Jobs Numbers: Strengths and Weaknesses
Looking for signs of economic recovery? Connecticut’s June jobs numbers don’t provide much clarity, with the state adding 1,400 positions as the unemployment rate rose to its highest level this year.
It’s the second straight month of gains, following the 1,400 jobs added in May.
However, the unemployment rate also increased for the second straight month, rising three-tenths of a point to 8.1 percent. The national unemployment rate is 8.2 percent.
Connecticut’s Department of Labor reported that the private sector added 5,000 jobs in June while the government sector (which includes casinos) lost 3,600 jobs.
“June’s mixed results are a mirror of the strengths and weaknesses of the current job market,” said Andy Condon, director of the agency’s Office of Research.
“Overall job growth is slow, though the private sector continues to show a decent recovery. Unfortunately, the jump in our unemployment rate indicates we are not growing jobs fast enough to satisfy the need in our economy.”
Educational and health services led all sectors, with 3,800 new positions, followed by the 2,000 jobs added in the leisure and hospitality industries. The manufacturing sector added 400 jobs, as did construction.
Other services (-600), financial activities (-500), information (-400), and transportation and public utilities (-300) all declined.
Winners and losers
“If you take a look across the various sectors that were impacted, there were a lot of winners and there a lot of losers,” said CBIA economist Pete Gioia.
“What we have here is really a mixed picture, but probably a picture that’s a little better than we might have expected considering the very tepid numbers we’ve seen at the federal level.”
Connecticut added 8,800 jobs over the last 12 months, a gain of 0.5 percent. The winners over that period:
- Education and health services (11,700; 3.7%);
- Trade, transportation, and utilities (3,000; 1%);
- Leisure and hospitality (2,600; 1.9%);
- Professional and business services (1,300; 0.7%);
- Information (300; 1%);
- Government (-4,400; -1.9%);
- Financial actitivities (-3,000; -2.2%);
- Other services (-1,600; -2.6%);
- Manufacturing (-600; -0.4%);
- Construction and mining (-500; -1%).
New Haven leads all labor market areas in job growth, adding 3,600 positions since June 2011. Bridgeport-Stamford-Norwalk added 2,200 jobs, followed by Waterbury (1,900), Danbury (1,200), and Hartford (1,100).
Norwich-New London was the only area to lose jobs, shedding 1,900 positions, or 1.5 percent, over the last 12 months.
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