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Decade After Tech Boom, Downtown Seattle Faces ‘Staggering’ Job Losses

The report says downtown Seattle accounted for 13,000 of the losses as Bellevue gained 5,375 jobs and widened its lead in regional tech hiring.

  • A new Downtown Seattle Association report reveals Seattle lost 18,605 jobs in 2025, a 3% decline, while neighboring Bellevue added 5,375 positions during the same period.
  • Analysts attribute the economic slump to a struggling tech sector and the controversial JumpStart payroll tax, which targets large employers and has reportedly pushed business investment across Lake Washington.
  • Downtown Seattle absorbed 13,000 lost jobs, or 70% of the city's overall decline, while tech employment fell 15% to 42,344. Bellevue's tech sector surged 27% to 27,560 positions.
  • Mayor Katie Wilson responded to these headwinds by proposing a $9.1 billion 2027 budget that freezes JumpStart tax rates to provide employer stability. The plan closes a $175 million deficit without new taxes.
  • DSA CEO Jon Scholes urges city officials to prioritize policy predictability and avoid additional business taxes to reverse the trend. The city plans a business and labor task force to revitalize downtown and retain startups.
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Decade after tech boom, downtown Seattle faces ‘staggering’ job losses

(The Center Square) - New analysis from the Downtown Seattle Association reveals devastating job losses for the heart of the city over the last few years.

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Komo News broke the news in Seattle, United States on Wednesday, September 30, 2026.
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