November Jobs Report: ‘Growth Is Lagging’

Connecticut’s private sector job growth has stalled over the past 12 months, renewing concerns about the state’s economic outlook.

The state Department of Labor’s latest employment report shows falling private sector payrolls, along with lackluster overall job growth in the 12 months through November 2025.

Released Jan. 5, the report also highlighted the decline of Connecticut’s labor force, with the state’s high cost of living continuing to undermine recruiting and hiring efforts.

The number of those working and actively looking for work declined by 18,200 (0.9%) since November 2024—in stark contrast to the U.S. labor force, which has grown 1.9% over the same period.

“The long-term trends highlighted by this report paint a concerning picture for Connecticut’s job growth outlook,” said CBIA president and CEO Chris DiPentima.

Labor department research director Patrick Flaherty noted “indications in the private sector and across industries that growth is lagging behind last year.”

Regional, National Trends

Connecticut added just 1,800 jobs (0.1%) in the 12 months through November, with private sector employment declining by 500 (-0.03%).

The state’s overall job growth ranks 37th best in the country and trails the national rate by half a percentage point.

Vermont is the New England region’s best performer in terms of year-over-year job growth, ranked 28th in the country at 0.6%.

Connecticut is next, with Massachusetts unchanged and Rhode Island (-0.1%), New Hampshire (-0.4%), and Maine (-0.7%) all posting 12-month losses.

“With 73,000 openings as of October in Connecticut, it’s clear the jobs are there,” DiPentima said.

“Employers continue to do their part to fill those positions—average weekly earnings are up 5.4% from November 2024, outpacing inflation.”

Labor Force, Unemployment

Connecticut’s labor force was showing signs of strengthening, hitting an all-time high of 1,960,200 in May.

In the six months since, 15,700 people (-0.8%) left the labor force, which is now just 0.2% above pre-pandemic levels.

At 3.9%, Massachusetts has seen the region’s strongest post-pandemic labor force growth, followed by Rhode Island (3%), Maine (1.2%), Connecticut, New Hampshire (0.1%), and Vermont (-0.2%).

The U.S. labor force is 4.3% larger than before the pandemic hit in February 2020.

“These trends put an even sharper focus on the need to address affordability and workforce development in Connecticut,” DiPentima said.

“The 2026 legislative session begins in one month. Making Connecticut a more affordable place to live and do business must be a top priority for our policymakers—addressing the soaring costs of healthcare, childcare, and energy. 

“And it’s critical that we find ways to build workforce training programs and career pathway pipelines to connect residents with meaningful career opportunities.” 

Industry Sectors, Labor Markets

Employment grew in seven of the state’s 10 major industry sectors in the 12 months through November 2025, led by the government sector with 2,300 net new jobs (1%).

Professional and business services added 1,800 jobs (0.8%), followed by other services (1,200; 1.9%), education and health services (1,100; 0.3%), construction (900; 1.4%), financial activities (400; 0.3%), and leisure and hospitality (300; 0.2%).

Employment in the information sector was unchanged in the 12 months through last November.

Trade, transportation, and utilities suffered the biggest year-over-year losses, with the sector contracting by 4,200 jobs (-1.4%).

Manufacturing employment dropped by 2,000 jobs (-1.3%), further highlighting that sector’s workforce challenges.

The Hartford-West Hartford-East Hartford labor market performed the best of any area in the 12 months through November 2025, adding 2,900 jobs (0.5%).

Bridgeport-Stamford-Danbury added 1,500 jobs (0.4%) and Norwich-New London-Willimantic posted a modest 100-jobs gain (0.1%).

Employment in the New Haven area was unchanged, while Waterbury-Shelton lost 400 jobs (-0.2%).