Springs-area jobless rate stuck at 9 percent

Indicators measuring the Colorado Springs area job market presented a mixed picture during December: The unemployment rate remained unchanged from November, even as local payrolls fell during the same period to their lowest level in more than 12 years.

The 9 percent jobless rate in both November and December remains the lowest in more than two years and is down sharply from a record 10 percent last February, according to data released Wednesday by the U.S. Bureau of Labor Statistics. But it’s still more than double the rate seen in the Springs before the latest recession hit.

While the unemployment numbers reflect a job market that has leveled off, the payroll data indicate the local economy hemorrhaged jobs in December. Payroll data from the Colorado Department of Labor and Employment shows area payrolls in December fell 1.5 percent from a year earlier to 241,900, the lowest monthly total since July 1999.

The unemployment and payroll data come from different sources — payroll numbers come from a survey of employers, while the unemployment numbers are based on a survey of households.

Joseph Winter, an economist with the state labor department, said payroll numbers for Colorado Springs likely will be revised higher next month as data from quarterly reports filed by employers replace the survey estimates. Quarterly reports for the first half of 2011, the latest data available, show area payrolls began expanding in the final quarter of 2010 with growth accelerating during much of the first half of last year.

“You can expect an upward revision from what was first reported for the Colorado Springs area, but there still has been some slowing in employment growth during the fourth quarter of 2011, particularly in the hospitality and professional services industries,” Winter said.

“Colorado Springs is similar to the state because as the economy moves into positive territory, there is a lot of volatility.”

Unemployment rates among the state’s metropolitan areas in December mostly declined from November, though the Denver area also remained unchanged at 8.2 percent. Boulder reported the lowest rate at 6.1 percent, while Pueblo reported the highest  at 9.8 percent. Colorado’s jobless rate  fell to 7.9 percent in December, matching November 2009 as the lowest rate in the previous 25 months.

Unemployment rates fell in December all but 43 of the nation’s 372 metro areas, the Bureau of Labor Statistics said.
—
Contact Wayne Heilman: 636-0234 Twitter @wayneheilman
Facebook Wayne Heilman