Mesa County jobless rate trends upward

Phil Castle, The Business Times

The unemployment rate continues to trend upward in Mesa County, although slow job growth also is expected in the months and years ahead.

LIndsay Bullock

The seasonally unadjusted jobless rate edged up a tenth of a point to 3.8 percent between June and July, according to the latest estimates from the Colorado Department of Labor and Employment.

The unemployment rate has increased a total of more than a point since falling in April to 2.7 percent and the lowest level in more than three years. For July 2022, the rate was lower at 3.3 percent.

Between June and July 2023, Mesa County payrolls actually increased 295 to 74,440. But the number of people counted among those unsuccessfully looking for work also increased — 112 to 2,962. The labor force, which includes the employed and unemployed, grew 407 to 77,402.

Over the past year, payrolls increased 577. The ranks of the unemployed increased 467. The labor force grew 1,044.

Lindsay Bullock, manager of the Mesa County Workforce Center in Grand Junction, attributed higher unemployment to a number of factors. The jobless rate typically jumps in June as high school and college graduates enter the work force, but don’t immediately find jobs.

Bullock said demand that increased during the COVID-19 pandemic and kept local manufacturers busy since has relented. As a result, those employers haven’t refilled open positions.

Labor demand as measured by the number of job orders posted at the Mesa County Workforce has decreased.

For July, 742 job orders were posted for a total of 1,551 openings. That’s down from 851 orders for a total of 1,571 openings posted during the same month a year ago. Through the first seven months of 2023, 5,295 job orders were posted. That’s down from 5,819 orders posted during the same span in 2022.

Demand remains strongest in the health care and service sectors, Bullock said.

Looking ahead, Bullock said she expects the labor force to increase, although by small amounts. The monthly jobless rate typically trends downward through the remainder of the summer and fall, she said. “I don’t see any huge spikes in our unemployment rate.” 

Seasonally unadjusted unemployment rates constituted something of a mixed bag for neighboring Western Colorado counties in July. The jobless rate rose two-tenths of a point to 3.5 percent in Montrose County and slipped a tenth of a point to 3.5 percent in Rio Blanco County. Rates held steady at 3.8 percent in Delta County and 2.9 percent in Rio Blanco County.

The statewide seasonally adjusted unemployment rate edged up a tenth of a point to 2.9 percent. The rate has remained below
3 percent for 15 consecutive months.

Nonfarm payrolls increased 800 between June and July as an increase of 2,700 government jobs more than offset a decrease of 1,900 private sector jobs.

Over the past year, nonfarm payrolls increased 38,800. Employment increased 18,000 in leisure and hospitality, 8,900 in professional and business services and 2,800 in health services. Employment decreased 7,100 in financial services, 3,000 in construction and 2,000 in the information sector. Payrolls also decreased 5,400 in the trade, transportation and utilities sector.

The average workweek for Colorado employees on private, nonfarm payrolls lengthened four-tenths of an hour to 33.5 hours. Average hourly earnings rose $1.31 to $35.91.