New Jersey's employment landscape shifted in March, as reports from state labor officials highlighted a net decline of 2,700 jobs, and the state’s unemployment rate ticked up to 4.7%, according to preliminary data from the U.S. Bureau of Labor Statistics. The small rise of 0.1 percentage point marks the first uptick in the jobless rate since May 2024. This rate now slightly surpasses the national unemployment average, which stood at 4.2% in March.
The state's total nonfarm employment reached 4,393,800, with gains recorded in only two of the nine private industry sectors. Education and health services saw an increase of 2,700 jobs and other services added 1,000 jobs. The public sector also contributed by gaining 700 jobs.
Significant job losses were observed across various sectors, including leisure and hospitality, which decreased by 3,600 jobs, and the construction sector, which lost 1,200 jobs. Other noteworthy declines occurred in professional and business services, manufacturing, and financial activities.
February job estimates faced a downward adjustment by 5,500 jobs, resulting in a revised gain of 13,700 jobs, contrasting with the previously reported 19,200 increase. Despite the revisions, the unemployment rate for February remained unchanged at 4.6%.
Over the year, New Jersey added 33,800 nonfarm jobs, with private sector roles accounting for 76% of the additions. Leading among these gains were private education and health services, adding 35,800 jobs, followed by moderate increases in other services, trade, transportation, and utilities, and manufacturing. However, losses were identified in information, professional and business services, construction, and leisure and hospitality sectors.
The public sector showed an improvement, recording an increase of 8,000 jobs over the past year.
In terms of wage growth, the average manufacturing production wage rose to $26.55 per hour in March, up from $26.14 in February and $25.56 in March 2024.
