The Ohio unemployment rate rose and the labor participation rate fell in December, despite the state adding 5,000 new jobs, as per a report from the Department of Job and Family Services. The unemployment rate increased to 3.7%, the same as the national average, while the labor force participation rate fell to 61.9%, lower than the national average. Despite the increase in the unemployment rate, Ohio managed to add 5,000 new private-sector jobs in December.

Rea S. Hederman Jr., executive director of the Economic Research Center at The Buckeye Institute, stated that 2023 was a favorable year for Ohio workers overall. At the start of the year, the rate of unemployment was 4.1%, almost half a percent higher than the current rate. For much of 2023, Ohio’s job market advanced at a faster pace than the national average.

Reportedly, December’s job growth cancelled out November’s decline, bringing the state to a record 5.7 million jobs. The report stated that service providers and the government sector added 8,400 and 2,000 jobs respectively in the month. However, the goods production and construction sectors witnessed a loss of jobs.

Hederman attributed Ohio’s success to tax and regulatory reform policies adopted by lawmakers. He advocated for the continuation of these reforms to retain the state’s momentum. Twenty-three state agencies reportedly cut regulations by at least 10 percent in 2023, and similar actions are planned for the future. These reforms aim to facilitate business expansion and encourage entrepreneurship, resulting in more job opportunities for workers in Ohio.