Connecticut payrolls hit a record in July, but a shrinking labor force and 5.2% unemployment rate complicate the state’s jobs picture.
Connecticut employers added an estimated 2,800 jobs in July, pushing payroll employment to a record high, even as the state's unemployment rate remained elevated and its labor force continued to shrink.
The state had 1.73 million payroll jobs in July, up 13,800, or 0.8%, from a year earlier, according to new data from the Connecticut Department of Labor.
At the same time, Connecticut's unemployment rate held at 5.2% in July, unchanged from June but up significantly from 3.9% a year earlier. The national unemployment rate was 4.1% in July.
Connecticut's labor force declined by about 6,300 people in July, to approximately 1.88 million. The number of employed residents fell by about 7,100, while the number of unemployed residents increased by roughly 800.
Education and health services led July's job gains, adding 2,500 positions. Professional and business services added 1,100 jobs, manufacturing gained 500 and construction and mining added 400.
Those gains were partially offset by losses in trade, transportation and utilities, which shed 1,100 jobs. Financial activities lost 200 positions, while leisure and hospitality declined by 100.
The state also revised its June employment estimate upward, showing employers added 2,700 jobs that month, compared with an initial estimate of 1,500.