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A big blue state with high taxes has seen significant population loss as a result domestic outmigration over the past five years, according to new research.
Massachusetts recorded a net loss of about 182,000 residents due to domestic outmigration between April 2020 and July 2025, according to an analysis of the state’s workforce by the Pioneer Institute. The free market think tank noted that the population decline is equivalent to losing about one and a half Cambridges over that period.
“Given that domestic emigration increased before the pandemic and remained significantly high afterwards, it is clear that emigration is a structural phenomenon that will persist and not just a byproduct of remote work and the pandemic,” the report said.
“Those leaving tend to be younger, between 26 and 34 years old, and the loss of their economic activity will affect the state for decades to come,” the report continued. “Out-migration could lead to population losses and a reduction in the working-age population by 2026, as immigration is expected to fall sharply.”
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Massachusetts has seen significant outmigration in recent years, the Pioneer Institute notes. (Ron Dahlquist/Design Pics Editorial/Universal Images Group via Getty Images)
The Pioneer Institute noted that the state working population reached 3.9 million in 2024, marking the largest year-on-year increase since 2018. Growth was mainly fueled by record international migration, adding 230,000 new residents between 2022 and 2024.
Private sector employment in Massachusetts remains below 2019 levels, and private sector employment has fallen by 18,000 jobs (or -0.55%) since January 2020.
During that same period, U.S. private sector job growth exceeded 5%, with fast-growing states doing so as well FloridaNorth Carolina and Texas all exceeded 10%, according to the institute’s analysis.
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Massachusetts’ unemployment rate is higher than its neighboring states. (Billie Weiss/Boston Red Sox/Getty Images)
Massachusetts’ statewide unemployment rate rose to 4.8% in December, continuing its steady increase of 0.8% post-pandemic lowest point of 3.2% in April 2023, the institute noted.
Massachusetts’ unemployment rate remains higher than neighboring states Connecticut (4.2%), Rhode Island (4.3%), Maine (3.2%), New Hampshire (3.1%) and Vermont (2.6%).
The Pioneer Institute noted that the number of job openings in the state also fell to 145,000 as of November 2025, a 50% decline from the pandemic-era peak of 338,000 in May 2022. Additionally, the jobless-to-jobs ratio topped 1 for the first time since the pandemic in October 2024.
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The state of Massachusetts experienced notable employment growth in life sciences positions. (Joseph Prezioso/AFP via Getty Images)
Massachusetts retained its status as the most educated state in the US as of 2024, with 53.4% of the population aged 25 and over having a bachelor’s degree or higher, according to the report. The next most highly educated states identified in the report were Vermont (50.9%), New Jersey (47.8%) and New Hampshire (47%).
However, Massachusetts was among the bottom 10 states – 43rd – on the Tax Foundation’s list 2026 State Tax Competitiveness Index.
“The states in the bottom 10 tend to have a number of problems in common: complex, non-neutral taxes with relatively high rates,” the report said.
Job categories that saw the most growth in Massachusetts from 2019 to 2024 were heavily focused on the life sciences, including biochemists (+218%), bioengineers (+182%), and biological technicians (+37%). Chemical equipment operators and tenders (+504%) and logistics service providers (+88%) also saw a notable increase, as did general practitioners (+61%).
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Among the professions that saw the strongest declines were also those that could be subject to automation artificial intelligenceincluding clerks (-30%), secretaries (-29%), cashiers (-20%) and customer service representatives (-17%).
