TRENTON, March 19, 2008 Employment in New Jersey decreased modestly in February while the state’s unemployment rate moved higher to 4.8 percent, equaling the national rate.  February’s rate marks the first time that New Jersey’s unemployment rate has been equal to or above the United State’s rate since October, 2006.

According to preliminary estimates from the New Jersey Department of Labor and Workforce Development’s monthly survey of employers, total nonfarm wage and salary employment in the Garden State fell by 1,700 in February to 4,072,300.  Based on more complete reporting, the previously released January estimate was revised higher by 900 to 4,074,000, for a revised loss of 8,600 jobs in January.

“The slowing of our national economy has affected New Jersey businesses and impacted our state’s job market,” said Labor Commissioner David J. Socolow.  “The Department of Labor and Workforce Development is ready to offer timely assistance to workers displaced by these economic factors.  We are also supporting employers who invest in the productivity and training of their workforce in order to remain competitive in this troubled economy.”

February private sector job losses were concentrated in the trade, transportation and utilities (-2,800), manufacturing (-1,100), and construction (-500) industry supersectors.  All three components of trade transportation and utilities fell over the month, led by retail trade which contracted by 1,300.  In manufacturing, all of the employment loss occurred in the durable goods sector.  Payrolls in construction moved lower for the fourth consecutive month.

Despite the overall job loss, there were sectors that experienced positive job growth. Employment in education and health services increased by 1,400 in February, led by gains in the health care and social assistance category.  Leisure and hospitality added 800 jobs due to increased hiring in the accommodations and food services segment, while professional and business services advanced by 600.  Public sector jobholding was higher by 400 in February.

The rise in New Jersey’s unemployment rate was due to a significant jump in the state’s total labor force as both resident employment and unemployment levels increased over the month.  This may be an indication that new entrants are more confident in the state’s labor market.

Over the month, the unadjusted workweek for manufacturing workers was unchanged at 41.7 hours, average hourly earnings rose by $0.03 to $17.79 and weekly earnings were up by $1.25 to $741.84.  Compared with February of last year, the unadjusted workweek was up by 0.6 hours, average hourly earnings rose by $1.01 and weekly earnings advanced by $52.18.

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