Muristek
California employers add 84,800 new hires; unemployment rate drops to 3.9%
By SETH SANDRONSKY
THE CENTER SQUARE CONTRIBUTOR
(The Center Square) – Employers in California added 84,800 nonfarm payroll jobs in July, an increase from an upward revised (+17,400) month-over gain of 37,300 new hires in June, according to the state Employment Development Department. In July, the Golden State’s unemployment rate dipped to 3.9% versus June’s 4.2%.
“Californians are getting back to work with record low unemployment,” said Gov. Gavin Newsom in a prepared statement. “We have historic reserves and we’re putting money back in people’s pockets as we continue to lead the nation’s economic recovery.”
Meanwhile, the nation’s unemployment rate dropped to 3.5% in July from 3.6% in June. U.S. employers added 528,000 new hires in July compared with 372,000 jobs in June.
“Both total nonfarm employment and the unemployment rate have returned to their February 2020 pre-pandemic levels,” according to the federal BLS.
Back in the Golden State, private employers have completely recovered from pandemic job losses, according to the state EDD. In contrast, government employment has not fully regained its pre-pandemic levels.
On July, 10 of California’s 11 industry sectors gained nonfarm payroll jobs. Topping the list are professional and business services, and education and health services, with each sector gaining 20,500 new hires in July, with year-over additions of 137,800 and 96,600 jobs, respectively.
Leisure and hospitality services added 14,900 new hires in July, with a year-over increase of 172,600 jobs, to lead the way. This sector took a catastrophic hit to employment during the coronavirus pandemic lockdown that Gov. Newsom enacted in March 2020.
Financial activities employment shed 1,900 month-over job losses in July. A reduction in insurance carriers is the culprit, according to the EDD.
Farm employer payrolls grew in July by 1,400 jobs versus June, with a year-over change of 6,700 new hires since 2021, according to the EDD. In the meantime, Gov. Newsom has sounded an alarm on the impacts of worsening drought on California agriculture, a major employer.
Meanwhile, California’s unemployment rate across its 58 counties varied, from a low of 1.9% in San Mateo County south of San Francisco to a high of 14.2% in Imperial County east of San Diego. The trend of California’s coastal communities having lower unemployment rates compared with inland areas continues.
The post California employers add 84,800 new hires; unemployment rate drops to 3.9% appeared first on Santa Barbara News-Press.