Colorado Employment Situation – June 2021
10,800 Nonfarm Payroll Jobs Added in June;
Unemployment Rate Unchanged at 6.2%
Household survey data
According to the survey of households, Colorado’s seasonally adjusted unemployment rate was flat in June at 6.2 percent. During the same period, the national unemployment rate increased one-tenth of a percentage point to 5.9 percent.
Other highlights from the household survey:
Colorado’s labor force decreased by 2,200 in June to 3,197,100. The share of Coloradans participating in the labor force was 68.5 percent in June, just below the pre-pandemic February 2020 labor force participation rate of 68.7 percent.
The number of individuals employed in Colorado contracted by 200 in June to 2,999,800, which represents 64.3 percent of the state’s 16+ population. Colorado’s employment-to-population ratio has gradually improved since April 2020, when it was 57.0 percent, but is still well below the pre-pandemic level of 66.8 percent.
The Colorado counties with the highest unemployment rates in June were: Huerfano (8.8%), Pueblo (8.7%), Gilpin (7.2%), San Miguel (7.2%), and Fremont (7.2%). County-level unemployment rates are not seasonally adjusted and are directly comparable to Colorado’s June unadjusted rate of 6.3 percent.
Establishment survey data
Employers in Colorado added 10,800 nonfarm payroll jobs from May to June for a total of 2,719,600 jobs, according to the survey of business establishments. Private sector payroll jobs increased 10,500 and government added 300 jobs. Over the past 14 months, Colorado has gained back 276,400 of the 375,800 nonfarm payroll jobs lost between February and April of last year. That translates to a job recovery rate of 73.5 percent, which exceeds the U.S. rate of 69.8 percent.
Other highlights from the establishment survey:
May estimates were revised up to 2,708,800, and the over the month change from April to May was a gain of 17,500 rather than the originally estimated increase of 17,100 (monthly revisions are based on additional responses from businesses and government agencies since the last published estimates).
Private industry sectors with significant job gains in June were: leisure and hospitality (~5,300), professional and business services (~3,300), and trade, transportation, and utilities (~1,000). There were no significant private sector over the month declines.
Since June 2020, nonfarm payroll jobs have increased 154,100, with the private sector growing by 143,900 jobs and government adding an additional 10,200 jobs. The largest private sector job gains were in leisure and hospitality (~67,300), trade, transportation, and utilities (~32,600), and professional and business services (~21,100). During that same period construction (~2,100), information (~600), and mining and logging (~500) payroll jobs declined. Colorado’s rate of job growth over the past year is 6.0 percent, compared to the U.S. rate of 5.7 percent.
Over the year, the average workweek for all Colorado employees on private nonfarm payrolls increased from 33.7 to 33.9 hours, while average hourly earnings increased from $30.35 to $31.58, a dollar and eighteen cents more than the national average hourly earnings of $30.40.
All Colorado estimates from the establishment and household surveys, including greater geographic detail, are available at: www.colmigateway.com. Estimates for all states and the nation are available at: www.bls.gov.
The July 2021 Colorado Employment Situation will be released at 8:00 AM on Friday, August 20, 2021. The full schedule of release dates for calendar year 2021 estimates is available at http://www.colmigateway.com.
This release provides information on industry employment and labor force statistics for June 2021, the most current estimates available from the Colorado Department of Labor and Employment. The reference period for the establishment and household surveys was the pay period or week that includes the 12th of the month. Therefore, this release provides an estimate of Colorado’s employment situation as vaccination rates among the adult population continued to increase and pandemic-related restrictions were relaxed for businesses across the state. For Colorado unemployment insurance claims activity and related statistics, visit www.colmigateway.com. For information regarding impacts to Bureau of Labor Statistics data collection and processing during the pandemic, go to www.bls.gov/bls/bls-covid-19-questions-and-answers.htm.
The unemployment rate, labor force, labor force participation, total employment and the number of unemployed are based on a survey of households. The total employment estimate derived from this survey is intended to measure the number of people employed.
Nonfarm payroll jobs estimates are based on a survey of business establishments and government agencies, and are intended to measure the number of jobs, not the number of people employed. Other series based on this survey include private sector average weekly hours, average hourly earnings and average weekly earnings.
The business establishment survey covers about seven times the number of households surveyed and is therefore considered a more reliable indicator of economic conditions. Because the estimates are based on two separate surveys, one measuring jobs by worksite and the other measuring persons employed and unemployed by household, estimates based on these surveys may provide seemingly conflicting results.