In October 2024, California’s employment landscape exhibited both resilience and challenges, reflecting broader economic trends and sector-specific dynamics. California Employment Trends comprehensive analysis delves into employment data, industry-specific job fluctuations, unemployment trends, nonfarm payroll comparisons, unemployment insurance claims, county-level labor force details, and notable shifts in the labor market, including challenges in accessing unemployment benefits.
Overview of Employment Data for October 2024
There is a complete overview of Employment Data for October 2024
Nonfarm Jobs
The October numbers continued to show relative weakness in the state economy. Nonfarm jobs (seasonally adjusted) dropped by 5,500 in the preliminary results. The results for September were revised down by 2,200 to a gain of 12,700. Over the past three months, nonfarm jobs have grown by only 6,000, compared to 74,200 in the same period in 2023.
5.5k
Nonfarm Jobs
Change
California Labor Force
The unemployment rate rose by 0.1 point to 5.4%. Total number of unemployed continued increasing by 13,100 over the month, bringing the total rise in unemployed to 322,400 since the near-term low seen in August 2022. The number of unemployed has now remained above 1 million every month so far this year.
5.4%
CA Unemployment
Rate
Total employment (seasonally adjusted) dropped by 5,800 over the month, while posting an 82,700 loss from the near-term peak experienced in May 2023.
5.8k
CA Employment
Total nonfarm payroll employment was essentially unchanged in October (+12,000), and the unemployment rate was unchanged at 4.1 percent, the U.S. Bureau of Labor Statistics reported today. Employment continued to trend up in health care and government. Temporary help services lost jobs. Employment declined in manufacturing due to strike activity.
Key Job Growth and Losses by Industry
A closer look at the industry sectors reveals a mixed landscape.Five of California’s 11 industry sectors gained jobs in October with Private Education & Health Services (+9,400) experiencing month-over gains in 32 of the last 33 months.Trade, Transportation, & Utilities (+2,600) showed an increase for the eighth consecutive month with majority gains occurring in Retail Trade and Transportation, Warehousing, and Utilities as companies prepare for the holiday season.
However, these gains were overshadowed by substantial losses in key sectors. Losses in Government (-7,500) are largely due to job losses in its State Government subsector (-10,900).Professional and Business Services (-8,300) experienced the largest month-over decline, partly due to Employment Services as well as Waste Management and Remediation Services moving against their recent trends of gains, along with a potential hiring slowdown across the industry.
Comparison with National Trends
Nationally, the employment situation remained relatively stable, with an addition of 12,000 jobs in October. However, California’s job losses contributed to an increase in the state’s unemployment rate, now the second highest in the nation.
Employment and Unemployment California Employment Trends
The slight uptick in the unemployment rate to 5.4% reflects both job losses in certain sectors and an expanding labor force. Despite these challenges, California’s private sector added 155,080 jobs over the past year, marking a 1.0% increase.
Factors Influencing California Employment Trends
Several factors have influenced California’s employment trends:
Business Relocations: Since 2019, over 200 companies, including Chevron and Hewlett-Packard, have relocated from California, citing high taxes and stringent regulations.
Cost of Living: The state’s high cost of living has prompted professionals to move to states like Texas and Arizona, leading to a net loss of nearly 87,000 professionals last year.
Sector-Specific Strikes: Strikes in the aerospace manufacturing industry and at various hotel chains have impacted job numbers, with significant work stoppages affecting employment figures.
Comparison of Nonfarm Payroll Jobs: Month-over and Year-over Analysis
In California there were 18,090,200 jobs in total nonfarm industries in October, a loss of 5,500 jobs from last month. This follows a revised 12,700-job gain in September and a 1,200-job loss in August.
Source: (California Employment Development Department (EDD)).
Nationwide, nonfarm payrolls were up 12,000 jobs (0.0 percent) over the month and up 2,173,000 (1.4 percent) over the year. In comparison, California nonfarm jobs were down 5,500 (0.0 percent) over the month and up 212,100 jobs (1.2 percent) since October 2023.
Nonfarm jobs in California have increased over the past year in seven industry sectors: private education and health services (4.5 percent); government (2.1 percent); other services (1.4 percent); leisure and hospitality (0.8 percent); professional and business services (0.7 percent); trade, transportation and utilities (0.6 percent); and financial activities (0.3 percent).
The sectors that lost jobs were information (-2.8 percent); manufacturing (-2.8 percent) and construction (-0.2 percent). • Private sector employment in California which excludes government, gained 2,000 jobs (0.0 percent) in October following an increase of 10,000 jobs (0.1 percent) in September. Over the last year, employment in California’s private sector has increased by 155,080 jobs (1.0 percent).
Unemployment Insurance Claims Overview
In October 2024, there were 185,930 initial unemployment insurance claims filed in California, a decrease of 8.4% from September. Total weeks paid amounted to 1,304,295, down 17.3% from the previous month.To take complete information about insurance claims visit Employment Development Department.
Detailed Labor Force Data for California Counties
County-level unemployment rates varied, with some areas experiencing higher rates due to industry-specific challenges. Detailed statistics for each county are available through the Employment Development Department’s resources.
Notable Shifts in California’s Labor Market
California lost nearly 87,000 professionals last year while just 69,000 relocated to the state, according to a report published by the National Association of Realtors. This outflow is attributed to high living costs and taxes, prompting professionals to move to states like Texas and Arizona. The data comes on the heels of a fresh Bureau of Labor Statistics report, which found that California’s unemployment rate ticked up to 5.4% last month, the second highest in the nation.
Challenges in Receiving Unemployment Benefits
Amid these labor market shifts, individuals face challenges in accessing unemployment benefits, including processing delays and eligibility disputes. Navigating the appeals process can be complex, making California Employment Trends essential for affected individuals to seek assistance through an unemployment benefits appeal.
Conclusion
California’s employment trends in October 2024 reflect a complex interplay of sector-specific dynamics, labor force changes, and economic factors. While certain industries show resilience, others face challenges that impact overall employment figures. Addressing the hurdles in accessing unemployment benefits remains crucial to support the state’s workforce during these transitions.
