Unemployment Rate Steady In New York, More People Working

NEW YORK — The job market remained tight in New York in February, particularly in the Hudson Valley and on Long Island.

The statewide unemployment rate remained steady at 4.2 percent, as the number of private-sector jobs rose and the number of unemployed people dropped, according to new data from the state Department of Labor.

However, as usual, outside of New York City the unemployment rate was lower, dropping to 3.2 percent from 3.4 percent overall in January, according to the latest labor department statistics. On Long Island and in the Hudson Valley, the February unemployment rate ranged from 3 to 3.5 percent:

• Dutchess - 3.3 percent
• Nassau - 3.0
• Orange - 3.4
• Putnam - 3.2
• Rockland - 3.0
• Suffolk - 3.5
• Ulster - 3.5
• Westchester - 3.3

Digging into the data, there was good news across the state: The number of private sector jobs (not seasonally adjusted) increased in New York by 3.1 percent, which matched the increase in the number of private sector jobs in the U.S.

Also, participation in the labor force rose — though it remains lower than in 2019 — and the number of unemployed people decreased.

The strongest category for job growth in New York was in the Leisure & Hospitality sector, which saw 9.6 percent growth over February 2022 as the pandemic receded. The tech sector shrank.

At just over 4 percent, New York's statewide unemployment rate was the 10th highest in the country, according to researchers at WalletHub. The lowest was Nebraska, with an overall unemployment rate of 2.3 percent, compared to the national average of 3.6 percent.

"We have come a long way from the nearly historic high of 14.7 percent in April 2020, due to a combination of vaccinations and the country fully reopening," said WalletHub Financial Writer Adam McCann. "However, inflation and the potential of a recession threaten to push the unemployment rate higher again if Federal Reserve rate increases are not able to stave them off."

Nationwide, the data show demographic disparities, said Jill Gonzalez, WalletHub Analyst. "The unemployment rate does differ sharply among different demographics. The unemployment rate for white people is 3.5 percent, while it’s much higher, at 5.9 percent, for black people. The racial disparity is troubling, especially in the context of broader discussions of inequality that have taken place in the past year. The unemployment rate can fluctuate a lot by age, too; it’s only 2.6 percent for those ages 45 to 54, but 6.9 percent for people ages 20 to 24. It makes sense that people who have been in the workforce longer would have more job stability, but we should be concerned about the difficult conditions faced by young people."