A new Leeds study by CU-Boulder is expecting Job growth in Colorado to add another 61,000 jobs for 2015. According to the study released on Monday, all sectors of Colorado’s economy are expected to grow, aside from the information industry, which is predicted to remain neutral.
The prediction comes in after seeing the huge growth of 72,000 jobs for 2014, the highest the state has seen since 2000. This ranks Colorado among the top 10 in job growth for the country. The forecast stated several favorable Colorado characteristics which point to continued growth, which will help fuel Colorado’s job growth for 2015. 99,297 new entities have been recorded during the past 12-month period — a 10.7 percent increase over the previous 12 months.
“The increase in virtually all categories of filings supports the sustained growth currently observed in the economy and forecasted for the next two quarters,” said economist Richard Wobbekind of CU-Boulder’s Leeds School.
“Not only is the state’s economy solidly in positive territory, but it is ranking in the top five nationally for population growth, employment growth, wage and salary growth and personal income growth,” Wobbekind said.
“With Colorado’s low unemployment rate, we are now hearing about worker shortages for some industries, as well as upward wage pressures,” he said. The CU economist presented their findings at the Colorado Business economic Outlook Forum on this last Monday afternoon at the Grand Hyatt Denver hotel, the forum’s 50th annual conference.
“Colorado has a diverse mix of industries that produce goods and services that are in high demand in today’s economy,” mentioned in the report. “The state’s increasing population, including the migration of skilled and entrepreneurial workers, also supports new business formation.”
The report also mentioned that professional and business services are expected to grow the strongest, adding 12,800 jobs to Colorado alone.
“Part of the strength in the professional and business services sector is linked to innovation and high tech in the state, and part is attributable to infrastructure development and repair in the state,” said Wobbekind.
Construction is also still rising, which will add an additional $1.4 billion in 2015, which will increase infrastructure volumes and residential permit values, which will be down by 8 percent from 2014. Retail sales are also expected to rise by 7 percent in 2015. Hospitality and leisure is expected to add 11,200 jobs, while health and educational services are expected to add 9,300 jobs in 2015.
The report also expects the unemployment rate to remain lower than the national unemployment rate, below 5 percent in 2015.
Although some are concerned about the recent oil price drop in the economy, the report stated that, “A wide estimate of $75 to $100 per barrel in 2015 appears safe, assuming supply and demand expectations continue on current trends…”.
“We are quite fortunate for the jobs being created in the state,” stated Wobbekind. “Between 2013 and 2015, Colorado will record the three best years for job growth since 2000.”
You can read the original article on the Denver Business Journal website here or the CU-Boulder article here. You can also visit the secretary of state’s website, to review past forecasts here.