The Center for Jobs and the Economy has released our initial analysis of the February Employment Report from the California Employment Development Department. For additional information and data about the California economy visit www.centerforjobs.org/ca.

The February data again showed mixed results for the state.  Nonfarm jobs (seasonally adjusted) showed a strong gain of 32,300, and even with a sharp downward adjustment, the revised January gains of 67,600 were still the highest since last April.  Overall, nonfarm jobs came in 1.7% ahead of the pre-pandemic peak in February 2020.  The number of employed, however, has essentially leveled out since last May, leaving the state about a quarter million below the pre-pandemic peak.

On a comparative basis, California’s 32,300 jobs gain came in third, behind Texas (58,200) and Florida (38,800).  For the year since February 2022, California (486,500) posted second, behind Texas (611,400) and barely ahead of Florida (427,000).  On a comparative basis, California’s recovery rate was the 21st highest among the states.  Sixteen states and DC remained below their pre-pandemic peaks.

Measured by the number of persons employed, California continued dropping to 41st highest among the states and DC.

Using a four-week moving average, initial unemployment claims are now trending higher than for the same period last year.  California initial claims (not seasonally adjusted) were 22% of the national total for the four weeks ending March 18.  Insured unemployment—a proxy for continuing claims—as of the week ending March 11 were 21% of the national total.

With almost all of the other states paying off their pandemic debt—including use of federal pandemic assistance funds specifically earmarked for this purpose—the remaining Federal Unemployment Insurance Fund debt essentially comes down to California and New York.  At $18.7 billion as of March 20, California accounts for 69% of the total.