08/25/2026
What a Tight Labor Market Means for Rural Colorado
As I travel our district and talk with our business community, I hear the same concern again and again: finding and keeping workers after COVID was hard and it is getting harder.
So, I dug into the numbers. Colorado’s statewide unemployment rate is 3.9%, but that headline does not tell the full story in eastern Colorado. Recent unemployment rates were just 2.3% in Cheyenne County, 2.5% in Kit Carson County and 3.4% in Elbert County. In many of our communities, the problem is not too many people looking for work. It is too few workers available to fill the jobs we already have.
At the same time, Colorado’s labor-force participation rate has fallen to 65.5%, its lowest level since 2020. That matters because people who retire, stop looking for work, or leave the workforce altogether are no longer counted as unemployed. A low unemployment rate is masking a shrinking labor pool.
The challenge is even more serious because our rural workforce is aging. In some eastern Colorado counties, 25% or more of the working-age population is already between ages 55 and 64. That means many communities are facing not only today’s hiring shortages, but a wave of retirements in the coming years.
This touches nearly every part of our local economy: hospitals and clinics, farms and ranches, trucking companies, construction firms, electricians and plumbers, auto and equipment repair shops, restaurants, grocery stores, banks, child-care providers, manufacturers, ag-support businesses, and Main Street retailers.
For a rural employer with a dozen workers, one or two vacancies can mean reduced hours, delayed projects, fewer services, or turning away customers. Over time, that affects more than the business itself. The resilience of a rural community depends on having enough people to keep its businesses, health-care providers, schools and essential services functioning.
These are exactly the issues that inform my work on the House Business Affairs & Labor Committee. When we consider new workplace mandates, regulations or employer costs, we need to ask how they affect businesses already operating with thin margins and an even thinner labor pool.
Supporting rural economies means more than creating new jobs. It means strengthening the workforce, expanding skilled-trades and career training, improving access to housing and child care, and making sure state policy does not make it harder for the employers we already have to survive, grow and serve their communities.