Iowa Economy Improves as Manufacturing Jobs Dip
Iowa manufacturers face mixed signals, with a stronger survey reading but 700 fewer jobs over the past year.
Updated on Nov. 2, 2026 in Employment

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Iowa's economic conditions improved in October, according to a Creighton University survey of supply managers in Iowa and eight other states. Iowa's overall survey score rose to nearly 57 from just over 54 in September, with 50 marking growth neutral. Iowa manufacturing still shed 700 jobs over the past 12 months, the same period in which Nebraska, Oklahoma and South Dakota also lost manufacturing jobs.
Why it matters
The survey points to a broader regional turn, with the Midwest logging five straight months of a rising employment index and manufacturing adding 8,600 jobs across the region over the past year. Companies are taking a wait-and-see approach to artificial intelligence, which is limiting their hiring decisions even as activity firms up.
Iowa's survey score rose to nearly 57 in October from just over 54 in September, and the score is measured against a growth-neutral line of 50. The Iowa manufacturing economy shed 700 jobs over the past 12 months, per Bureau of Labor Statistics data, while the regional manufacturing sector added 8,600 jobs.
The players
Creighton University
A private Jesuit university in Omaha, Nebraska, whose survey of supply managers provides the regional economic index cited in this story.
Bureau of Labor Statistics
The federal agency that publishes official U.S. employment and wage data used to track manufacturing job changes by state.
The details
The survey uses a zero-to-100 scale where readings above 50 signal growth and readings below signal contraction, so Iowa's move to nearly 57 indicates expansion among purchasing and supply managers. The regional gain is driven by a five-month run of rising employment readings across the Midwest. Iowa was one of four surveyed states, along with Nebraska, Oklahoma and South Dakota, that lost manufacturing jobs over the past year, but the other five surveyed states more than offset those losses.
Timeline
Past 12 months: manufacturing job losses and gains recorded in the surveyed states
September 2026: Iowa survey score was just over 54
October 2026: Iowa survey score rose to nearly 57
Third quarter 2026: national GDP grew 3.4 percent
Market Landscape
The Creighton survey has tracked Midwest supply manager conditions monthly, and this October reading extends a five-month run of rising regional employment. Iowa's gain contrasts with the manufacturing job losses in several neighboring states, showing uneven performance across the region.
Iowa operators in manufacturing should weigh the 700 manufacturing jobs lost over the past year against the regional recovery when planning hiring. Businesses watching labor costs should note that companies are holding back on AI-driven hiring decisions, which may keep staffing plans conservative.
The takeaway
Iowa's improving survey reading suggests regional momentum, but the 700 manufacturing jobs lost in the past year show the gain is not uniform across industries. Operators should track the next Creighton survey and state manufacturing employment data before committing to new hires.
Further reading
For more on the state's job market, see Employment coverage across Iowa.
Source note: This article includes information reported by Radio Iowa.
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