Forecasting Unemployment Trends in New Mexico
Unemployment in New Mexico continues to be a concern following the pandemic, but officials from the state’s Department of Workforce Solutions suggest that there may be reasons to be optimistic in the new year. Thousands of new job openings have been added in various industries, reportedly outstripping the number of people searching for work.
Secretary of the Department, Sarita Nair, explained that growth has been observed in a number of sectors. The construction industry has seen a significant boost, with over 10,600 jobs added in the last year. Other industries experiencing an increase in job openings include manufacturing, private education, healthcare, and state government roles.
Business expansion has also contributed to job creation, with large companies that have expanded or relocated to New Mexico leading the charge. Intel, for instance, has initiated significant hiring events due to the CHIPS Act.
Not all the news has been positive though, as some layoffs have still occurred. Large-scale layoffs related to the Spaceport and business closures have created challenges. Moreover, some sectors such as the restaurant industry have struggled with a shortage of employers, leading to reduced hours or closures. Meanwhile, Virgin Galactic’s decision to reduce its spaceflights next year will leave over 70 employees jobless in New Mexico.
Despite this, the uptick in the unemployment rate combined with an increase in job openings is being interpreted as a promising sign for 2024. New Mexico’s unemployment rate in November was 3.9%, slightly above the national average of 3.7%. The rise in the unemployment rate coupled with the creation of 18,800 jobs suggests greater numbers are actively seeking work.
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