g., protective services, building trades) show solid replacement demand. (nhes.nh.gov)
7) Income, Cost of Living, and Household Reality
High incomes—higher costs. The 2024 ACS places New Hampshire’s median household income near $100k, far above the U.S. figure. Yet housing and child care consume a disproportionate share of paychecks, and many families remain priced out of ownership or forced into long commutes. Recent analysts highlight uneven state revenue trends that track this consumer reality. (Census Data)
Workforce housing supply. State and local initiatives (e.g., Housing Champion programs and zoning modernization) aim to catalyze production at price points attainable to the workforce; municipal briefings and committee hearings in 2024–2025 show active policy experimentation. (YouTube)
8) Risk Radar: What Could Derail Momentum?
- Federal contracting volatility. Defense-related employers (BAE, PNSY, suppliers) face budget and procurement swings; the 2025 probationary layoff notices underscore exposure. Diversifying skill sets and supplier bases can cushion shocks. (Maine Public)
- Housing pipeline delays. Permitting bottlenecks, infrastructure costs, and local resistance slow workforce housing, prolonging scarcity that suppresses labor supply. (New Hampshire Housing)
- Health-care workforce burn-out. Persistent shortages in nursing, behavioral health, and long-term care risk service reductions—especially outside metros. Projections already assume aggressive hiring just to maintain capacity. (nhes.nh.gov)
- Demographic headwinds. Without continued in-migration, particularly of working-age adults and immigrants, an aging population will keep participation constrained. (Carsey School of Public Policy)
9) What Employers Can Do Now
1) Embrace “earn-while-you-learn.”
Deploy or join Registered Apprenticeships and pre-apprenticeships; braid on-the-job training with CCSNH coursework to convert entry-level candidates into mid-skill talent within 6–18 months. (nhes.nh.gov)
2) Boost total rewards for caregivers.
Adopt the NH PFML program, flexible schedules, and dependent-care supports (stipends, on-site/partnered slots). These relatively modest investments expand your eligible applicant pool. (paidfamilymedicalleave.nh.gov)
3) Remove relocation friction.
Offer housing assistance (move-in grants, master-leases, ADU partnerships with towns), and transportation perks that reduce commute drag for recruits priced out of hot markets. (See workforce housing definitions and limits to align offerings.) (New Hampshire Housing)
4) Upskill for digital roles.
Given IT occupations’ 18% growth outlook, build internal credential pathways (CompTIA, cloud, data, security) with CCSNH/NHTI or bootcamps; use apprenticeships for junior software and cybersecurity analysts. (nhes.nh.gov)
5) Recruit from overlooked pools.
Veterans, new Americans, career returners, and individuals in recovery—with wraparound supports—are high-ROI pipelines. Leverage NH Works for referrals and training funds (WIOA). (NH Economy)
10) What Policymakers Can Do Next
A. Scale supply-side fixes where the constraint is real
- Housing: Expand infrastructure grants and by-right zoning for workforce housing near jobs and transit; streamline approvals; protect local fiscal health while speeding units to market. Track affordability via NH Housing reports. (New Hampshire Housing)
- Child care: Stabilize provider workforce with wage enhancements and credential ladders; pilot employer-linked slots; expand eligibility/benefits to reduce marginal tax cliffs for working parents. (New Hampshire Fiscal Policy Institute)
B. Double down on apprenticeships and credentials
- Make apprenticeships a default for state procurement vendors; align high-school CTE, CCSNH, and employer demand; publish “fast-path” maps for priority occupations (nursing support, EV and HVAC techs, welders, IT help desk). (nhes.nh.gov)
C. Welcome the workers who will sustain growth
- Accelerate credential recognition for immigrants; stand up regional talent welcome centers; partner with employers on English-at-Work and transportation solutions—because net migration is the growth engine. (Carsey School of Public Policy)
D. Use real-time data to steer
- Blend BLS/LAUS, NHES Vital Signs, tax collections (Meals & Rooms), and travel impact dashboards to forecast seasonal staffing needs and target interventions by region and sector. (nhes.nh.gov)
11) Regional Notes
Seacoast: Biotech (Lonza), defense (PNSY), tourism, and health care anchor demand; housing costs highest, pushing workers inland. Action: transit-linked housing approvals, shipyard training partnerships, care-worker retention. (Lonza)
Southern Tier (Nashua–Manchester–Merrimack–Hudson): Advanced manufacturing & defense (BAE clusters), fintech/back-office, health care. Action: IT/advanced manufacturing apprenticeships; stackable credentials; urban infill housing. (BAE Systems)
Lakes & North Country: Health care, hospitality/outdoor recreation, construction; fewer workers per vacancy. Action: employer-sponsored housing; CDL/skilled-trades training; telehealth talent hubs to boost care access.
