With the growing season at its end, cold weather at its peak, tourism down and Christmas shopping ended, Colorado’s employment took a break. Employment declined, typically, by 10,092, dropping 0.5% since last quarter. Increases for tax season staffing and the ski season mitigated seasonal employment losses. Services and Wholesale were the only industries to gain employment over the course of the quarter. Services reported the largest gain in absolute numbers as well as by percentage, up 1.2% and 7660 employees. Gains in Amusement & Recreation and Hotels & Lodging related to the peak ski season generated the bulk of the industry increase. Wholesale reported a positive first quarter gain due to expansions in Durable Goods with an emphasis on Electric Goods. The largest loss occurred in Retail Trade down 7267 employees due to the close of the holiday buying season. Agriculture reported the greatest percent change dropping 13.7%. Here too losses were seasonal, but impacted by cooler weather and shorter daylight hours.

Annually, Colorado’s economy remained stable. Declining consumer confidence, rising interest rates and oil prices along with a tight labor market have slowed the economy minimally. Employment growth at 3.5% added 71,689 employees, a drop from the 80,000 plus added in 1998, and down only slightly from 1999 levels. Unemployment at its lowest level on record, thriving retail activity and a continuing surge in home building are positively impacting Colorado. By percent of growth Construction led, up 11.9% adding 15,878 employees. In numbers, Services reported the strongest annual increase up 27,489 employees. More than half of the increase was related to expansion within the Business Services sector providing computer related and other temporary support services. The Mining industry was back in place as the leading industry in decline. Corporate closures and downsizing continued to hurt Mining employment levels.

Typically, one third of employers covered by unemployment insurance are surveyed each year to determine that they are properly classified by:

This year about one third of employers were selected to verify SIC and county codes. SIC or county changes are made to first quarter data only, but the impact of those changes may be evident throughout the year, particularly when data are compared to the previous year. All industry groups are affected as accounts may cross industry categories and a business may be moved from one industry into any other industry for proper classification. The impact of change is determined by the overall SIC change in employment and wage in each industry