Texas' Booming Economy Is Far Outpacing the US as a Whole

The Texas economy recorded its 36th successive month of growth in March and is performing substantially better than the U.S. economy as a whole, according to figures from the Texas Workforce Commission (TWC).

During the month, Texas' seasonally adjusted nonfarm job count increased by 19,100, to a record of 14,115,700, with the total number of people working in Texas, including the self-employed, reaching 14,590,800.

The booming Texan economy has come during a time of significant tensions between state authorities and the Biden administration, particularly over how to handle illegal immigration. In January, the Supreme Court ruled federal agents could remove razor wire placed along the southern border causing Texas Governor Greg Abbott to claim the state was facing an "invasion" and invoking its "constitutional right to defend itself."

According to the latest TWC figures, produced in collaboration with the U.S. Department of Labor's Bureau of Labor Statistics, jobs were created in a number of sectors in the Texan economy during March.

The biggest gain was in leisure and hospitality, which produced another 7,300 jobs, while 3,700 were added for mining and logging and 2,400 in other services.

Unemployment across Texas remained stable at 3.9 percent for the 10th month in a row compared to 4 percent in March 2023.

Between March 2023 and March 2024, nonfarm employment in Texas increased by 270,700 according to the TWC data, a 2 percent annual increase and substantially above the national U.S. growth rate of 0.1 percent.

In the fourth quarter of 2023, the Texan economy grew by 5 percent in real GDP terms at an annualized rate, according to data from the federal Bureau of Economic Analysis, one of the fastest growth rates in the country behind only South Carolina, Idaho, Utah and Nevada. By contrast, the annualized GDP growth rate for the U.S. as a whole over this period was 3.4 percent. This was the sixth quarter in a row that Texas grew faster than the American economy in total.

Governor Abbott swiftly welcomed his state's success, commenting, "The most dynamic economy in the nation is built by Texans. I am proud that Texas again leads all states in annual job creation.

"This continued momentum is a testament to the strength of our young, skilled, diverse, and growing workforce, our welcoming business climate, and the strategic investments we continue to make in education, workforce development, and critical infrastructure."

TWC Chairman Bryan Daniel stated, "Texas continues to be a top place for growth and economic success with thousands of jobs added by employers in March.

"Our world class workforce of talented Texans attracts employers from many expanding industries."

Joe Esparza, the TWC Commissioner Representing Employers, added: "Texas continues to attract employers on a global scale because of our unique business climate, skilled workforce, and strong community partnerships.

"TWC can help workers across the state upskill and reskill to fill Texas employers' growing workforce needs."

On April 12, Abbott said that 507,200 suspected undocumented migrants had been detained in his state since 2021 when he launched Operation Lone Star to combat illegal crossings.

In addition to border walls and fencing Abbott has deployed patrol boats and floating barriers in the Rio Grande River in a bid to prevent illegal crossings from Mexico.

Just 20 percent of eligible American voters think the U.S. currently has "control over its borders" according to a survey conducted for Newsweek on April 11.