TRENTON, July 15, 2009 – New Jersey employers trimmed payrolls once again in June, however, the monthly decline was the smallest since February 2008. While job losses have moderated during the past two months, New Jersey’s June unemployment rate rose by 0.4 percentage point to 9.2 percent and remained below the national rate of 9.5 percent.

According to preliminary estimates from the New Jersey Department of Labor and Workforce Development’s monthly survey of employers, nonfarm wage and salary employment in the Garden State decreased by 2,100 jobs in June, to a total of 3,931,200.  Based on more complete reporting, the previously released May estimate was revised lower by -1,800 for a revised April-to-May loss of 8,000. Since the beginning of the recession in December 2007, New Jersey has lost 155,000 jobs (-3.8%). Nationally, employment has declined by 5.3 million jobs (-4.7%).

“Job losses in New Jersey were less severe in June than in any month since the national recession began,” said New Jersey Labor Commissioner David J. Socolow. “The job losses were moderated by significant employment gains in the ‘other services’ sector, driven mainly by increased hiring at grant-making and nonprofit organizations creating jobs as a result of state and federal Recovery efforts.”

Over the month, five of ten private industry supersectors recorded declines while four realized gains; one was unchanged. Public sector employment was lower by 600.

The largest over-the-month losses occurred in leisure and hospitality (-2,600), professional and business services (-2,300), and financial activities (-1,400). In leisure and hospitality, the majority of the drop occurred in the accommodation and food services segment (-2,400). The job losses in professional and business services were largely attributable to decreased payrolls in the administrative support/waste management/remediation services component (-3,700). The decline in financial activities occurred in both the finance and insurance (-800) and real estate/rental and leasing categories (-600).

Job gains were concentrated in other services (+3,700), education and health services (+1,200) and transportation, trade and utilities (+900). The gain in other services was due to higher payrolls at employers such as nonprofit groups, grant-making organizations and industry associations. Gains in the educational services component (+1,600) of education and health services overshadowed a slight loss in the healthcare and social assistance component (-400). Hiring in transportation and warehousing (+1,500) and retail trade (+200) were responsible for the advance in trade, transportation and utilities, while wholesale trade contracted by 800.

Over the month, the unadjusted workweek for manufacturing workers increased by 0.1 hours to 41.3 hours, average hourly earnings increased by $0.06 to $18.57 and weekly earnings were increased by $4.33 to $766.94. Compared with June of last year, the unadjusted workweek was lower by -1.2 hours, average hourly earnings increased by $0.74 and weekly earnings were higher by $9.16.

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