Federal Employees Seek New Opportunities Across the United States, From Maryland to Texas

The national job market is experiencing a period of uncertainty, with many industries facing a freeze. However, the labor market remains solid, driven primarily by a few key sectors, including healthcare and social assistance.

In the DMV area (comprising DC, Maryland, and Virginia), the tech sector, particularly software development, has seen a significant decline. In February 2022, software development accounted for 6.5% of DMV job postings, compared to 3.2% in the South. By February 2025, these shares had fallen to 4.3% and 1.4%, respectively.

Interestingly, less than 20% of federal workers reside in the DMV area. Job postings in southern states (excluding the DMV) have been hovering around 20% above pre-pandemic levels for several months.

This disparity in job market trends might lead to different experiences for displaced workers from different industries. For instance, a displaced IT Management worker from the Department of Defense may face a different job market than a displaced nurse from the Department of Veteran Affairs.

The rapid cooling among white-collar roles has led to a stronger representation of in-person and healthcare jobs among available roles in the DMV area. The prospects of finding new employment for federal workers may depend largely on the type of work they do or are seeking.

In February, roughly 80% of active federal worker profiles on Indeed were located outside the DMV area. The largest region for active searches from federal workers in February was the South (excluding DMV), which accounted for about a third (32.6%) of all active profiles. Texas has the third-highest share of federal job seekers at 7%.

Maryland and Virginia have a sizable share of federal workers with an active job search, with a combined 18% in February 2025. California and Georgia follow close behind, each with 6% of the active profile pool. Texas and California alone are home to a combined 12.2% of the nation's 2.3 million federal workers.

The analysis utilizes Indeed's pool of hundreds of millions of job seeker profiles to identify active job seekers who listed the federal government as their current or (newly) former employer. It's important to note that the number of job postings on Indeed.com is not indicative of potential revenue or earnings of Indeed.

However, the search results do not provide specific data from the platform Indeed about the states with the largest concentrations of active federal employee profiles in February 2025. Additionally, data on seasonally adjusted Indeed job postings are an index of the number of job postings on a given day, using a seven-day trailing average.

A dramatic spike in job search activity from federal employees is occurring across the country. This shift in the job market is a significant development that warrants close attention, particularly for those in the federal workforce.

Federal Employees Seek New Opportunities Across the United States, From Maryland to Texas