June best month for private sector growth

TRENTON – New Jersey private sector employers added 22,200 jobs in June, according to preliminary data from the United States Bureau of Labor Statistics, which shows June was the best month for private sector employment growth since February 1996. Garden State private sector employers have added 282,800 jobs since February 2010, the recessionary low point for private sector employment in the state.
Based on more complete reporting from employers, previously released estimates for May were revised significantly higher, up by 4,200, to show an over-the-month total nonfarm employment loss of 2,600 jobs. Preliminary estimates had initially indicated an over-the-month loss of 6,800 nonfarm jobs. The May and June employment estimates were impacted by a labor dispute affecting 5,000 Verizon workers who have since returned to work.
The BLS data shows the unemployment rate ticked up to 5.1 percent for June. The three-month moving average, which evens out the volatility in the monthly employment figures, shows New Jersey’s total nonfarm employment growth averaging 5,600 jobs over the last three months.
“The June employment report for New Jersey is refreshing news and worth looking at with some care. Four important things stand out in sharp relief: The employment gains in June are very strong; it’s hard to beat the biggest single private sector job creation month since 1996. The May employment numbers were revised upward, making it the fourth month in a row that negative news from the prior month had to be corrected. The job gains are broad-based covering virtually every economic sector, and virtually all of the jobs lost during the economic downturn have been regained," said James Wooster, Chief Economist for the New Jersey Department of Treasury.
"Against this backdrop, even the fact the unemployment rate has ticked up should not be counted as bad news. With the New Jersey economy continuing to add jobs, the unemployment rate will decline again. In fact, the confidence that New Jersey’s workers have in the Garden State’s economy is significantly greater than for the nation as a whole, as the national labor force participation rate is only 62.7 percent while New Jersey’s is 64.2 percent.”
The labor force participation rate measures the number of people employed or actively seeking work, and New Jersey’s rate has continued to exceed the national rate.