Colorado’s unemployment rate rose one-tenth of a percentage point to 3.9% in July, despite an acceleration in hiring, according to a monthly update from the Colorado Department of Labor and Employment released Friday.

The number of unemployed in the state rose by 1,800 from June to 126,300 in July. Colorado’s unemployment rate remains below the U.S. rate of 4.3%. The number of employed people in the state rose by 5,500 last month.

State employers added 4,800 nonfarm jobs last month, including 2,500 in the private sector and 2,300 in the public sector, more than triple the 1,500 net hires between May and June.

Broomfield-based economist Gary Horvath described July’s gains as “dull and broad-based,” but called them positive given the nationwide slowdown in hiring.

“On a positive note, 14 of 19 sectors covered in the Colorado employment analysis reported gains in July, suggesting that businesses are hiring on a limited basis rather than laying off. The change in employment in July was modest. More importantly, it was broad-based,” Horvath said in an email.

The largest increases in the private sector were in trade, transport and utilities, with an increase of 4,100 jobs. The largest losses were in the manufacturing sector, where 1,000 jobs were cut in July.

Last year, the state created 43,200 new jobs, including 24,800 in the private sector and 18,400 in the public sector. The largest contributors to annual job growth were education and health services, with an increase of 11,600, and professional and business services, with an increase of 7,400.

The construction sector recorded the largest job losses during the year, with 4,200 jobs, followed by the information sector with a loss of 2,800 jobs.

According to the report, Colorado’s annual job growth rate is 1.5 percent, just below the U.S. rate of 1.6 percent.

Originally published: August 20, 2024 at 2:37 pm