The world’s economic woes this summer took their toll on Colorado, costing the state 1,800 nonfarm jobs last month, according to an employment report out Friday.
The losses, while not large, reversed a four-month streak of month-over-month gains that had created more than 15,000 jobs since March.
Given all the volatility in global markets and zero job growth in the U.S. last month, Colorado’s job losses aren’t a surprise, said Alexandra Hall, the state’s chief labor economist.
“At this stage we are right on the fence. It is too early to say we know we are heading into another recession, but we are sitting on a knife’s edge,” Hall said.
Job cuts were concentrated in the private sector, which shed 2,300 jobs in August, according to the report from the Colorado Department of Labor and Employment.
Government employers, who had been mostly shedding jobs because of tight budgets, added 500 positions in August on a seasonally adjusted basis.
The report showed an unusually large loss of 4,000 tourism and hospitality jobs last month even after accounting for seasonal trends.
Employers were surveyed midmonth, well before tourism operators would have started winding down, given the later start to the season in the mountains.
At the other extreme, the construction sector added 3,000 jobs in August, an unusually large surge for so late in the summer.
Although more multifamily dwellings are under construction and drivers can attest to the proliferation of “cone zones,” it is too early to call the big jump a trend, Hall said.
Colorado’s unemployment rate in August remained at 8.5 percent, unchanged since June, according to the report.
The survey found that 2,500 people stopped actively looking for work in August compared with July. That reduction prevented the unemployment rate from rising.
Over the year, the average workweek for all employees on private nonfarm payrolls decreased from 35.0 to 34.5 hours, and average hourly earnings decreased from $23.78 to $23.68.
Aldo Svaldi: 303-954-1410, asvaldi@denverpost.com or
