Report 895eb83b-0ce8-4d77-adb4-c29f416ed626 · The Virginia Capacity Report

## Virginia Capacity Brief ### Workforce Dynamics Virginia's labor market exhibits varying unemployment rates across its localities as of December 2025 [3112d13e]. Several regions demonstrate strong workforce performance with unemployment rates at or below 3.0%. These include Powhatan County (2.8%), King William County (2.8%), Waynesboro City (2.9%), Poquoson City (2.9%), and Rockingham County (2.9%) [3112d13e]. Staunton City and Manassas City also show low unemployment rates, both at 3.0% [3112d13e]. Conversely, some areas face higher unemployment challenges. Northumberland County recorded the highest rate at 5.7%, followed by Tazewell County and Westmoreland County, both at 5.2% [3112d13e]. Petersburg City and Martinsville City also experienced elevated unemployment, each at 5.1% [3112d13e]. Other localities with unemployment rates above 4.5% include Williamsburg City (4.7%), Lancaster County (4.7%), Lee County (4.6%), Lexington City (4.6%), Page County (4.6%), Russell County (4.6%), Smyth County (4.6%), and Northampton County (4.8%) [3112d13e]. These disparities suggest localized differences in economic activity or labor market structure. ### Regional Capacity Shifts Capacity scores, which integrate various factors including workforce, housing, energy, and water, indicate areas of relative strength and constraint. Northern Virginia and some central Virginia localities generally exhibit higher overall capacity. Arlington County (68.35), Hanover County (68.09), Charlottesville City (68.03), and Virginia Beach City (67.87) lead in overall capacity [LATEST CAPACITY SCORES]. Loudoun County (67.63), Chesterfield County (67.63), and Henrico County (67.63) also demonstrate strong overall capacity, characterized by high housing scores (100) and competitive workforce scores (83.2-84.4) [LATEST CAPACITY SCORES]. Regions with notable workforce scores (88 or higher) often correlate with higher overall capacity. Examples include Arlington County (88), Hanover County (89.2), Charlottesville City (90.4), Albemarle County (88), Augusta County (90.4), Rockingham County (89.2), Fauquier County (90.4), Roanoke County (88), Manassas City (88), Salem City (86.8), Waynesboro City (89.2), Botetourt County (88), Powhatan County (90.4), Staunton City (88), Gloucester County (88), Greene County (91.6), Prince George County (86.8), King William County (90.4), and Floyd County (88) [LATEST CAPACITY SCORES]. Conversely, areas with lower workforce scores, such as Norfolk City (76) and Newport News City (76), despite having high housing capacity, contribute to slightly lower overall scores [LATEST CAPACITY SCORES]. This suggests that while housing development may be robust in these areas, workforce availability could be a limiting factor. ### Strategic Considerations Virginia's ongoing efforts in talent development, university partnerships, and specialized workforce training programs are publicly highlighted as key initiatives to sustain and advance the state's economic capacity [6e4dbe13]. Leaders should monitor the effectiveness of these programs in addressing localized workforce shortages and matching regional labor demands, particularly in areas exhibiting higher unemployment rates or lower workforce capacity scores. Further analysis of how "bespoke training for emerging workforce needs" and university research partnerships translate into tangible improvements in regional workforce metrics is warranted [6e4dbe13]. The Roanoke region, for instance, is noted for its federal research partnership activities and investments from institutions like Virginia Tech and Carilion Clinic Usability Works [6e4dbe13]. Observing the long-term impact on Roanoke City's (overall capacity 66.83, workforce 82) and Roanoke County's (overall capacity 67.44, workforce 88) capacity scores could provide insights into the efficacy of such focused investments. Areas with significant workforce capacity, such as Powhatan County, King William County, and Rockingham County, may indicate ready pools of labor for potential economic development [3112d13e]. However, a holistic view of infrastructure and other capacity components is necessary to fully assess their readiness for growth.

Weekly Virginia Capacity Brief — 6/18/2026

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