Nevada job growth still slowing

CARSON CITY -- Nevada's jobless rate remained unchanged in February from the previous month, staying at 5.5 percent, a state agency reported Friday.

The state's seasonally adjusted unemployment rate remains well above the national rate of 4.8 percent.

The unemployment rate fell by three-tenths of a percentage point in Clark County to 5.4 percent but remained more than a full percentage point above the jobless rate reported for Southern Nevada just a year ago in February 2007.

"Although the Nevada economy added 7,000 jobs over the month, most of the February job gain was due to schools and colleges coming off winter break," said Bill Anderson, chief economist for the Nevada Department of Employment, Training and Rehabilitation. "The rate of employment growth in the state continued its downward trend."

The statewide job growth rate fell to 0.1 percent over the year, he said. Since February 2007, employment in the state has increased by only 1,300 jobs.

The construction industry has shed nearly 9,000 jobs, employment in the financial sector has declined by more than 2,000 and at least 6,000 temporary jobs have been eliminated, Anderson said.

Although the leisure and hospitality sector as a whole has added workers in the past year, the casino hotels and gaming component, the lifeblood of Nevada's economy, has seen employment decline by more than 3,000 in the past 12 months, he said.

A few industrial sectors have helped to offset the job losses. In contrast to the national trend, Nevada's manufacturing industry has added 900 jobs since last February. Nevada's mining industry has also generated hundreds of new jobs, and gold prices well in excess of $900 per ounce should keep the industry growing, Anderson said.

The retail trade sector has added 4,800 jobs since February 2007, and new shopping opportunities abound. The health care sector has added approximately 3,000 jobs during the same period, he said.

"The economic environment in which the Nevada economy operates will remain challenging in the near term," Anderson said. "Tourism to Las Vegas has weakened somewhat in recent months.

"The passenger count at McCarran International Airport has been lower than the year-ago level for three consecutive months, and automobile traffic from Southern California was relatively weak throughout 2007.

"With most of the new Las Vegas resort construction due for completion in 2009 and later, the Nevada economy may do well to hold steady in 2008," he said.