January State-Level Employment Analysis

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January State-Level Employment Analysis

Nonfarm payroll employment increased in 48 states and the District of Columbia in January compared to the previous month. According to the Bureau of Labor Statistics, nationwide total nonfarm payroll employment increased by 504,000 in January, following a gain of 260,000 jobs in December.

On a month-over-month basis, employment data were strongest in California (+96,700 jobs), Texas (+48,600) and Florida (+30,000). Wyoming and Rhode Island lost a total of 1,100 jobs.

Year over year ending in January, 4.9 million jobs have been added, marking a more than full recovery of the labor market from the COVID-19 pandemic-induced recession. All the states and District of Columbia added jobs compared to a year ago. The range of job gains spanned 654,100 jobs in Texas to 3,400 jobs added in West Virginia. In percentage terms, Nevada reported the highest increase by 6%, while West Virginia had the lowest increase (0.5%) compared to a year ago.

Across the 48 states that reported construction sector jobs data — which includes both residential as well as non-residential construction — 40 states reported an increase in January compared to December, while seven lost construction sector jobs. Mississippi remained unchanged.

Danushka Nanayakkara-Skillington, NAHB assistant vice president for forecasting and analysis, provides more in this Eye on Housing post.

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