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Why a regional recovery is so critical to local recovery efforts: How commuting shapes the labor market in Western NC

A recent blog using Census data showed that in most North Carolina counties, the majority of private-sector workers commute to a different county. This blog narrows in on commuting patterns in western North Carolina as a key factor to understand the road to economic recovery in the aftermath of Helene.

Author: Chi Wong

A recent blog using Census data showed that in most North Carolina counties, the majority of private-sector workers commute to a different county. This blog narrows in on commuting patterns in western North Carolina as a key factor to understand the road to economic recovery in the aftermath of Helene.

Road to Recovery After Hurricane Helene

Three and a half months after Hurricane Helene ravaged western North Carolina in late 2024, recovery efforts continue, with debris being cleared and state and federal aid arriving. Unsurprisingly, the labor market has yet to return to normal. Ten of the impacted counties face unemployment rates at least 0.9 percentage points higher than a year ago[1], far exceeding the state’s overall year-over-year increase of 0.2 percentage points.

Table 1

Helene-Impacted Counties with the Largest Unemployment Rate Changes

Area NameDecember 2024 Unemployment RateYear-over-Year  Percentage Point Change
North Carolina3.4%0.2
Mitchell County7.3%4.2
Buncombe County6.0%3.6
Madison County6.0%3.2
Yancey County5.3%2.6
Avery County5.0%2.3
McDowell County4.5%1.6
Haywood County3.9%1.1
Rutherford County5.3%1.1
Henderson County3.6%1.0
Polk County3.7%0.9
Source: North Carolina Local Area Unemployment Statistics, December 2023 – December 2024.

 

The unemployment rate reflects where workers live, not where employers are located - especially in western North Carolina where workers often live and work in different counties. Local conditions of employers are just as important for commuters as for residents. For example, residents in a less-impacted county may struggle to find jobs if their previous employer was located in a still-recovering county. Recent Census data shows this scenario is likely in Western NC, where the majority of resident private-sector workers commute out-of-county. In the counties mentioned, the percentages of residents working elsewhere range from 61% in Henderson to 81% in Madison. Buncombe is the exception, with two-thirds of residents working locally and only 35% commuting to other counties.

Table 2

Percentage of Resident Jobs Located Outside of Home County

 

Buncombe County is a major regional hub for private-sector employment. In five of the nine other counties, it is the top destination for resident commuters, accounting for at least 10% of local jobs.

Table 3

Top Destinations for Home County Resident Commuters

Home CountyTop Destination CountyShare of Resident Jobs Located in Top Destination County, 2022
Madison CountyBuncombe County43.9%
Henderson CountyBuncombe County28.8%
Haywood CountyBuncombe County25.8%
McDowell CountyBuncombe County16.8%
Yancey CountyBuncombe County10.6%
Avery CountyWatauga County10.5%
Mitchell CountyMcDowell County12.4%
Polk CountyHenderson County10.9%
Rutherford CountyMecklenburg County8.4%
Source: U.S. Census Bureau, Longitudinal Employer Household Dynamics Origin-Destination Employment Statistics, 2022, Private-Primary Jobs

 

For the remaining four counties, three have a top work destination within western North Carolina. Although Buncombe County’s recovery is key to regional employment, other counties will also have a significant impact on their neighbors’ labor markets.

While recovery of local businesses, residents, and communities is crucial, local economies are interconnected. Heavily impacted counties can affect employment in less-affected areas due to the region’s interdependent labor market. Infrastructure challenges, such as road closures, further disrupt hiring and job access. Full recovery requires a regional approach, not just county-level improvements. To explore more on commuting patterns, please visit LEAD’s commuting profiles or the Census’ OnTheMap tool. 
 


[1] We do a year-over-year comparison to prevent distortion from seasonal variation.

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