Connecticut employers added 900 jobs in August, pushing private sector employment to a new record high of 1.48 million positions, the state Department of Labor announced Thursday.
The job gains come as Connecticut’s unemployment rate held steady at 3.8%, well below the national rate of 4.3%. However, the state’s labor force declined for the third consecutive month, dropping by 4,100 people in August.
Also, the department revised July’s job gains upward to 800 from the initially reported 700.
“Despite volatility in the national numbers, Connecticut’s economic indicators remain steady,” Department of Labor Commissioner Danté Bartolomeo said.
Total employment across all sectors remained about 700 jobs short of the 2008 pre-recession peak.
State labor officials noted that when factoring in gig economy workers, more people are actually working in Connecticut now than before the financial crisis.
“Connecticut continues to see stable, sustainable growth,” said Patrick Flaherty, the DOL’s director of research. “Private sector payrolls hit new highs last month and total jobs — public and private sector — are only off their 2008 all-time high by about 700 payroll jobs.”
The consecutive labor force declines have caught officials’ attention, particularly given increased federal immigration enforcement activity. About 20% of Connecticut’s workforce consists of workers born outside the U.S. and Puerto Rico, according to state data.
“CTDOL is closely monitoring labor force data after August posted a 4,100 decline,” Bartolomeo said. “Labor force data fluctuations aren’t unusual; however, CTDOL is aware of increased federal immigration activity that may also impact work-authorized immigrants.”
The state’s labor force participation rate dipped slightly to 64.6% in August, though it remained above the national rate of 62.3%. Connecticut has about 80,000 job openings available and roughly 34,000 people filing unemployment claims — a level consistent with pre-pandemic volumes, according to the report.
Federal government employment in the state declined by 100 positions in August, while the broader public and private sectors showed growth.
