Jobless rate ticks up; job growth slows

The Utah unemployment rate crept up a bit in November, according to data released by the Utah Department of Workforce Services (DWS). The rate rose one-tenth of a percentage point to 2.2 percent.

The nationwide jobless rate stayed the same at 3.7 percent, the U.S. Bureau of Labor Statistics reported.

DWS also reported that Utah’s nonfarm payroll employment for November increased an estimated 2.6 percent from a year ago, with the state’s economy adding a cumulative 43,100 jobs since November 2021. Utah’s current job count stands at 1,688,600.{mprestriction ids="1,3"}

“The Utah economy is settling into some subtle moderation in its economic variables,” said Mark Knold, chief economist at the DWS. “Job growth is not as rapid as it was for most of this year and the unemployment rate, though still very low, is starting to inch upward. Before it was inching downward; now it is inching upward. This is no cause for concern given how low it is. But an eventual upward movement is a normal and expected action. In economics, when an economy performs so powerfully as the Utah economy has over the past two years, an eventual slowing is destined to emerge.”

Utah’s November private-sector employment recorded a year-over-year expansion of 2.6 percent, or a 39,500-job increase. Seven of 10 major private-sector industry groups posted net year-over-year job gains, led by construction (up 14,600 jobs); education and health services (up 9,800 jobs); trade, transportation and utilities (up 9,400 jobs); and leisure and hospitality (up 8,700 jobs). The other services sector recorded no employment change and two sectors had employment contractions, including professional/business services (down 4,100 jobs) and financial activities (down 3,300 jobs).

Additional employment data tables and analysis, including county unemployment rates, can be accessed at https://jobs.utah.gov/wi/update/index.html.{/mprestriction}