Arizona lost 4,100 jobs in August while the state’s labor force participation rate fell for a seventh consecutive month, according to an analysis released by Common Sense Institute Arizona.
The Phoenix-based research organization based its analysis on the latest employment data from the U.S. Bureau of Labor Statistics.
According to the institute, Arizona’s nonfarm employment declined 0.13% in August, ranking the state 43rd among the 50 states and Washington, D.C. Six of the state’s 11 major employment sectors lost jobs during the month.
The institute reported that Arizona’s unemployment rate remained at 4.9% for the third consecutive month, which it described as a post-pandemic high. The rate ranked seventh highest nationally, according to the analysis.
Arizona’s labor force participation rate fell to 59.9%, marking its seventh consecutive monthly decline, the institute reported. The rate was 2.2 percentage points lower than a year earlier.
Professional and business services posted the largest August job loss, shedding 1,400 positions, while education and health services lost 1,000, according to the analysis.
Despite those monthly declines, the institute said the two sectors added a combined 25,700 jobs over the past year.
Arizona also remained ahead of the national rate of year-over-year job growth, according to the institute. The state added 21,000 jobs over the previous 12 months, an increase of 0.64%, compared with 0.38% nationally. That placed Arizona 17th among states and Washington, D.C., the analysis found.
The institute also reported that average private-sector hourly earnings in Arizona reached $36.54 in August, up 4.61% from a year earlier. By comparison, average hourly earnings nationally increased 3.09% over the same period.
Common Sense Institute Arizona is a Phoenix-based nonprofit research organization that analyzes economic and public policy issues and promotes free-enterprise principles.
