GSI Analysis: February ’24 Jobs Report – A Bleak February for New Jersey’s Labor Market

• Job count falls for the first time since July; January’s large increase cut more than half.
• Unemployment rate remains 4.8% for the sixth straight month.

On March 21st, New Jersey’s Department of Labor and Workforce Development issued the Monthly Jobs Report for February 2024. Dr. Charles Steindel, former Chief Economist of the State of New Jersey, analyzed the report for the Garden State Initiative:

February was the worst month for New Jersey’s labor market data in some time. The number of jobs fell by 5,300. This was the first decline reported since last July. Moreover, the job increase for January was cut from 20,800 to 9,700—a reduction of more than 50%. Taking a longer perspective, growth in jobs in New Jersey has slowed down quite substantially over the last year or so.

Most sectors reported job losses in February. Particularly noticeable were the declines in construction (-3,400), professional and business services (-4,200), and “other” services (-1,600). Educational and health services, and leisure and hospitality, did report moderate gains. It is possible that vagaries of the weather influenced some of the February numbers, but it’s clear whatever underlying positive trend there may be was not enough to overcome those obstacles.

The unemployment side of the report was equally dismal. The unemployment rate was 4.8% for a sixth straight month, and both the labor force and the number of employed residents moved down.