Web Version [link removed] | Update Preferences [link removed] [link removed] California Employment Report

October 2021

The Center for Jobs and the Economy has released our full analysis of the October Employment Report from the California Employment Development Department. For additional information and data about the California economy visit [[link removed]].

California Employment Trends: At Current Rates, Full Employment Not Likely Until the End of 2023

The overall results for October again show the disconnect between the recovery of jobs lost during the pandemic and workers returning to the workforce. The change in nonfarm jobs (96,800) was 16% above average so far this year; employment gains (32,700) were less than half. The improvement in the October jobs number was to be expected, as it was the first full month of jobs data following the expiration of enhanced federal unemployment insurance benefits. However, a closer look at the data shows that overall labor force participation was little changed. Meanwhile, inflation continues to erode the substantial hourly wage gains that typically entice workers back into the workforce.

While most of the comparisons in this report and elsewhere measure recovery in terms of the pre-COVID levels in February 2020, the state lockdowns also shut off what was relatively strong growth in 2019. Full recovery consequently should instead be considered in how long it will take for the state to return to trend. Continuing the somewhat lower recovery rates experienced over the past three months would push back a return to the pre-Covid trend levels to the end of 2023.

READ THE FULL REPORT [[link removed]] The California Center for Jobs and the Economy provides an objective and definitive source of information pertaining to job creation and economic trends in California. [[link removed]] Contact 1301 I Street Sacramento, CA 95814 916.553.4093 If you no longer wish to receive these emails, select here to unsubscribe. [link removed]