CT Unemployment Reaches 8.2 Percent In November

CONNECTICUT — Connecticut’s unemployment increased to 8.2 percent in November, according to the federal Bureau of Labor Statistics, which puts the rate more in line with the state’s own unemployment figures. The figure is a stark drop from a year ago when Connecticut had an unemployment rate of 3.8 percent.

BLS had pegged the state’s unemployment rate at 6.1 percent in October.

The state Department of Labor pegs Connecticut’s real November unemployment rate closer to nine or 10 percent.

“The higher COVID rates this fall caused closures and a pause in economic activity; these unemployment numbers generally reflect what people are seeing in terms of curtailed dining and retail,” said CT DOL Commissioner Kurt Westby. “It’s important to mention that the economy is showing an underlying resilience that bodes well for recovery once the vaccine is widely distributed and people can re-engage in their activities.”

Part of the rise in unemployment is due to temporary U.S. Census work ending, which meant the state lost 1,000 temporary federal jobs, said Patrick Flaherty, CT DOL acting director of research.

“In addition, the ongoing COVID-19 pandemic has led to a decrease in leisure and hospitality where accommodation and food service lost a portion of last month’s gains,” Flaherty said in a statement. “Offsetting these declines, transportation and warehousing, which includes delivery services, grew in November and now employs more people than one year ago.”

Connecticut has regained 64.5 percent of the jobs lost in March and April. The trade, transportation and utility sector saw an increase of 3,700 jobs in November and construction saw a 500 job gain. Leisure and hospitality saw the biggest drop with a loss of 2,800 jobs in November, , which is down 2.1 percent.

“The decline in November shows that there’s a limit to how much the economy can grow until the pandemic is resolved,” Flaherty said.

Unemployment claims for first-time filers in Connecticut averaged 6,738 per week in November 2020, which is down 4 percent from October, but more than 107 percent higher than the average from November 2019.