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Connecticut government jobs fall

Posted on November 30, 2013

According to recent labor statistics, the number of Connecticut government jobs declined slightly to fall to a seasonally adjusted level of 1,650,700.

According to the state’s labor department, Connecticut’s unemployment rate declined by one-tenth of a percentage point sequentially in both October and September to 7.9% from 8.1% in August even as nonfarm payroll jobs in the state declined.

Nonfarm employment was lower by 4,100 (-0.2%) in September but essentially flat (-100, -0.01%) in October as the federal government shutdown ended mid-month. The private sector actually added positions (+1,000) in October despite the slight overall nonfarm jobs decline.

September and October job declines may have been impacted by a combination of uncertainty leading up to the federal shutdown and seasonal adjustment issues in public education (reported in local government).

The unemployment rate is down five-tenths of a percentage point since October 2012 (8.4%) while nonfarm jobs have increased by 10,000 (0.6%) positions over the year.

“The September and October reports are sending mixed signals about Connecticut’s labor markets,” said Andy Condon, Director of the Office of Research. “The weeks leading up to the federal government shutdown, evidently, led to increased economic uncertainty and hiring indecision across the state. On a positive note, the state’s unemployment rate has declined for two months in a row primarily driven by a reduced number of unemployed individuals.”

Preliminary October job estimates disclose a very small nonfarm employment decline, losing just 100 positions (-0.01%) to fall to a seasonally adjusted level of 1,650,700. All of the decline came from the government sector as the private sector jobs grew by 1,000 (0.1%). Connecticut has now added 10,000 total nonfarm jobs (0.6%) since October 2012. Private sector hiring has been more active over the year, adding 11,600 positions (0.8%).