The headline figure comes from the employment-to-population ratio, one of the most widely watched indicators in labor economics because it captures the share of an entire population that is actually working, rather than merely the share of active job seekers who hold jobs. For people with disabilities aged 16 to 64, the ratio rose from 39.8 percent in August 2026 to 40.3 percent in September 2026, an increase of 0.5 percentage points, or 1.3 percent in relative terms. For people without disabilities in the same age range, the ratio edged up from 74.6 percent to 75.0 percent, a gain of 0.4 percentage points. Because the ratio divides the number of people working by the total population and multiplies by 100, it is sensitive to both hiring trends and demographic shifts, making its sustained rise for workers with disabilities a meaningful signal of genuine labor market inclusion rather than a statistical artifact.

John O’Neill, PhD, director of the Center for Employment and Disability Research at Kessler Foundation, framed the September numbers as a turning point after a long period of stagnation. He noted that the employment-to-population ratio for people with disabilities reached an all-time high of 40.3 percent, breaking through what researchers had described as the post-COVID employment plateau. O’Neill also pointed to a possible economic driver behind the breakthrough, observing that last month’s numbers may have crossed the 40 percent barrier because rising prices are compelling people with disabilities to work in order to help support their families. That interpretation underscores a recurring theme in disability employment research: labor force outcomes for this population are shaped not only by demand-side factors such as employer hiring practices and workplace accommodations, but also by cost-of-living pressures that can pull additional workers into the labor market.

The labor force participation rate, a companion indicator that measures the percentage of the population either working, actively seeking work within the past four weeks, or on temporary layoff or furlough, also moved higher in September. For people with disabilities aged 16 to 64, participation increased from 43.4 percent in August to 43.8 percent in September, a rise of 0.4 percentage points that represents a 0.9 percent relative gain. Among people without disabilities, the participation rate inched up from 77.9 percent to 78.1 percent, a 0.2 percentage point increase. The parallel movement in both indicators matters because rising participation alongside rising employment suggests that more people with disabilities are not only finding jobs but are also entering the labor market with reasonable prospects of being hired, rather than becoming discouraged and dropping out of the count altogether.

Andrew Houtenville, PhD, professor of economics and director of the UNH Institute on Disability, described the past two months of labor market figures for people with disabilities as remarkable, emphasizing that labor force participation for this group also reached a record level of 43.8 percent in September. His assessment highlights how unusual the current stretch has been: in many prior economic cycles, workers with disabilities tended to experience disproportionate losses during slowdowns, as employers cut flexible or part-time arrangements and hiring pipelines narrowed. The fact that both employment and participation set records in a month when national job growth slowed to 29,000 positions suggests that the structural gains of recent years, including expanded remote work options, stronger employer disability inclusion initiatives, and tighter labor markets that encouraged firms to tap previously underutilized talent pools, may be proving more durable than earlier cyclical improvements.

The year-over-year comparison reinforces that durability. Compared with September 2025, the employment-to-population ratio for people with disabilities rose from 38.2 percent to 40.3 percent, an increase of 2.1 percentage points, while labor force participation climbed from 42.1 percent to 43.8 percent, up 1.7 percentage points. Over the same period, people without disabilities saw far more modest movement, with their employment-to-population ratio rising from 74.7 percent to 75.0 percent, a gain of just 0.3 percentage points, and their participation rate increasing from 77.9 percent to 78.1 percent, up 0.2 percentage points. The widening gap between the two groups’ growth rates indicates that the recent improvements for workers with disabilities are outpacing the general trend, narrowing, however slowly, a long-standing disparity in labor market outcomes that has persisted for decades.

In terms of raw numbers, the September data show that among workers aged 16 to 64, the 6,918,000 workers with disabilities represented 4.6 percent of the total 151,785,000 workers in the United States. That share has been gradually rising as employment gains for people with disabilities outpace overall workforce growth, a shift with implications for employers, policymakers, and disability services providers alike. A larger and more visible population of workers with disabilities increases demand for accessible workplaces, reasonable accommodations, and inclusive human resources practices, while also expanding the consumer and tax base contributions of a group that has historically faced elevated rates of poverty and economic exclusion. Researchers caution, however, that a 40 percent employment ratio still leaves a substantial majority of working-age adults with disabilities outside the workforce, so the milestone should be read as progress along a continuum rather than a destination.

