Boeing put 1,000 employees to work on a new 737 MAX production line in Everett this month, even as Washington's unemployment rate was 5.2% in June, tied for 47th worst among all 50 states and a full percentage point above the national average.

The U.S. Bureau of Labor Statistics reported the June figures on July 18. Washington tied California, Connecticut, and Oregon at 5.2%. The national rate was 4.2%. A year ago, Washington's rate was 4.5%. The 0.7-point jump over 12 months ranks among the steepest increases in the country.

The Washington Employment Security Department said the rate held at 5.2% for three consecutive months through June.

The state added an estimated 5,400 jobs in June, but over the full year ending in June, total employment fell by 1,200 positions statewide. Manufacturing lost 1,300 jobs in June alone.

"Employment growth in June was led by the service sector," said Anneliese Vance-Sherman, chief labor economist at ESD, in the department's July 21 release.

In the Seattle/Bellevue/Everett metro division, the number of unemployed residents dropped from 124,554 in May to 120,416 in June. That modest improvement coincides with Boeing's North Line launch.

Boeing's $1 billion Everett expansion

Boeing's fourth 737 MAX production line became operational on July 6 at the Everett factory, occupying space formerly used for the 787 Dreamliner.

The company held a ribbon-cutting on July 10. The North Line represents a $1 billion investment and launched with 1,000 employees, roughly half new hires and half transfers from other Boeing sites, according to the Seattle Times.

Stephanie Pope, CEO of Boeing Commercial Airplanes, said at the July 10 ceremony: "This here is a $1 billion investment to deliver safe and quality airplanes to our customers on time."

Boeing is working toward producing 52 planes per month. The North Line adds capacity to reach that target from the current rate of 47 per month. Boeing posted a $428 million net loss in the second quarter of 2026, Reuters reported on July 28, but generated $631 million in free cash flow, its first positive quarterly result since 2023.

Cost pressures on business owners

The statewide jobs picture weighs on business confidence. The Association of Washington Businesses surveyed more than 400 employers this spring and found 24% were considering relocating their business out of state, nearly triple the level from winter 2025, according to AWB's published results.

The state's 2026 Competitiveness Redbook found employers contribute about $10,100 per employee in state and local taxes.

Prices are rising, too. The Bureau of Labor Statistics reported consumer prices in the Seattle-Tacoma-Bellevue metro area, which includes Snohomish County, rose 4.5% year-over-year through June. Energy costs jumped 20.7%. Food away from home climbed 6.2%.

What's next

The next state unemployment data release, covering July 2026, is scheduled for mid-August 2026. Boeing has not provided a timeline for FAA approval of the North Line's production certificate, which it needs before delivering planes built there.

The first aircraft off the line is expected to be a 737 MAX 10 bound for Canadian carrier WestJet later in 2026.