Sierra Vista-Douglas MSA May 2026 Summary
Jobs, wages, and housing permits all pulled back in early 2026, making for a broadly challenging quarter in the Sierra Vista-Douglas MSA.
Exhibit 1 presents current Sierra Vista-Douglas MSA (Cochise County) economic indicators.
In March, the non-seasonally adjusted civilian labor force in the Sierra Vista-Douglas MSA fell by 5.5% year over year to 45,891. January and February saw similar losses, with January falling 3.5% to 46,678 and February 5.2% to 45,535.
Non-seasonally adjusted resident employment in the Sierra Vista-Douglas MSA saw declines in the first quarter of 2026. January employment fell 4.8% year over year to 43,821, February decreased 6.4% to 42,760, and March dropped 6.4% to 43,285. Statewide, employment fell 2.1%, or -74,852, year over year in March to 3.6 million.
Non-seasonally adjusted unemployment saw increases in the first three months of 2026. Unemployment rose by 20.7% in January to 2,875, 17.8% in February to 2,775, and 13.5% in March to 2,606.
The non-seasonally adjusted unemployment rate in the Sierra Vista-Douglas MSA showed year-over-year increases in the first quarter of 2026. Employment in both January and February rose by 1.2 percentage points over the year to 6.1%, while March showed a smaller increase of 1.0 percentage points to 5.7%. At the state level, the unemployment rate increased 0.7 percentage points over the year in February to 4.7%, and 0.5 percentage points in March to 4.4%.
Non-seasonally adjusted average hourly wages in the Sierra Vista-Douglas MSA saw declines over the year in the first quarter of 2026. Earnings fell 9.7% in January to $30.39, 12.5% in February to $30.18, and 11.5% in March to $30.07. At March’s rate, average full-time earnings equate to roughly $62,545.
Seasonally adjusted total nonfarm jobs in the Sierra Vista-Douglas MSA saw a year-over-year increase in January, followed by a similar decline in February and little to no change in March. January employment rose 0.3% to 33,300, fell 0.3% in February to 33,200, and stayed at that level in March.
Non-seasonally adjusted nonfarm employment in the Sierra Vista-Douglas MSA fell in the first three months of 2026 on a year-over-year basis. January employment fell 5.2% to 33,300, followed by a 4.6% decline in February to 33,200 and a 5.1% decline in March to 33,300. Among the industries, Information saw the most significant decline, dropping 36.4% over the year to 700, followed by Professional and Business Services, which fell 10.3% to 3,500. Other losses occurred in Government (-6.5%), Leisure and Hospitality (5.6%), and Private Education and Health Services (-2.1%). Little or no change occurred in all other major industries.
Retail sales less food and gasoline rose by 3.8% year over year in March, reaching $112.3 million. Amusements saw the most significant decline, falling 16.0% to 949,981, followed by Hotel/Motel sales with a 9.8% decrease to $5.6 million, and Restaurants and Bars with a 1.9% drop to $21.9 million.
The first three months showed decreases in the number of non-seasonally adjusted housing permits in the Sierra Vista-Douglas MSA. Total permits fell by five over the year to 32 in January, by 30 to 30 in March, and by two to 34 in March. Single-Family permits similarly fell by 5 in January to 32, by 22 in February to 30, and by 2 in March to 34.