Wall Street Jobs Are Slow to Return Despite Record Profits
Unemployment in the Northeast remains below the national average of 10.2 percent, but in the communities that make up Wall Street's back yard the jobs picture in October was mixed.
The pace of job losses continues to moderate in New York, New Jersey and Connecticut, but unemployment remains at levels not seen since in more than a generation.
And while Wall Street profits have rebounded to record levels, the Street is not showing signs yet of a real employment recovery.
Unemployment rose 0.2 percent to 8.9 percent, as the state lost another 15,000 jobs in October. Private-sector payroll contraction resulted in the lion's share of the job declines, with nearly 13,000 private employer jobs last month.
The state’s jobless woes are worst in Wall Street’s home town, New York City, where unemployment remained at 10.3 percent for a second month. Take out the Big Apple and New York State's unemployment rate would be closer to 8 percent.
After a hopeful rebound in financial services jobs in September, finance jobs retreated last month by nearly 2,000. But that preliminary number is not seasonally adjusted. Since last October, 35,600 finance jobs in the state have disappeared.
Despite a gain of 1,000 new jobs, Connecticut’s unemployment rate also jumped up nearly half a point, to 8.8 percent in October. The September unemployment rate was also revised higher.
The home of state of the insurance and hedge fund industries saw financial services jobs decline for the seventh consecutive month.
The unemployment rate remains nearly a full point higher than its neighbors in New York and Connecticut, but saw a slight dip to 9.7 percent.The state saw a net loss of 1,800 jobs. Construction jobs rose by 1,600, but were offset by an equal number of real estate job losses
Financial services jobs remained steady.
The Bureau of Labor Statistics reports employment data from all 50 states Friday at 10 am New York time.