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March 12, 2021

CT’s unemployment rate edges down as officials point to hopeful signs

HBJ Photo | Joe Cooper Downtown Hartford's skyline.
By Liese Klein

The state’s unemployment rate edged lower in January to 8.1%, even though employers shed 100 jobs during the month, according to the Connecticut Department of Labor (DOL).

The unemployment rate was down 0.1% from December. Meantime, state labor officials revised its December job loss total to 4,600. 

Statewide employment is now 127,300 positions lower than a year ago at 1,570,700 jobs.  

Connecticut has recovered a little more than half (166,800) of the 292,400 jobs lost in March and April 2020 due to the COVID-19 lockdown.  

Even as Connecticut’s jobs recovery remains slow, state officials expressed optimism for  the coming months as more people receive vaccines and more of the economy continues to reopen.

“Job posting data shows that ... thousands of employers are trying to hire,” DOL Acting Director of Research Patrick Flaherty said. “There is pent-up demand across market sectors... We believe there will be strong economic growth as a result.”

Private sector jobs were up slightly, with retail, transportation, education and health jobs increasing. Retail has gained 82% of jobs it lost during the pandemic, according to the DOL.

Seven other industry super sectors declined in January, including information, construction and mining and professional and business services. The Hartford labor market area lost 400 positions for the month.
 
A separate report showed 4,000 new job postings each week in Connecticut.

A new analysis by the federal Bureau of Labor Statistics also found that Connecticut’s  unemployment rate during the peak of the pandemic last year was slightly higher than previously estimated, the DOL reported.
 

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