US: Industry growth continues whilst jobs fall slightly, report finds

While cannabis employment dipped slightly in 2024, the industry posted $30.1 billion in legal retail sales -- a 4.5% increase year-over-year, according to a report by Vangst. The job decline of 3.4% (15,443 roles) reflects a broader shift toward operational discipline amid regulatory challenges and market recalibration.

The 2025 Vangst Jobs Report reveals several key findings about the U.S. cannabis industry. Currently, the industry supports 425,002 full-time equivalent (FTE) jobs, marking a 3.4% decrease from 2023, despite national cannabis sales rising to $30.1 billion. Emerging and expanding markets such as New York, Mississippi, and Ohio have led the nation in job creation, with increases of 209%, 103%, and 34% respectively, driven by new license issuances and greater legal access. In contrast, mature markets like Illinois, Arizona, and Colorado have faced job losses of 25%, 52%, and 9% respectively, due to factors like oversupply, high taxes, and reduced consumer participation. To adapt to these challenges, flexible staffing and temp-to-hire models have become increasingly popular, particularly in cultivation and processing roles, allowing companies to remain agile under margin pressures. While federal reform is stalled, states are propelling the industry forward, with most growth in 2025 expected from states like New York, Florida, New Jersey, Maryland, and Ohio. The industry's revenue is forecasted to grow by another 13.1%, reaching $34 billion, with employment anticipated to rebound in states that are conducive to growth.

"The cannabis industry has shifted from a phase of hypergrowth to one of operational discipline," said Karson Humiston, Founder & CEO of Vangst. "This recalibration reflects a maturing industry focused on sustainability and efficiency. Despite a slight decline in jobs, cannabis remains one of the nation's leading employment sectors — with over 425,000 full-time roles and revenue projected to grow more than 13% in 2025, the industry is still a powerful economic engine."

Though federal reform stalled in 2024 and 2025 policy shifts remain unlikely, states like Ohio and New York are driving new waves of job creation thanks to expanding license counts and increased legal participation. Flexible staffing, temp-to-hire models, and cross-trained teams are now key features of the industry's evolving workforce strategy.