Nearly 1 in 5 Alabama Workers Are Employed by Government: A Closer Look at Public Sector Employment

As of June 2025, government employment in Alabama accounts for approximately 17.7% of the state's civilian workforce, underscoring the public sector's significant role in the state's labor market and economic stability.

By the Numbers

According to the latest data from the Alabama Department of Labor:

• Total civilian labor force: 2,386,000

• Government-employed workers: 421,400

• Share of workforce: 17.7%

This figure includes employees across federal, state, and local government agencies, ranging from postal workers and military personnel to public school teachers, state troopers, and city sanitation crews.

Breakdown by Level of Government

While exact June 2025 breakdowns by level are pending final release, historical trends suggest:

~60 percent are employed by local governments. Key sectors include: workers in public schools, municipal services, and law enforcement.

~25% of public workers in Alabama are employed by state government. The key sectors are the universities, Department of Corrections, and the public health sector.

The remaining ~15% work for the federal government. Key sectors there are persons employed at military bases, VA hospitals, federal courts, and for USDA offices.

Regional Context

Alabama's 17.7% public sector employment rate is slightly above the national average, which typically hovers around 15–16%. Neighboring states show similar patterns:

• Mississippi: ~18.2%

• Georgia: ~16.1%

• Florida: ~14.8%

The higher share in Alabama and Mississippi reflects a combination of rural service needs, military installations, and state-administered healthcare and corrections systems.

Why It Matters

The size of Alabama's government workforce has implications for:

• Budgeting and tax policy: Public payrolls are a major component of state and local budgets.

• Economic resilience: Government jobs tend to be more stable during economic downturns.

• Political dynamics: Public sector unions, pension systems, and workforce demographics influence legislative priorities.

In rural counties, government employment often represents the largest or second-largest source of jobs, especially where private industry is limited.

Voices from the Field

State Senator Greg Albritton (R-Atmore), chair of the Senate Finance and Taxation General Fund Committee, recently noted:

"Our public workforce is not just a budget line-it's the backbone of rural infrastructure, education, and public safety. We need to ensure it's right-sized, but also respected."

Meanwhile, local officials in counties like Wilcox and Greene have emphasized the importance of maintaining staffing levels in schools and sheriff's departments, citing recruitment challenges and aging infrastructure.

Looking Ahead

With ongoing debates over federal funding, Medicaid expansion, and infrastructure investment, Alabama's public sector employment will remain a key indicator of both economic health and governance priorities. Policymakers face the challenge of balancing fiscal discipline with the need to sustain essential services-especially in underserved areas.