Job Market East Tennessee: What You Need to Know in 2026

If you are thinking about moving to Tennessee, you probably already know about the incredible views of the Smokies and the appeal of paying zero state income tax. But for most of us, the decision to relocate really comes down to one big question: “Can I find a good job there?”

As we settle into 2026, the answer is increasingly “yes”—but it depends on where you look and what you do. The days of East Tennessee being purely a manufacturing or agricultural hub are long gone. Today, we are seeing a diverse mix of advanced energy, healthcare, logistics, and tech sectors that are reshaping the local economy.

Whether you are eyeing the “Scruffy City” vibe of Knoxville or the tech-forward energy of Chattanooga, understanding the job market here is crucial before you pack the moving truck. Let’s break down what the landscape looks like right now and what you can expect for your paycheck.

 

East Tennessee Job Market Overview: A 2026 Perspective

The economy here has always been resilient, but 2026 is shaping up to be a year of steady, reliable growth. While some parts of the national economy have cooled off, Tennessee is projecting a “slow but positive” trajectory. We aren’t seeing the explosive, wild spikes of a few years ago, but that’s actually a good thing—it means stability.

Current outlooks suggest the state’s GDP will grow by about 2%, and job growth is hovering around 0.9%. That might sound modest, but it is actually outpacing the national average of 0.5%. Essentially, while other regions are tapping the brakes, East Tennessee is still easing down on the gas pedal.

The labor market is normalizing after the post-pandemic rush. Unemployment has ticked up just slightly to roughly 3.4%, which is still historically low. You won’t see “Help Wanted” signs in literally every window like in 2022, but qualified candidates are still in high demand.

One of the biggest drivers right now is migration. People are still moving here in droves, especially to the Knoxville area. This high in-migration fuels a constant need for services, construction, and healthcare. If you are in those fields, the market is very much in your favor. Plus, the financial incentive is hard to beat—professionals relocating from high-tax states often find that the lack of state income tax on wages gives them an immediate “raise” the moment they cross the state line.

 

Key Industries and Top Employers by Metro Area

East Tennessee isn’t a monolith. The economic engine changes significantly depending on which city you land in. You have the academic and logistics focus of Knoxville, the heavy manufacturing and tech scene in Chattanooga, and the science-based economy of Oak Ridge. Here is how the major players stack up.

 

Knoxville: Education, Logistics, and Healthcare

Knoxville is the heart of the region, and its job market reflects that stability. It is often recession-resistant because so much of the economy is tied to the University of Tennessee and major healthcare systems. If you are in medicine or administration, Covenant Health and the University of Tennessee Medical Center are massive employers always on the lookout for talent.

Beyond “eds and meds,” Knoxville is a logistics heavyweight. It sits right at the intersection of I-40 and I-75, meaning companies like Pilot Company (headquartered here) play a huge role. We also have Clayton Homes, a giant in the housing industry, driving corporate and manufacturing jobs. For anyone thinking about living in East Tennessee, Knoxville offers arguably the most diverse mix of white-collar and blue-collar opportunities.

 

Chattanooga: The Gig City and Manufacturing Powerhouse

Chattanooga has done an amazing job rebranding itself. Years ago, it was purely industrial. Now, thanks to EPB’s municipal fiber optic network (the fastest internet in the Western Hemisphere when it launched), it’s known as “Gig City.” This infrastructure has attracted a wave of tech startups and remote workers who need robust connectivity.

However, don’t let the tech hype fool you—manufacturing is still king here. Volkswagen Chattanooga is the anchor, employing thousands and driving a huge supply chain network. We are also seeing a surge in battery materials production with companies like Novonix setting up shop. If you are an engineer or a skilled technician, looking at Chattanooga neighborhoods near these industrial parks is a smart move.

 

Oak Ridge: The Secret City’s Science Boom

Just outside Knoxville, Oak Ridge is a world of its own. Known historically as the “Secret City” for its role in the Manhattan Project, it is now booming with high-tech, high-security jobs. This isn’t just typical office work; we are talking about national defense and advanced energy.

The biggest employer is, of course, the Oak Ridge National Laboratory (ORNL), which attracts scientists and researchers from all over the globe. Then you have the Y-12 National Security Complex. A major development for 2026 is the new BWX Technologies centrifuge facility, which opened in January. This has injected a fresh wave of specialized jobs into the area. If you have a security clearance or a background in nuclear engineering, this is the place to be.

 

Tri-Cities: Healthcare and Chemicals

Heading further northeast to the Johnson City, Kingsport, and Bristol area, the vibe changes again. This area is heavily anchored by Ballad Health, which dominates the medical landscape. If you are a nurse or physician, the Tri-Cities offers a slightly quieter pace of life with plenty of work opportunities.

On the industrial side, Eastman Chemical Company in Kingsport is a massive economic driver. They have been a staple of the community for roughly a century and continue to employ a large percentage of the local workforce in high-paying chemical engineering and operational roles.

 

Salary Expectations vs. Cost of Living

When people look at job listings here, a common reaction is, “Wait, the salary looks a little lower than what I make in Chicago or New York.” That might be true on paper, but you have to look at the whole financial picture. The cost of living in Tennessee is a huge equalizer.

