The Whatcom County unemployment rate increased from 4.6% to 5.2% in December 2025, following a broader decline in jobs countywide.
According to the Washington State Employment Security Department, employers reported 300 fewer payroll jobs in the county. Sectors such as manual labor and service providing industries have lost jobs.
Bellingham’s unemployment rate is .8% higher than the December 2025 national average of 4.4%. Washington’s unemployment rate remains lower than Bellingham at 4.7%.
Research on Cascade Gateway border traffic by the Border Policy Research Institute has found a 35% overall decrease in border crossings from 2024-2025. The institute, based at Western Washington University, focuses on issues related to the Canada–United States border.
“That reduction in tourist traffic and commerce traffic has definitely taken a toll on some of the retail trade, and leisure and hospitality industry,” said Toby Paterson, labor economist for the Washington State Employment Security Department.
Further border crossing data from the Whatcom Council of Governments shows 50,000 fewer border crossings in January 2026 compared to January 2025. According to tourism economics, visitor spending in Whatcom County totalled to $775.9 million in 2024. Data for 2025 is still pending.
“The amount of product being bought and sold through Canada is always gonna be an issue affecting our economy,” Paterson added.
Bellingham has long been considered an expensive place to live. The strain on available employment opportunities has put pressure on residents in between jobs.
“It's such a highly competitive job market, even for entry-level work,” said Basic Needs Resource Navigator Gina Ebbeling.
Ebbeling works with Western’s Basic Needs Hub to provide students with support in navigating independence within the adult world. Resources are also available to students in order to combat food, housing and financial insecurity.
“It is a really hard time to be going out in the world, and depending on where you want to land, where you want to end up, especially if you're wanting to stay in Bellingham,” Ebbeling said. “I think it's a really hard place to make ends meet.”
The Washington Student Achievement Council found that more than half of Washington college students report experiencing basic needs insecurity as of 2025. On a local level, students attending Western and Whatcom Community College may be at risk.
“We know that one of the top reasons that students end up dropping out of Western is because they couldn't meet their basic needs and also because of financial reasons,” Ebbeling said.
The already Whatcom County competitive job market, coupled with students' complicated schedules, puts them at a disadvantage in finding employment.
Theodore Boussom, a first-year Western student, has been applying for anything and everything they see since late October.
“I haven't even gotten a phone call back, not a single phone call,” Boussom said.
Unemployment may cause students like Boussom to reconsider their priorities. When it comes to a matter of survival, responsibilities such as education can begin to overshadow making ends meet.
“I have to go where there's work,” Boussom said. “And if the work isn't here, then I may have to relocate.”
Kamra Greenwall-Cox (she/her) is a city news reporter for The Front this quarter. She is a fourth-year environmental journalism major. Outside of reporting on the city of Bellingham, Kamra enjoys practicing aerial arts and reading. You can reach her at kamragreenwallcox.thefront@gmail.com
