Modest job growth in May, but ‘headwinds’ persist

Connecticut private sector employers added 2,400 jobs in May as the state’s unemployment rate was 8 percent for the fourth straight month, the state Department of Labor reported this morning.

With government employment decreasing by 1,400 in May, Connecticut added just 1,000 nonfarm jobs after nonfarm employment grew by 6,400 in April.

Over the past year, Connecticut has added an average of 1,040 nonfarm jobs a month. The state’s unemployment rate has fallen four-tenths of a percentage point from May 2012.

With the exception of February, when a blizzard affected monthly jobs numbers, Connecticut “has been experiencing consistent job growth so far this year,” said Andy Condon, research director for the Labor Department, in a release. “The upward turn in labor force participation, after 35 straight months of decline, may indicate increased confidence in labor market conditions.

“However, there are still headwinds ahead. Federal budget sequester cuts could hinder employment growth possibilities throughout the rest of 2013,” Condon continued.