Nominal salaries in East Tennessee are generally lower than in coastal tech hubs, but your purchasing power is significantly higher. The biggest factor is housing. While prices have risen due to popularity, Knoxville housing is still roughly 20-30% cheaper than markets like Austin, Miami, or Denver.

For example, a mid-level manager making $85,000 here might live a lifestyle comparable to someone making $130,000 in a major metro area once you factor out state income tax and factor in lower property taxes and mortgage payments.

 

Comparing the Markets

If you are trying to decide between the two biggest metros, the housing costs are a helpful tiebreaker.

• Knoxville: Median home prices are hovering in the $400k range. It has become more competitive recently because it is such a hotspot for retirees and remote workers.
• Chattanooga: You can often find a median home price a bit lower, around the $362k range. The household incomes are comparable to Knoxville, which means your dollar might stretch just a tiny bit further in the Scenic City.

Inflation has definitely impacted everyone’s grocery bills, but local wages in competitive sectors are rising to match. We are seeing particularly strong wage growth in skilled trades (plumbers, electricians) and healthcare specialized roles.

To give you a rough idea of what people are earning in 2026:

• Registered Nurses: Averages are landing between $66k and $72k annually.
• Manufacturing Technicians: In hubs like Chattanooga, skilled techs are averaging around $23/hour, or roughly $47k a year.
• Software Developers: The range is wide, but averages across the state sit between $101k and $120k.

Emerging Sectors: Tech, Nuclear, and Remote Work

If you are looking for future-proof careers, you should look at where the investment dollars are flowing. It’s not just about what is hiring today, but what will be hiring five years from now.

Nuclear & Advanced Energy

This is the “crown jewel” of the East Tennessee economy right now. With the federal push for clean energy, Oak Ridge is at the center of the action. It’s not just government jobs; private firms are flocking here to support the nuclear supply chain. This sector drives high-paying engineering, project management, and specialized construction roles.

Remote Work

The secret is out: East Tennessee is a paradise for remote workers. If you can remote work from Tennessee, you get the mountain lifestyle without the big-city commute. The availability of high-speed fiber internet—even in some rural areas thanks to electric co-ops—makes this viable. We meet so many buyers who bring their California or DC salaries to the Smokies, instantly upgrading their standard of living.

Tech & Innovation

Chattanooga’s “Gig City” reputation continues to pay dividends. It’s not just for big companies; it attracts a lot of solo entrepreneurs and startups. Meanwhile, Knoxville is seeing quiet but steady growth in educational technology (ed-tech) and business services. There is also a fascinating niche growing in the region’s investor circles around “Femtech” and medical devices, leveraging the area’s strong healthcare infrastructure.

 

Tips for Landing a Job in East Tennessee

Finding a job here can be a little different than in massive metropolitan areas. In New York, you might rely 100% on headhunters and algorithms. In East Tennessee, the “who you know” factor is still very real.

Network Locally Relationships matter in the South. A resume submitted online often sits in a queue, but a resume handed to a friend of a friend gets an interview. If you are serious about moving, try to visit before you move. Attend a Chamber of Commerce event in Knoxville or a “ChattaNewbies” meetup in Chattanooga. Shaking hands still goes a long way here.

Tailor Your Resume Don’t send a generic blast. Highlight skills that matter to our specific heavy hitters. If you are in operations, mention your logistics software experience. If you are in manufacturing, highlight certifications that apply to automotive or chemical safety. Show that you understand the local industry mix.

Check Local Boards LinkedIn and Indeed are fine, but don’t ignore the direct source. Major employers like ORNL (jobs.ornl.gov) or the Tennessee Valley Authority (tva.com/careers) often post roles on their own portals before they hit the aggregators.

Be Ready to Move Employers here can be wary of “exploratory” out-of-state applicants. They have been burned by candidates who accept a job and then back out because they couldn’t sell their house or got cold feet. If you can put a concrete relocation timeline on your cover letter—or better yet, an address showing you are already in the process of moving to Knoxville—you will be taken much more seriously.

 

Frequently Asked Questions

 

What is the unemployment rate in East Tennessee right now?

As of early 2026, the unemployment rate in Tennessee is hovering around 3.4%. This is a very healthy number that indicates a stable labor market where jobs are available, though the market is slightly less frenzied than it was immediately post-pandemic.

 

What are the fastest-growing industries in Knoxville and Chattanooga?

In Knoxville, the fastest growth is in healthcare services, logistics, and leisure/hospitality due to migration trends. In Chattanooga, advanced manufacturing (batteries and automotive) and technology services utilizing the gigabit network are leading the pack.

 

Is East Tennessee a good place for remote workers?

Absolutely. Between the widespread availability of fiber internet (especially in Chattanooga and areas serviced by electric co-ops) and the low cost of living, it is a top destination. The lack of state income tax also maximizes the take-home pay for remote employees.

 

Does Tennessee have a state income tax on wages?

No, Tennessee does not tax earned income. This is a significant financial benefit for workers, as it can effectively boost your disposable income by 3% to 10% compared to states with income taxes.

 

What is a typical salary for a software developer in East Tennessee?

While it varies by experience and specific tech stack, the average salary for a software developer in Tennessee typically ranges between $101,000 and $120,000. While this may be lower than Silicon Valley, the cost of living difference usually makes the lifestyle comparable or better.