Western labor markets fared best and worst since recession started

Labor markets in the Western states are among those (a) hardest hit and (b) least affected by the current economic contraction, based on nonagricultural employment figures for January 2009, released by the U.S. Bureau of Labor Statistics. Wyoming has added jobs at a faster pace than any other state since the recession began, and Texas added the most new jobs during that period. But three of the five weakest labor markets in the country are from the West — Arizona is tied with Michigan for last place, and Idaho and Nevada are ranked with Florida to round out the five poorest performers.

Labor markets in the Western states are among those (a) hardest hit and (b) least affected by the current economic contraction, based on nonagricultural employment figures for January 2009, released by the U.S. Bureau of Labor Statistics. Wyoming has added jobs at a faster pace (2.7 percent growth) than any other state since December 2007, when the recession began.

Texas, another Western state, has added the most new jobs (43,100) during that period. But three of the five weakest labor markets in the country are from the West. Arizona, with an employment loss of 6.2 percent, is tied with Michigan for "worst of the worst." Idaho and Nevada are ranked with Florida to round out the five poorest performers.

And another Western state, California, has recorded the greatest absolute number of jobs lost, 541,200. Nationally, the economy lost 3.7 million jobs between December 2007 and January of this year. The Golden State accounts for one out of every six jobs lost nationally.

The percentage job loss at the national level since December 2007 is 2.7 percent. There are 25 states with better labor market performance. These states have either gained jobs, or not lost jobs as rapidly as the nation. Western states in this category, in addition to Wyoming and Texas, include Montana, New Mexico, Washington, Colorado, and Utah.

At the opposite end of the spectrum, with greater percentage job losses than the average state, are California and Oregon, in addition to bottom dwellers Idaho, Nevada, and Arizona. Measured by percentage job losses, the labor markets in Michigan and Arizona have been hit twice as hard as the nation as a whole by the downturn.

Nine states have lost 100,000 or more jobs in the recession so far. These are California (541,200), Florida (393,600), Michigan (264,700), Ohio (206,500), Illinois (171,000), Arizona (166,700), North Carolina (161,800), Georgia (151,100), and Indiana (100,400). These nine states account for more than half of all jobs lost in the nation to date.