Job gains slow in Colorado as COVID-19 cases rise again

Colorado’s unemployment complaint dipped beneath 6% successful August, its lowest level since the pandemic started successful March of past year, contempt a important slowdown successful hiring, according to a monthly update from the Colorado Department of Labor and Employment.

The state’s seasonally adjusted unemployment complaint fell to 5.9% successful August from 6.1% successful July, according to a survey of households. Colorado tied for the 35th lowest unemployment complaint with Texas and Maryland and its complaint remains supra the U.S. complaint of 5.2%.

The state’s labour unit decreased by 2,300 successful August, but the fig of employed individuals roseate by 4,700. Of the colonisation implicit 16, 64.2% are moving oregon actively looking for work, the seventh highest complaint successful the country.

Colorado employers added 5,600 nonfarm jobs betwixt July and August, which was astir 45% of the 12,200 nonfarm jobs added betwixt June and July. Initial estimates had pegged July’s monthly occupation gains astatine 14,400, but downward revisions, particularly successful retail, lowered the count.

“At this point, it is not known what is causing the slowdown,” said Ryan Gedney, a elder labour economist with the department.

COVID-19 cases nationally quadrupled betwixt the week erstwhile the July employment numbers were tallied and the week successful mid-August erstwhile the existent number took place. But proviso issues are inactive weighing connected immoderate sectors and employers successful galore industries look labour shortages, which whitethorn beryllium resulting successful positions staying unfilled.

Broomfield economist Gary Horvath said helium has noticed a slowdown successful radical eating out, with tables easier to onshore than earlier this summer. In the archetypal 7 months of the year, Colorado employers were adding an mean of 14,700 jobs a month, truthful the summation of lone 5,600 jobs successful August is significant. But the gait remains supra the gains of 5,000 jobs a period averaged earlier the pandemic, helium said.

“It is simply a relation of the summation successful COVID-19 cases. The fig of hospitalizations and cases is akin to aboriginal January,” helium said.

Of the jobs added successful August, 5,000 were successful the backstage sector, portion the nationalist assemblage added 600. Colorado has regained 293,400 of the 375,800 jobs mislaid betwixt February and April of past year, a betterment complaint of 78.1% that remains up of the U.S. betterment complaint of 76.2%.

The sectors with the biggest monthly gains were leisure and hospitality, up 3,700; different services, up 1,900; nonrecreational and concern services, up 1,500; trade, transportation, and utilities, up 1,100.  Education and wellness services nonaccomplishment 1,600 jobs and fiscal activities mislaid 1,200.

Gedney noted that leisure and hospitality employment was level nationally past month, truthful Colorado bucked the trend, with particularly beardown hiring successful nutrient service.

Over the past year, the authorities had added 117,400 jobs, led by a summation of 47,100 successful leisure and hospitality and 24,500 successful nonrecreational and concern services. Over the past year, operation has shed 2,200 jobs and manufacturing has dropped 600 payroll jobs. The state’s yearly complaint of occupation maturation is astatine 4.5%, somewhat supra the U.S. complaint of 4.3%.

Next month’s study should supply immoderate aboriginal but not definitive insights into whether unemployed workers who mislaid national unemployment benefits connected Sept. 4 recovered jobs, remained unemployed oregon dropped retired of the labour force. It should besides item however the delta variant is impacting hiring and concern operations.