The nTIDE report draws on data from the U.S. Bureau of Labor Statistics but is customized by the UNH Institute on Disability to focus on working-age adults between 16 and 64, a refinement that excludes retirement-age workers and provides a sharper picture of prime labor market activity. The monthly series, funded by the National Institute on Disability, Independent Living and Rehabilitation Research and Kessler Foundation, has become a standard reference for tracking how economic changes affect workers with and without disabilities. Alongside each release, the nTIDE team hosts a Lunch and Learn webinar that gives the public a chance to question the researchers directly and hear from invited panelists on current disability-related research and events, an outreach model designed to translate dense federal statistics into actionable knowledge for advocates, employers, and state agencies.

The October 2, 2026 webinar featured guest presenter Charyl S. Yarbrough, PhD, of the New Jersey Department of Labor & Workforce Development, joining O’Neill, Houtenville, and Kimberly Knackstedt, executive director at the Association of University Centers on Disabilities. Recordings of the session and previous episodes are archived at ResearchonDisability.org/nTIDE, where users can review the month-to-month and year-to-year comparisons that underpin the headline findings. For economists studying disability employment, the September 2026 report offers a case study in how a slowing aggregate economy can coexist with record outcomes for a specific population, and for disability advocates, it provides fresh evidence that sustained policy attention and employer engagement can push long-stuck indicators past symbolic thresholds. Whether the 40 percent mark becomes a new floor or a brief peak will depend on the months ahead, but for now the data document a genuine and measurable expansion of economic opportunity for Americans with disabilities.

Subject of Research: Employment trends for people with disabilities in the U.S. labor market

Article Title: Employment for people with disabilities in September: Surpassing 40% for the first time

Article References: Employment for people with disabilities in September: Surpassing 40% for the first time. (n.d.). Original publication

Image Credits: AI Generated

DOI: Not provided

Keywords: disability employment, nTIDE, Kessler Foundation, labor force participation, employment-to-population ratio, Bureau of Labor Statistics, University of New Hampshire, labor market, unemployment rate, economic inclusion, workforce data, September 2026 jobs report

As the report elaborates, the increase in employment for people with disabilities is not an isolated occurrence. Across the board, the employment-to-population ratio for persons without disabilities also experienced growth, rising from 74.4 percent to 74.8 percent during the same period. This upward trend, although minimal, reflects an overall stabilization in the labor market, suggesting that both sectors are adapting to the post-pandemic economic environment. Key indicators such as labor force participation rates are also critical in this analysis, as they showcase a comprehensive picture of workforce engagement.

In examining the broader implications of these changes, researchers note that the labor force participation rate for individuals with disabilities rose slightly from 40.8 percent in February to 40.9 percent in March 2025. For non-disabled individuals, this rate transitioned from 77.8 percent to 78.0 percent, indicating a slight uptick which may be reflective of ongoing adjustments to the economic landscape as the country navigates recovery from the COVID-19 pandemic’s far-reaching effects. Such fluctuations in labor participation rates can influence policy-making and resource allocation focused on enhancing employment opportunities for marginalized groups.

Dr. John O’Neill, director of the Center for Employment and Disability Research at Kessler Foundation, pointed out the importance of these incremental changes, even though they may not illustrate a revolutionary shift in employment trends. He noted that the stability in these figures over the past year marks a new normal regarding employment for people with disabilities. However, O’Neill warns that this stability might be short-lived as the implications of impending layoffs and cuts in public sector jobs may influence future employment dynamics. The federal government’s initiative to downsize its workforce could pose challenges for this vulnerable segment of the population, steering public discourse towards the need for sustainable solutions.