12) Data Appendix: Indicators at a Glance (2024–2025)
- Unemployment (Jul 2025): 3.1% (seasonally adjusted). Top-10 nationally. (Bureau of Labor Statistics)
- Labor-force participation (Jul 2025, NSA): 66.0%. Up from spring. (FRED)
- Median household income (2024 ACS 1-yr): $99,782 (NH); U.S. $81,604. (Census Data)
- Avg hourly wage (all occ., mid-2024): $33.08. (nhes.nh.gov)
- Population (Jul 1, 2024): 1,409,032; +6,800 YoY; net migration +~9,200. (Carsey School of Public Policy)
- Housing: Only ~13% of 2-BR units affordable to median renter; rents continue to rise. (New Hampshire Housing)
- Child care: Infant center-based ~$17,250/yr; infant + 4-yr-old ~$31–32k/yr. (New Hampshire Fiscal Policy Institute)
- Tourism (Summer 2025 forecast): ~4.6M visitors; just under $2.6B in spending. M&R tax 8.5%. (NH Economy)
- Fastest-growing occupations (to 2032): Computer & mathematical +18%; health-care jobs lead absolute gains. (nhes.nh.gov)
13) Watch & Learn: Short Videos for Context
- NH Tourism 2025 outlook (news clip, 2 min) — summer visitation and spending forecast (~4.6M visitors; ~$2.6B). (YouTube)
- State planning: Housing & fiscal tools (NH OPD webinar) — new tools for evaluating housing’s local fiscal impacts (2025). (YouTube)
- Stay Work Play NH (organization channel & explainers) — youth retention, quality-of-life insights, and talent stories. (YouTube)
- House Committee on Housing (Jan 2025 hearing) — live look at policy debates shaping supply. (YouTube)
- Portsmouth Housing Committee playlist — municipal deep dives on incentives and feasibility (2024–2025). (YouTube)
14) Employer & Community Playbook (Next 12–24 Months)
Recruitment & onboarding
- Apprentice first. Convert hard-to-fill roles into apprenticeships (IT help desk, CNC, MA/medical tech). Tap ApprenticeshipNH design support and federal grants to offset training costs. (ApprenticeshipNH)
- Shorten time-to-hire. Pre-clear background checks with conditional offers; use cohort starts; partner with NH Works for applicant flow and supportive services. (NH Economy)
- Remote & hybrid as magnets. Where feasible, expand hybrid to widen your radius beyond high-cost zip codes.
Retention & advancement
- Pathways on day one. Publish skill trees and wage ladders; pre-pay tuition with milestones tied to CCSNH micro-credentials. (ccsnh.edu)
- Caregiver-friendly benefits. Offer PFML, backup child-care stipends, and predictable scheduling. (paidfamilymedicalleave.nh.gov)
- Housing partnerships. Work with municipalities on ADUs, master-leased apartments, or down-payment assistance for essential workers; refer staff to workforce-housing resources. (New Hampshire Housing)
Regional coalitions
- Sector partnerships. In Seacoast, formalize a PNSY–Lonza–health care skills alliance with shared labs and rapid certificates; in Southern Tier, align BAE supply-chain SMEs on electronics manufacturing apprenticeships. (Maine Public)
- Tourism talent pooling. Cross-employer seasonal scheduling and shared transportation improve fill rates during peaks; use M&R tax receipts as demand signals. (NH Economy)
15) Policy Roadmap (Bipartisan, Evidence-Based)
Housing production at scale
- By-right multifamily near main streets and employment centers; expand infrastructure grants to defray water/sewer/road costs that block feasibility.
