DOVER — Delaware continues to enjoy relatively low unemployment that it has seen since late 2023, but reports indicate that may because there’s fewer people looking for work.
In December, Delaware reported that 18,800 residents were unemployed, and the labor pool shrunk to 502,700 people. That’s 600 people less than it was the previous month, according to the Delaware Department of Labor report issued on Friday.
The labor force captures not only workers and those receiving unemployment benefits, but also those in search of work who aren’t receiving assistance. As workers stop seeking employment roles for a variety of reasons, ranging from retirement to child care needs, they are no longer counted as being unemployed in the state.
Delaware reported a loss of 400 jobs between November and December. But state labor officials maintain that the state had seen a net gain of 2,200 jobs over the course of 2024, or half a percentage point of growth in the state. Looking across the nation, there was a 1.4% growth in jobs for the year.
December marks the 14th consecutive month since the labor force had shrunk. In October 2023, the labor force was reported at 509,300.
Delaware’s unemployment rate is at 3.7% and is down 20 basis points and keeping on track of decline in the last few months. It’s also kept with the national trends of decline, as the United States unemployment rate dropped 10 basis points to 4.1%.
The Delaware Department of Labor’s report is taken monthly during the calendar week that contains the 12th day.
The official monthly unemployment figure is created by looking at continuous unemployment insurance claims as well as a U.S. Bureau of Labor Statistics survey of residents on their employment status. It tracks not only those receiving benefits, but also those who are ineligible, such as terminated employees, those who have resigned and the self-employed.
There are 32 states at or under the national unemployment rate. South Dakota still enjoys the lowest unemployment rate at 1.9%, while Nevada had the highest unemployment rate at 5.7%.
Neighboring state Pennsylvania saw its unemployment rate rise to 3.6% while Maryland’s rate fell to 3.1%. New Jersey’s unemployment rate remains at 4.6%
Delaware’s three counties saw differing rates of unemployment last month, with New Castle, Kent and Sussex counties reporting rates of 3%, 3.6% and 3.2%, respectively – although those statistics aren’t seasonally adjusted.
Wilmington and Dover, the state’s two most populous cities, have seen movement on its unemployment rate, though both have seen a greater impact in job losses. Wilmington’s jobless rate dropped 4.7% while Dover landed at 4.7%.
Leading job gains last month were leisure and hospitality, which added 400 jobs. That was followed by the government which added 200; manufacturing, which added 100.
Leading job losses in the last month of the year was the financial services sector, which cut 400 jobs. That was followed by private education and health, which lost 300 jobs, trades and transportation which lost 100 jobs and other services which lost 100 jobs.