Weekly Economic Update for Kansas

Last updated: 19 May, 2026

This week’s economic update for Kansas reviews the latest official data on the state’s labor market, consumer demand, business costs, credit conditions, and near-term risks. The data indicate a stable labor market with moderate hiring and separations, steady consumer price inflation in the Midwest region, and rising producer costs that may affect business pricing. Income growth and consumer spending remain supportive of demand, while credit and housing conditions show no significant new signals. Kansas businesses should continue to monitor labor market tightness and cost pressures as they plan for the coming months.

What changed in the latest data?

The US Bureau of Labor Statistics (BLS) December 2025 Job Openings and Labor Turnover Survey (JOLTS) shows Kansas job openings at 62,000 (seasonally adjusted), a slight decrease from 65,000 in November 2025, with a job openings rate of 4.0%, down 0.2 percentage points. Hires in Kansas were 37,000 in December 2025, unchanged from December 2024, with a hires rate steady at 2.5%. Quits increased slightly to 31,000 with a quits rate rising to 2.1%, indicating moderate worker confidence in the labor market. Layoffs and discharges were 17,000 with a rate of 1.2%, stable compared to prior months.

The May 6, 2026 BLS State Employment and Unemployment report shows Kansas’s unemployment rate remains low and stable, consistent with a tight labor market. Metropolitan area data from April 29, 2026, also indicate steady employment levels in Kansas metros.

Consumer Price Index (CPI) data released May 12, 2026, show the Midwest region, which includes Kansas, experienced a 4.1% year-over-year increase in all items, with a 1.8% increase from February to April 2026, reflecting ongoing inflationary pressures. Producer Price Index (PPI) data from May 13, 2026, reveal a 5.9% 12-month increase in stage 3 intermediate demand prices, signaling rising input costs for manufacturers and service providers.

Personal income and outlays data from the Bureau of Economic Analysis (BEA) as of April 30, 2026, indicate steady income growth and consumer spending, particularly in services such as health care, supporting demand in the state.

What this means for Kansas

Kansas’s labor market remains relatively balanced with a moderate number of job openings and hires, alongside a slight increase in quits, suggesting workers feel confident enough to change jobs. The stable layoffs rate indicates no immediate signs of widespread job losses. Businesses may face challenges filling positions in some sectors but overall labor market tightness is moderate.

Inflationary pressures in the Midwest region remain elevated but stable, with consumer prices rising steadily. Rising producer prices for intermediate goods suggest that businesses may face higher input costs, which could translate into increased prices for consumers or pressure on profit margins.

Steady personal income growth and consumer spending support demand for goods and services in Kansas, which is positive for local businesses. However, cost pressures and labor market tightness require careful management.

State labor market conditions

Kansas’s job openings rate of 4.0% in December 2025 is slightly below the national average but indicates ongoing demand for workers. The hires rate of 2.5% and quits rate of 2.1% reflect a moderately active labor market with some worker mobility. Layoffs and discharges remain low at 1.2%, suggesting employment stability.

Unemployment rates remain low and stable as of May 2026, consistent with a healthy labor market. Metropolitan area employment data show no significant declines, supporting a positive outlook for regional labor markets.

Demand, income, and household pressure

Consumer price inflation in the Midwest region remains elevated at 4.1% year-over-year, which may pressure household budgets. However, personal income growth reported by the BEA supports consumer spending, particularly in services such as health care, which is a significant component of demand.

Household demand in Kansas appears steady, with no direct signals of weakening from the latest data. Businesses should monitor inflation’s impact on consumer purchasing power.

Business costs and pricing pressure

Producer prices for intermediate demand goods rose 5.9% over the past 12 months, the largest increase since early 2022. This rise in input costs may lead to higher prices for finished goods and services, potentially squeezing business margins if not passed on to consumers.

Kansas businesses should prepare for continued cost pressures and consider pricing strategies accordingly.

Credit, housing, and cash-flow conditions

The latest available data do not provide a direct signal on credit conditions or housing market sensitivity specific to Kansas. Businesses should continue to monitor local credit availability and housing market trends as part of their risk management.

Risks to watch over the next 30 to 90 days

Key risks include potential tightening of labor supply that could increase wage pressures, sustained inflation impacting consumer demand, and rising producer costs affecting profitability. Any shifts in credit conditions or housing market dynamics could also influence business cash flow and investment decisions.

Practical takeaways for Kansas businesses

  • Maintain focus on labor market dynamics: moderate job openings and quits suggest some worker mobility but also potential hiring challenges.
  • Monitor inflation and input cost trends closely to adjust pricing and cost management strategies.
  • Leverage steady personal income growth and consumer spending trends to support sales and marketing efforts.
  • Stay alert to credit and housing market developments that could affect customer demand and business financing.

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References:

State Job Openings and Labor Turnover (US Bureau of Labor Statistics | 19 February, 2026)

State Employment and Unemployment (Monthly) (US Bureau of Labor Statistics | 6 May, 2026)

Metropolitan Area Employment and Unemployment (Monthly) (US Bureau of Labor Statistics | 29 April, 2026)

Employment Situation (US Bureau of Labor Statistics | 8 May, 2026)

Producer Price Index (US Bureau of Labor Statistics | 13 May, 2026)

Consumer Price Index (US Bureau of Labor Statistics | 12 May, 2026)

Personal Income and Outlays (Bureau of Economic Analysis | 30 April, 2026)

Gross Domestic Product (Bureau of Economic Analysis | 30 April, 2026)