Mature cannabis markets see job losses as emerging states boom

Despite a 4.5% increase in revenue that reached $30.1 billion in 2024, the regulated marijuana industry experienced a 3.4% decline in employment, shedding 15,000 jobs to settle at 425,000 workers.

The trend signals that cannabis operators are recalibrating in response to economic conditions, market saturation leading to price compression and burdensome state and local taxes that push consumers to unregulated markets, according to Vangst’s “U.S. Cannabis Jobs Report 2025.”

But it’s important to look at individual regulated markets rather than the United States as a whole, said Portland, Oregon-based cannabis data analyst Beau Whitney, who wrote the report for Vangst, an cannabis industry recruitment platform in Denver.

“Mature markets are atrophying and seeing declining revenue because of price compression,” Whitney told MJBizDaily.

“In Oregon, we have so many licenses and so much oversupply that people just aren’t making it anymore.

“When you’re struggling just to survive, it’s really tough to add workers.”

While many cannabis businesses in mature markets are cutting jobs, emerging markets such as Maryland, New York and Ohio are experiencing job growth.

New York added 743 new adult-use marijuana licenses, which translated into a 209% increase in jobs.

But mature markets, particularly California and Illinois, are experiencing significant declines:

“People just aren’t making any money in this space anymore,” Whitney said.

“It takes a long time to get a license and approvals, and people just run out of cash.”

U.S. wages top Canada’s

In a separate report, White Ash Group looked at salaries for cannabis industry workers.

The Toronto-based staffing and recruiting firm’s report, “The 2025 Cannabis Industry Salary Guide,” found that salaries for marijuana employees in the United States outpace those in Canada by up to 20% – especially in newer markets.

“In Canada, it’s been legal for a long time, so things are settling down,” said Graydon Welbourn, the managing partner and co-founder of White Ash Group.

“The sentiment in the U.S. is that it’s still an exciting green rush opportunity.”

Another explanation for the higher salaries is a greater cost of living in the United States, he said.

Salaries for leadership roles in the United States have increased by 10%-15% compared to 2023, especially in high-demand markets including California and New York.

Western U.S. markets such as California and Colorado offer slightly higher base salaries, while newer East Coast markets including New Jersey and New York offer significant equity incentives to attract leadership talent.

Location, location, location

Salaries also differ by location.

A master grower in California can expect to earn $95,000 to $125,000; in Colorado, the range is $75,000 to $95,000.

The salary for retail store managers in California ranges from $70,000 to $95,000 compared with $55,000 to $75,000 in Arizona.

The hourly rate for entry-level budtenders in California is $17-$23 but drops to $15-$18 in Colorado.

Canada is seeing an uptick in international positions as the country’s cannabis producers focus on overseas markets.

Positions in international business development have a different pay structure than similar positions domestically because the supply chain is more complicated and the laws are different, Welbourn said.

“There are a lot of companies that just grow flower for other countries – they don’t even bother selling it in Canada,” Welbourn said.

“A lot of these companies are starting to have an international strategy.”

Margaret Jackson can be reached at margaret.jackson@mjbizdaily.com.