HOUSTON, TX - Private employers in the Houston area added 6,700 jobs in July. However, the overall job market was dragged down by larger-than-average losses in the government sector, according to numbers released by Workforce Solutions on Friday.
Workforce Solutions economist Parker Harvey was not surprised by the loss of government jobs.
While this sector regularly experiences a significant drop in employment in July due to the end of the school year, it tends to reverse itself within a couple of months when teachers and school support staff return after summer break.
“The number of reported job losses, however, is much higher than normal,” he said, adding it could be a combination of announced reductions in force at local school districts.
The good news was that payrolls in the Manufacturing and Construction sectors grew by 4,600 jobs, experiencing their largest-ever July gains of 3,100 and 1,500, respectively. There was also positive traction in the Financial Activities sector, which added 4,200 jobs, a one-month record. Unfortunately, Professional and Business Services reported its largest-ever July loss of 5,300 jobs.
The Leisure and Hospitality sector took it on the chin, with 1,000 jobs lost in July. Not-seasonally adjusted unemployment went up three-tenths of a point to 4.8 percent. Seasonally-adjusted unemployment for June was unchanged at 4.4 percent.