UVA Forecasts Weaker 2026 Virginia Economy After 10,400 Job Losses in 2025

2 articles · Updated · UVA Today · May 28

Virginia’s 2026 economy is now expected to weaken, with higher prices, rising unemployment and continued job losses, according to the University of Virginia’s quarterly forecast.
Revised 2025 data drove the downgrade after showing the state slowed more than previously thought.
10,400 jobs are now estimated to have been lost in 2025, replacing an earlier outlook that employment would stay roughly flat.
The new forecast suggests Virginia is entering 2026 from a softer base, pointing to broader labor-market and inflation pressure across the commonwealth.

With experts predicting both a slump and growth, what is Virginia's real economic outlook for the rest of 2026?

Amid forecasts of 17,800 job losses, can Virginia’s new tax cuts on overtime and tips actually stimulate the economy?

Are the 17,000 professional job cuts in Virginia a temporary setback or a concerning sign of AI's future impact?