Mesa County jobless rate jumps in June

Phil Castle, The Business Times

LIndsay Bullock

The June jump and what’s usually an increase in the monthly unemployment rate in Mesa County continues.

The seasonally unadjusted jobless rate rose eight-tenths of a point between May and June to 3.7 percent, according to the latest estimates from the Colorado Department of Labor and Employment. The increase pushed the latest rate even higher than the 3.4 percent rate posted at this time last year.

“It’s pretty predictable, this jump in June,” said Lindsay Bullock, director of the Mesa County Workforce Center in Grand Junction.

Bullock attributed most of the gain to high school and college graduates who entered the work force, but didn’t immediately find jobs. Some layoffs also occurred.

She expects the unemployment rate to go back down through the summer and fall, although the decreases probably won’t be big ones.

Between May and June, Mesa County payrolls decreased 1,416 to 73,970. The number of people counted among those unsuccessfully looking for work increased 544 to 2,824. The labor force, which includes the employed and unemployed, declined 872 to 76,794.

Over the past year, payrolls edged up 345. The ranks of the unemployed increased 200. The labor force grew 545.

Labor demand as measured by the number of job orders posted at the Mesa County Workforce Center has decreased over the past year. But Bullock said those numbers also reflect employers filling job openings.

For June, 786 job orders were posted. For the first half of 2023, 4,553 orders were posted. Those numbers are down from the 862 orders posted in June 2022 and the 4,968 orders posted during the first half of 2022.

Demand remains strong in some industry sectors, she said, including health care, education and leisure and hospitality.

Following the June jump, the monthly unemployment rate typically trends downward through the summer and fall. Bullock said she doesn’t anticipate big swings in the second half of 2023.

Seasonally unadjusted unemployment rates also increased in neighboring Western Colorado counties in June — nine-tenths of a point to 3.6 percent in Rio Blanco County, six-tenths of a point to 3.7 percent in Delta County, a half point to 3.3 percent in Montrose County and three-tenths of a point to 3 percent in Garfield County.

The statewide seasonally adjusted jobless rate remained unchanged at 2.8 percent. The rate has remained below 3 percent for 14 consecutive months.

Nonfarm payrolls increased 4,700 between May and June with the biggest gains in the leisure and hospitality, manufacturing and professional and business services sectors. Government payrolls increased 1,400.

Since June 2022, nonfarm payrolls increased 42,400 or 1.5 percent. Employment increased 25,000 in leisure and hospitality, 9,900 in professional and business services and 2,900 in educational and health services.  Employment decreased 9,200 in financial activities, 3,500 in information and 1,500 in construction. Payrolls shrank 6,500 in the trade, transportation and utilities sector.

Over the past year, the average workweek for Colorado employees on private payrolls edged up a tenth of an hour to 33.3 hours. Average hourly increased $1.04 to $35.27.