San Jose Finishes Year with Record-Low Unemployment
The unemployment rate for the City of San José dropped to a historically low in 2018, finishing the year at 2.5% after hitting an all-time low of 2.3% in May. The high demand for workers continued to draw sidelined workers into the market and new housing completions also deepened the pool of job candidates. As of December, the City’s labor force stood at nearly 575,000, of which more than 560,000 were employed. At the beginning of 2018, the labor force was approximately 553,000 with 537,00 persons employed, an increase of 3.9% and 4.3%, respectively.
The increase in employment exceeds national and statewide trends in job gains for 2018. According to the US Bureau of Labor Statistics, wages in the San Jose metro area were up 4.5% year-to-year in the third quarter of 2018 compared to 3.1% nationwide, outpacing other metro regions such as San Francisco, New York, Seattle, and Washington, D.C. The City continues to add more housing to support employer demand for workers, while working to create and preserve a wide variety of jobs and industries tosupport the City’s diverse, highly-skilled workforce.