Vermont’s December unemployment rate falls to 2.5 percent

by Timothy McQuiston, Vermont Business Magazine The Vermont Department of Labor today reported that the state’s unemployment rate fell another tenth to 2.5 percent for December 2021. However, there was very little change in the major metrics from November: The labor force was down a little, as was the number of unemployed and the number of employed was up a smidgen. The numbers are much stronger when compared to a year ago, when the jobless rate was a full-point higher.

The comparable United States rate in December was 3.9 percent, which was a decrease of three-tenths of one percentage point from the revised November estimate. Vermont is tied for fifth lowest. Nebraska is lowest at 1.7 percent and California is highest at 6.5 percent. New Hampshire is tied for seventh at 2.6 percent (see full list below).

“Early data on the Vermont economy shows that over the past 12-months, businesses have added 10,000 jobs [or 3.5%], bringing the statewide estimate to 296,100 filled positions. While this is welcome news, we remain below pre-pandemic employment levels by nearly 19,000 jobs,” said Labor Commissioner Michael Harrington. “For those seeking new career opportunities in Vermont, this means that you are in high demand, as employers are actively hiring to fill workforce gaps. Additionally, employers are offering premium wages for skilled talent. For anyone looking for their next best job, I would encourage you to visit VermontJobLink.com or contact our Workforce Development division and local career specialists for assistance. VermontJobLink.com currently has close to 20,000 jobs posted on the site. Of which, more than 14,000 are located in Vermont. More resources are available at labor.vermont.gov/jobs or by calling 833-719-1051.”

The Vermont seasonally-adjusted unemployment rate is based on household data and reflects change from the prior month’s revised estimate.

State of Vermont Overview

The seasonally-adjusted Vermont data for December show the Vermont civilian labor force decreased by 248 from the prior month’s revised estimate (see Table 1). The number of employed persons increased by 59 and the number of unemployed persons decreased by 307. None of the changes were statistically significant in the seasonally-adjusted series.

The December unemployment rates for Vermont’s 17 labor market areas ranged from 1.6 percent in White River Junction to 3.9 percent in Derby (note: local labor market area unemployment rates are not seasonally-adjusted – see Table 2).

For comparison, the December unadjusted unemployment rate for Vermont was 2.2 percent, which was an increase of three-tenths of one percentage point from the revised unadjusted November level and a decrease of one and one-tenths percentage points from a year ago.

Analysis of Job Changes by Industry

Seasonally-Adjusted (Table 3)

The seasonally-adjusted data for December reports a decrease of 100 jobs from the revised November data. There was an increase of 400 jobs between the preliminary and the revised November estimates due to the inclusion of more data. The seasonally-adjusted over-the-month changes in December were minimal at the industry level. Those with a notable increase include: Transportation, Warehousing & Utilities (+100 jobs or +1.3%) and Finance & Insurance (+100 jobs or +1.1%). Industries with a notable decrease include: Real Estate, Rental & Leasing (-100 jobs or -3.3%) and Health Care & Social Assistance (-500 or -1.0%).

Not-Seasonally-Adjusted (Table 4)

The preliminary ‘not-seasonally-adjusted’ jobs estimates for December shows an increase of 3,900 jobs when compared to the revised November numbers. As with the ‘seasonally-adjusted’ data, this over-the-month change is from the revised November numbers which experienced a decrease of 200 jobs from the preliminary estimates. The broader economic picture can be seen by focusing on the over-the-year changes in this data series. As detailed in the preliminary ‘not-seasonally-adjusted’ December data, Total Private industries have increased by 9,400 jobs (+3.9%) and Government (including public education) employment has increased by 900 jobs (+1.7%) in the past year.

The Unemployment and Jobs Report for January is scheduled to be released on Monday, March 14th, 2022 at 10:00 a.m.

Last Modified Date: January 25, 2022