The Colorado Springs unemployment rate fell in May for a fourth consecutive month to 3.7%, its lowest rate in a year, the U.S. Bureau of Labor Statistics reported Wednesday.
The May rate was down from April’s 3.9% rate and was the same as a year earlier. The rate fell because employment continued to grow, and the labor force declined slightly for a second consecutive month.
The Springs area continues to add payroll jobs — 5,500 during the past 12 months — across many sectors of the local economy with construction, retail, professional and business services, health care and government sectors adding at least 1,000 jobs. Leisure and hospitality and information shed 1,300 and 200 jobs during the same period.
Tom Binnings, senior economist for Summit Economics, a local research and consulting firm, said the declines in the labor force may show that “most of the people that had been on the sidelines have rejoined the job market and most of the growth in the future will come from people moving here. The broad-based job growth is a good sign and reflects that we are hearing more positive economic news than negative.”
The payroll numbers come from a survey of employers, while the unemployment rate comes from a survey of households.
The jobless rate fell statewide and in all seven of Colorado’s metro areas between April and May with Boulder the lowest at 2.6% and Pueblo the highest at 4.7%.
Colorado’s unemployment rate fell to 3.2% from 3.3% in April because the labor force declined while employment continued to grow.