- Streamlined approvals (shot-clocks; standardized checklists); state design templates to reduce soft-costs. Track outcomes via NH Housing’s annual surveys. (New Hampshire Housing)
Child-care capacity & affordability
- Tie workforce grants to staff wage floors and career ladders; expand contracted slots for essential workers; pilot employer-linked centers in hospital and manufacturing hubs. Use market-rate and cost dashboards to sizing grants. (NH Connections)
Talent attraction & integration
- Fast-track foreign credential evaluation, employer ESL, and on-site language coaching; create regional “Welcome Centers” to coordinate housing, transport, and job placement—consistent with the migration-driven growth reality. (Carsey School of Public Policy)
Data & accountability
- Publish a quarterly Workforce Scorecard blending LAUS, Vital Signs, Meals & Rooms, and Travel Impacts for transparent, real-time course corrections. (nhes.nh.gov)
16) Conclusion: A High-Road Strategy for the Granite Workforce
New Hampshire’s advantage is built on diversified industries, skilled workers, and quality of life that attracts talent—if we keep it attainable. The data point to a simple truth: we don’t have a jobs problem; we have a people-problem—and the solutions are within reach. Build the housing. Fund the child-care seats. Normalize apprenticeships. Welcome newcomers. Align training to the jobs we actually have. Do these, and New Hampshire can continue to punch above its weight in 2026 and beyond.
Sources & References (selected)
- Labor market & participation: BLS – Unemployment Rates for States (July 2025); FRED – NH Labor Force Participation Rate. (Bureau of Labor Statistics)
- GDP & industries: BEA – GDP by Industry (annual/state tables); USAFacts – NH GDP by industry 2024; BEA release on 2024 GDP. (Bureau of Economic Analysis)
- State employment conditions: NH Employment Security – Vital Signs 2025; BLS Northeast region county employment/wages release. (nhes.nh.gov)
- Wages & income: NHES – Occupational Employment & Wages 2024; U.S. Census/ACS (2024 1-year NH profile). (nhes.nh.gov)
- Demographics & migration: UNH Carsey – NH Demography; Modest Population Gains… (Mar 2025); New England Gaining Population Due to Immigration. (Carsey School of Public Policy)
- Housing: NH Housing – FY24 Annual Report; 2024 Residential Rental Cost Survey; NH REALTORS® affordability update. (New Hampshire Housing)
- Child care: NHFPI – High Prices & Low Availability (2024); NH Connections – Market Rate/Narrow Cost Study (2024); Carsey – High Child Care Costs Strain NH Family Budgets (2024). (New Hampshire Fiscal Policy Institute)
- Apprenticeships & workforce programs: NHES fact sheet – Apprenticeships in NH (Nov 2024); ApprenticeshipNH portal; NH OWO/NH Works resources. (nhes.nh.gov)
- Sector examples: BAE Systems (NH footprint & hiring); Lonza Portsmouth (recruiting); Portsmouth Naval Shipyard employment and 2025 layoff news. (BAE Systems)
- Tourism: NH BEA/DTTD – Summer 2025 forecast; VisitNH – Economic Impact of Tourism; State Meals & Rooms (Rentals) Tax data portal. (NH Economy)
(All links above are embedded in citations.)
Bonus: Practical Resources for Jobseekers & Employers
- NH Works (statewide career centers & job match): training, workshops, referrals, and WIOA support. (NH Economy)
- ApprenticeshipNH (CCSNH): registered programs in advanced manufacturing, IT, construction, health care, hospitality, and more. (ApprenticeshipNH)
- WorkReadyNH (soft-skills training): tuition-free credential valued by NH employers. (ccsnh.edu)
- Paid Family & Medical Leave (voluntary plan): help attract and retain caregivers; employer and individual options. (paidfamilymedicalleave.nh.gov)
