The Leeds School of Business at the University of Colorado at Boulder released its Colorado 2024 Midyear Economic Update this past summer (July 2024) in the second 2024 issue of Colorado Business Review, a newsletter from the Leeds Business Research Division. The consensus: Colorado’s economy and job market are signaling resiliency.
The midyear update revisited the division’s 2024 forecast published in January 2024. Here are a few highlights from this recent update:
- In June 2024, Colorado ranked 24th for year-over-year employment growth. The state recorded nearly 3 million jobs, 1.4% above June 2023.
- Colorado’s nominal GDP was $539 billion as of Q1 2024, the 13th-largest in the country, led by the Real Estate, Rental, and Leasing; Government; and Professional and Business Services industries.
- Colorado’s unemployment rate was 3.8% in June 2024, tied for 31st in the nation (compared to the June 2024 national average of 4.1%).
- Colorado’s labor force increased over the year by 0.1% in June 2024, exceeding 3.2 million. Colorado’s labor force remains just slightly below the all-time peak in December 2023.
- The June 2024 civilian labor force was just slightly below an all-time high recorded in December 2023, growing 0.1% year-over-year. Colorado ranked 38th in the nation for growth.
- In addition, the labor force participation rate of 67.9% ranked Colorado 4th nationally in June. This measures the percentage of the population that is working or looking for work.
- The chairs of the 14 Colorado Business Economic Outlook committees revised their employment growth projection for 2024 from 41,900 to 49,600, with the highest growth rates expected in Natural Resources and Mining, Government, and Education and Health Services.
- Colorado has added 40,900 nonfarm payroll jobs since June 2023, bringing total nonfarm employment to nearly 3 million in June 2024, reflecting a year-over year increase of 1.4%.
- In June 2024, eight Colorado’s 11 industries gained jobs year-over-year. The top three fastest-growing sectors were:
- Mining +5%
- Government 4.5%
- Education and Health Services +3.4%
- The sectors that shrunk in June 2024 year-over-year were:
- Information – 3.9%
- Construction -2.3%
- Trade, Transportation, and Utilities -1.2%
Professional and Business Services is Growing
Professional and Business Services (PBS) employs the most workers in the state: over 500,000 as of June 2024. The industry is projected to add 10,000 jobs in 2024.
PBS includes several subsectors, including Professional, Scientific and Technical Services, which includes legal services, accounting, architectural services, computer, and software design, and consulting. Making up 59% of total PBS employment, this subsector grew 2.5% year-over-year in June 2024.
Remaining Optimistic
At TGRP Solutions, we’re optimistic about the future, especially in light of the Federal Reserve’s recent interest rate cut of 0.5%–the first rate reduction since March 2020. With more cuts likely this year, hopefully we’ll start to see even more movement in the economy.
One thing remains true: high-quality accounting and finance professionals are always in demand. If you’re looking for your next opportunity, contact our recruiting team to discuss your goals.
If you’re a hiring manager in need of additional support as you head into Q4, call us to discuss how our accounting and finance consultants can help. Or, if you’re seeking to hire any full-time employees, we’ll put you in contact with our recruiting team.
