CT DEPT. OF LABOR RELEASES ANNUAL JOBS REPORT: 2021 JOB GROWTH
STRONGER THAN ESTIMATED, UNEMPLOYMENT BENCHMARKED TO 5.1%
January Labor Data Reflects Omicron Disruptions
(Wethersfield, CT) – Today, Connecticut Department of Labor (CTDOL) Commissioner Danté Bartolomeo and the CTDOL Research Unit Director Patrick Flaherty released both the annual benchmark labor numbers for 2021 as well as the January 2022 jobs report. The benchmark data, based on actual employer wage records from 2021, indicates that Connecticut job growth was stronger than previously estimated and the unemployment rate was lower than previously estimated. Currently, Connecticut’s seasonally adjusted unemployment rate is 5.3%, a full two points lower than it was a year ago.
Commissioner Bartolomeo said, “We’ve seen significant economic recovery over the past year—businesses hit hard by the pandemic are coming back; hiring is up; and the unemployment rate is down; it’s good news for the state’s economy and for the workforce. The numbers released today highlight the underlying strength of the economy and continued good news for job seekers. There are challenges ahead of us—it’s important to keep the virus in check to keep the economy growing, and we must continue efforts to attract workers to Connecticut.”
CTDOL Director of Research Patrick Flaherty said, “These reports bear out what we saw throughout the year; when infection rates increase, the economy contracts. The data also reflect what employers have been reporting—they are having a tough time finding workers. Despite these challenges, we see solid growth in some of our key industries such as manufacturing and construction. This highlights the need to attract workers to Connecticut, and to ensure the workers we have are trained for the
jobs we have”
TOPLINE POINTS FROM THE BENCHMARK REPORT:
- The unemployment rate was lower than estimated. The revised rate was 5.1% in December, below the 5.8% previously estimated. As of January 2022, Connecticut’s unemployment rate is estimated at 5.3%. The increase from December is likely due to the economic impact of the Omicron variant.
- More jobs were added in Connecticut than estimated:
- From December 2020 to December 2021, job growth was 55,411, up from the 51,000 previously estimated.
- From January 2021 to January 2022, jobs grew by 51,000.
TOPLINE POINTS FROM THE JANUARY JOBS REPORT:
- Omicron likely impacted economic growth in December and January. December 2021 jobs were revised down for a net loss of 500 jobs. The data estimates that Connecticut lost 700 jobs in January.
- Connecticut has recovered 225,500 jobs, ~78% of the 289,400 jobs lost during the March-April 2020 Covid-19 closures.
- Industries continue to show uneven growth with some well above pre-pandemic levels (construction and transportation and warehousing), and others well below pre-pandemic levels (childcare and nursing homes.)
- Restaurants and retail sectors continue to improve.
- Finance and insurance sectors continue to decline likely due to technology improvements and bank mergers.
- January jobs, impacted by Omicron, decreased by 700 jobs but are overall 51,000 higher than January 2021.
#DOLDaily video with economist Patrick Flaherty: Major Takeaways from the Labor Report.
The 2021 benchmark numbers are the revised figures based on actual employer data that is estimated through the monthly jobs surveys throughout the year.
For Immediate Release: March 11, 2022