Bob Gee Texas employment growth slowed sharply in February, per a new report from the Federal Reserve Bank of Dallas . Why it matters: Lower immigration is constraining the state's labor supply, while higher productivity is leading to less demand for labor. The big picture: Texas added 3,800 jobs in February, growing an annualized 0.3 percent. The Dallas Fed now expects Texas jobs will increase roughly 1% in 2026, Torres said.