The legal marijuana industry in the United States supports 425,002 full-time equivalent jobs, according to a new report by Vangst and Whitney Economics.
The 2025 Cannabis Jobs Report, released yesterday, finds that while the total number of jobs declined by 3.4% in 2024, the industry had about 8k more jobs than in 2023, and it added $30.1 billion in retail sales in 2025—a 4.5% increase over the previous year. The slight dip in employment, totaling 15,443 jobs lost, is attributed to market corrections in maturing states and a shift toward more efficient operations.
Emerging markets drove much of the growth. New York saw a 209% increase in cannabis jobs, with Mississippi up 103% and Ohio up 34%. These gains were fueled by new business licenses and wider consumer access. By contrast, older markets like Arizona (-52%), Illinois (-25%) and Colorado (-9%) experienced declines due to oversupply, high taxation, and shrinking consumer activity.
Despite the job losses, the report projects a strong rebound. The industry is expected to grow another 13.1% in 2025, pushing total revenue to $34 billion and bringing job numbers back up in states favoring expansion, such as Florida, New Jersey, Maryland, Ohio, and New York.
“The cannabis industry has shifted from a phase of hypergrowth to one of operational discipline,” said Vangst CEO Karson Humiston. “Despite a slight decline in jobs, cannabis remains one of the nation’s top employment sectors.”
The report also highlights the rising use of flexible staffing and temp-to-hire positions, particularly in cultivation and processing. This trend has helped companies stay nimble amid narrowing profit margins.
According to Beau Whitney of Whitney Economics, “Even amid short-term employment declines, companies are adopting more disciplined hiring models and staying resilient through challenging conditions.”
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