The Texas Workforce Commission says the state's seasonally adjusted unemployment rate jumped to 7.1 percent in May, that's well below the national rate of 9.4 percent.
That's up from a revised 6.6 percent jobless rate in April, which means it an even tighter job market for would-be Texas workers.
The May figure reflects the widespread job losses most employers reported for the month.
Manufacturing was hardest hit with 12,800 positions lost. That was followed by the 10,400 construction jobs. Some bright spots remained in education and health, which reported an additional 5,800 new positions.
The other services industry, which includes automotive, electronic and commercial repair, grew by 5,200 jobs in May.
The Lubbock area experienced the lowest unemployment rate. Dallas-Fort Worth's unemployment rate stands at 7.1 percent.