While September saw a decline in jobs, the Connecticut Department of Labor reports the state”™s unemployment rate continues to fall this year.
According to a recent report from the U.S. Bureau of Labor and Statistics, Connecticut lost 7,600 jobs, 0.45 percent ”” seasonally adjusted ”” last month to a level of 1,693,500. This is the first monthly non-farm jobs decline in five months for the state.
Despite this setback, the state is now estimated to have added a healthy 27,000 non-farm positions, 1.62 percent, over the year.
In addition, August”™s initially estimated non-farm job gain of 3,200, 0.19 percent, was revised much higher to a 5,400, 0.32 percent, increase that put the state”™s estimated seasonally adjusted non-agricultural employment above 1.7 million for the first time in Connecticut’s recovery from the Great Recession.
The reported unemployment rate has also decreased. Calculated using residential survey data from the Current Population Survey, the rate was estimated at 5.2 percent, seasonally adjusted, for this past September. This is down one-tenth of a percentage point from the revised August figure of 5.3 percent and down one and a tenth of a percentage points from the September 2014 unemployment rate of 6.3 percent.
According to the report, Connecticut”™s unemployment rate has not been this low since April 2008, when it was 5.2 percent, and the number of unemployed residents has now fallen below 100,000Â for the first time since April 2008.
“September job losses were widespread, but annual job growth still remains relatively strong,” Andy Condon, director of the Office of Research, said. “Some of the apparent decline is due to technical seasonal adjustment issues and does not represent actual job loss. This is particularly true in the education-related sectors.”
Only two major industry supersectors added jobs in September.
The leisure-and-hospitality supersector added 2,400 jobs for an increase of 1.5 percent and was the leading employment gainer. Within this supersector in September, the arts, entertainment and recreation components gained 400 jobs, a 1.5 percent increase, and the accommodation and food services components had strong showings with a gain of 2,000 jobs for a 1.6 percent increase.
The leisure-and-hospitality supersector also leads all major industry supersector job growth over the year with 7,500 jobs added, a five percent increase.
Financial activities was the only other supersector to grow in September with an increase of 100 jobs or 0.1 percent.
The education and health services supersector was the largest of seven declining major industry supersectors in September, losing 3,500, a one percent decrease, representing about 46.1 percent of the overall total monthly job decline.
Within this supersector, education services, down 1,700 jobs and 2.6 percent, and health services, which shed 1,800 jobs, or 0.7 percent, were both seasonally weak, but together posted a 3,100 gain in August that was offset in September as schools opened well before Labor Day.
Because of this early start, it is likely the seasonal adjustment process overstated education employment in August and understated September numbers, according to the labor and statistics bureau.
The trade, transportation and utilities supersector was the second largest job loser, 2,500 jobs for a decrease of 0.8 percent. Wholesale trade, retail trade and, transportation and utilities segments were all lower.
Construction and mining, professional and business services, government, information and manufacturing supersectors also all saw job losses in September.
According to the bureau, Connecticut has now recovered 99,500 positions, or 83.6 percent of the 119,000 seasonally adjusted total non-farm jobs that were lost in the state during the March 2008 to February 2010 employment recession.
The private sector has recovered employment at a faster clip, approximately 1,572 per month, and has now regained 105,300, 94.4 percent, of the 111,600 private sector jobs lost during the downturn.
A total of 6,300 more positions are needed to have a fully restored private sector.
