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BUSINESS: Job growth slows in Davis in past year

Wednesday, May 14, 2008

By JEFF DEMOSS
Standard-Examiner staff
jdemoss@standard.net

OGDEN -- Davis County is lagging behind the rest of the Wasatch Front in overall job growth, but is still outpacing the nation as a whole, according to estimates released Tuesday.

In the 12 months ended April 30, Davis County added nearly 1,200 jobs, but its 1.1 percent year-over growth rate was the lowest along the Wasatch Front, the Utah Department of Workforce Services reported.

Overall, the Utah employment picture was much brighter in April than the national situation.Utah reported statewide job growth of 2 percent for the month, compared with just 0.3 percent nationwide. April unemployment was at 3.1 percent in Utah and 5 percent nationwide.

From April 2007 to April 2008, the state gained an estimated 24,800 new jobs. Utah accounted for 6.5 percent of new jobs in the United States during the period, despite being home to only about 1 percent of the nation's population.

Mark Knold, chief economist for DWS, said a decline in housing-related employment in Utah continues to be offset by growth in most other sectors, including health care, education and government.

"The economy is anchored by job gains in industries that are less susceptible to swings in the business cycle," Knold said, "yet even cyclical industries like leisure and hospitality, and manufacturing, are still growing in the state."

Job growth in Davis County has been hurt by a loss of manufacturing jobs over the past year, said John Mathews, Northern Utah economist for DWS.

Layoffs last year at major employers like Utility Trailer and ICON Health & Fitness, as well as job cuts as smaller manufacturers, resulted in a 9 percent decline in Davis County manufacturing jobs in 2007, Mathews said.

"The bottom just dropped out of manufacturing in Davis," he said, but added that the presence of Hill Air Force Base and a boom in commercial construction should help keep the Davis economy in positive territory.

Other Top of Utah counties outperformed the state average last month. Job growth rates were 2.1 percent in Weber County, 2.9 percent in Cache County and 3.1 percent in Box Elder County.

In contrast to Davis County, Mathews said manufacturing employment in Weber grew nearly 6 percent last year.

He said that growth will likely taper off later this year, but expects the local economy to remain on solid footing.


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