Utah’s economy continues to grow while reducing unemployment – Cache Valley Daily

FILE PHOTO: Image by Ronald Carreño from Pixabay

LOGAN — The number of jobs added to Utah’s economy continues to grow while the state’s unemployment claims continue to decline. According to the Utah Department of Workforce Services employment summary for May 2022, which was released last week, Utah’s nonfarm payrolls increased 3.5% over the past 12 months, adding a total of 55,500 jobs since May 2021.

Over the past year, Cache County has surpassed the Utah average with a 3.8% increase in jobs. Box Elder County also saw its labor force increase by 2.4%. Utah’s economy, overall, remains one of the strongest in the country.

Statewide, eight of Utah’s top ten private sector industry groups posted year-over-year net job gains, led by commerce, transportation and utilities (11,100 jobs); Leisure & Hospitality (10,800 jobs); construction (8,100 jobs); and education and health services (7,500 jobs). The two that recorded job contractions are professional and business services (-500 jobs); and financial activities (-400).

Nationally, the May jobs report showed a slight slowdown in growth. The economy gained 390,000 non-farm payroll jobs, down from 436,000 the previous month. In May, there were notable gains in sectors such as Leisure and Hospitality, Transportation and Warehousing, and Professional and Business Services (contrasting to Utah which saw a slight decline in that sector).

“Utah’s economic performance continues to advance at a solid pace,” said Mark Knold, chief economist at the Utah Department of Workforce Services. “The unemployment rate remains at a historic low and job growth remains one of the best in the country. Employment growth rate slowed over the year. This is expected and reflects current performance relative to a rapidly improving Utah economy a year ago. As this year progresses, the more the economy improves compared to a year ago, the more job growth this year will tend to decline. We expect that by the end of the year, Utah’s employment growth rate will be around its annual average of 3.0%. »

According to personal finance site WalletHub, the U.S. unemployment rate sits at 3.6%, which is still slightly higher than it was before the pandemic, but well below the near all-time high of 14. 7% in April 2020. This overall decline can largely be attributed to a combination of vaccinations and states removing restrictions. However, it will take us longer to bring the unemployment rate back to pre-pandemic levels than it took for the virus to reverse over a decade of job growth.

Graph of annual percentage change in non-farm payrolls in Utah. Illustration courtesy of Utah Department of Workforce Services.

In order to identify the states with the most rebounding unemployment rates, WalletHub compared the 50 states and the District of Columbia based on six key metrics that compare unemployment rate statistics from the last month for which data is available. (May 2022) on key dates. in 2019, 2020 and 2021.

According to WalletHub analysis, Utah ranks 6th among all states and Washington, DC with the best rebound in unemployment. Utah’s numbers are as follows:

  • Unemployment rate in May 2022: 2.0%
  • Evolution of unemployment May 2022 vs May 2019: -18.3%
  • Change in unemployment May 2022 vs January 2020: -18.2%
  • Change in unemployment May 2022 vs May 2020: -72.3%
  • Evolution of Unemployment May 2022 vs May 2021: -28.4%
  • Non-seasonally adjusted continuing claims May 2022 vs May 2019: -21.9%

Among Utah’s neighbors, Montana ranked 8th, Idaho 12th, Arizona 14th, Wyoming 26th, Colorado 36th, Nevada 47th and New Mexico 50th.

In order to determine the states whose unemployment rates are rebounding the most, WalletHub focused on two categories. In the first category, they compared the evolution of unemployment from the last month for which they had data (May 2022) to May 2019, May 2020, May 2021 and January 2020, in order to show the impact since 2019 and since the start of the pandemic. They also compared unadjusted continuing claims from May 2022 to May 2019. In the second category, they looked at the state’s overall unemployment rate and then used the average of those categories to rank the states.

The data used to create this ranking was obtained from the US Bureau of Labor Statistics and the US Department of Labor.





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