Hiring Slows but Positive Signs for the Office Market
Total Nonagriculture Employment in Texas climbed by 8,800 jobs in May, marking the smallest over-the-month growth seen in the payroll series since a dip of 200 jobs in September 2010. Total Nonagricultural Employment ended the month at an estimated level of 10,563,300 jobs, showing an increase of 92,300 positions so far in 2011. Seven of the 11 major industries expanded over the month, as Professional and Business Services led the way with a gain of 4,300 positions in May. Over the year, total Nonagricultural Employment in Texas increased by 205,400 positions for a growth rate of 2.0 percent in May, the slowest annual growth recorded in the payroll series since November 2010.
The Houston MSA unemployment rate rose to 8.2 percent in May from 8 percent in April according to data released today from the Texas Workforce Commission. Houston area employers have added 45,000 jobs during the past 12 months, a gain of 1.8 percent as compared to 2.3% in January when 56,000 jobs were added over the previous twelve month period.
Houston MSA Employment Profile
A Bright Spot: Office Using Employment
Despite the modest slowdown in hiring there is a bright spot for the Houston and Texas Office Market in the Office-using employment numbers. Job growth in the Business and Professional Services sector grew at 2.5% in May and stands at 4.6% on a year-over-year basis.
Statewide, employment in Professional and Business Services grew by 4,300 jobs in May following a revised addition of 4,400 jobs in April. This sector has experienced four consecutive months of growth and has expanded in 10 of the past 12 months. Professional and Business Services added 53,700 jobs over the year, a growth rate of 4.2% and has experienced 14 straight months of positive annual growth.