The end of post-COVID recovery funding introduced by governmental bodies may further complicate the situation for people with disabilities as this financial support was crucial for facilitating employment opportunities. As states and municipalities conclude this funding phase, economic pressure could lead families to prioritize income enhancement in response to rising unemployment and cost-of-living standards, potentially pushing more disabled individuals back into the labor market in search of viable employment options.

Analyzing year-over-year changes from March 2024 to March 2025 provides additional insights into the evolving nature of disability employment. The employment-to-population ratio for individuals with disabilities jumped from 36.5 percent to 37.5 percent, which translates to a notable increase of 1 percentage point. Conversely, the employment-to-population ratio for non-disabled individuals has seen a decline, decreasing from 75.1 percent to 74.8 percent, illustrating a nuanced rivalry between these two demographic segments. Such contrasting movements raise questions about the underlying factors influencing these shifts and point to the necessity for further investigative efforts to understand these dynamics.

Another critical aspect of labor market engagement is the labor force participation rate, which for individuals with disabilities went up from 40.3 percent in March 2024 to 40.9 percent in March 2025. This cautious optimism, however, is juxtaposed against the labor force participation rate among non-disabled individuals, which has noticeably decreased from 78.1 percent to just 78 percent during the same timeframe. The implications of this data indicate that while the disabled demographic may be slowly gaining ground, the broader workforce challenges remain pervasive and complex.

Amidst this evolving landscape of disability employment, a significant call to action arises, inviting researchers, policymakers, and stakeholders to engage in meaningful dialogues concerning accessibility and equitable workforce practices. The monthly nTIDE releases and accompanying webinars provide essential platforms for discussion where experts can address emerging trends and present evidence-based insights drawn from ongoing research in this field. The upcoming nTIDE Lunch & Learn event on April 4, 2025, will feature experts discussing the data trends and encouraging an open dialogue about strategies to empower the disabled community within the workforce.

The analysis paints a broader picture that indicates the complexities of workforce recruitment, training, and retention strategies tailored to individuals with disabilities. By engaging in proactive conversations around disability and labor, we can foster a more inclusive economy where the capabilities of all individuals, regardless of their physical or cognitive limitations, are recognized and valued within organizational structures. The societal implications are significant; as we embrace diversity and inclusivity, businesses stand to benefit from the unique perspectives and skills contributed by people with disabilities.

Continued research and advocacy are crucial for dismantling barriers that prevent individuals with disabilities from pursuing meaningful employment opportunities. As the nTIDE report continually tracks employment statistics, stakeholders must not only observe patterns but effectively respond to the challenges that arise within the labor market. This involves understanding and addressing societal attitudes toward disability, ensuring workplaces are equipped to handle diverse needs, and promoting policies that foster equity in access to employment.

Moving forward, the commitment to improving employment outcomes for people with disabilities is essential. By leveraging data, fostering community-based initiatives, and engaging in collaborative networks, we can create pathways toward employment that are not merely aspirational but realistic and sustainable. As society evolves, the acknowledgment of the unique contributions of the disabled community must be solidified within the employment discourse, ensuring that progress is inclusive and equitable for all.

In conclusion, the insights provided by the nTIDE report serve as essential components for understanding the contemporary issues surrounding disability employment. The subtle shifts in employment-to-population ratios and labor force participation rates illuminate ongoing trends that warrant deeper exploration. Acknowledging these changes offers both challenges and opportunities for collective efforts towards establishing a workforce that values inclusivity as a fundamental principle rather than an afterthought, fostering a richer, more diversified economic landscape.

Subject of Research: Employment Trends for People with Disabilities
Article Title: nTIDE Report Highlights Employment Gains for Individuals with Disabilities
News Publication Date: April 4, 2025
Web References: Kessler Foundation, University of New Hampshire’s Institute on Disability
References: National Institute on Disability, Independent Living and Rehabilitation Research (NIDILRR); U.S. Bureau of Labor Statistics
Image Credits: Kessler Foundation

Keywords: Disability Employment, Labor Force Participation, Employment-to-Population Ratio, nTIDE, Economic Trends, Workforce Inclusion