New Jersey payrolls increased by 2,200 jobs in May, and the state unemployment rate dipped 0.1 percentage point to 4.7%, state labor officials reported on Thursday.
About 41% of those new jobs (900) were in the private sector and 59% (1,300) were in the public sector. Total New Jersey employment stood at 4,388,200 (seasonally adjusted) in May, a net loss of -3,100 private and public sector jobs compared to May 2025.
Over the past month, three out of nine private industry sectors recorded employment gains compared to April. This included leisure and hospitality (+3,000), construction (+600), and trade, transportation, and utilities (+200).
All three sectors, however, had lower employment levels last month than they did in May 2025. The leisure and hospitality industry is down -5,300 jobs; construction is down -3,800 jobs; and the trade, transportation and utilities sector is down -6,400 jobs on an annual basis.
Sectors that recorded job losses during the month of May included professional and business services (-1,500), manufacturing (-500), private education and health services (-400), other services (-300), and financial activities (-200). There was no change in the information sector.
Compared to 12 months ago, only private education and health services have seen a net job gain (+26,100). Other private sector industries experiencing year-over-year losses include professional and business services (-500); information (-1,100); other services (-1,600); financial activities (-2,600); construction (-3,800); and manufacturing (-5,000).
The public sector has recorded a net loss of -2,800 jobs compared to May 2025. The private sector has experienced a net loss of -300 jobs.
The report released Thursday also revised total April employment to 7,100 jobs, up from the previous preliminary report of 5,600. The revision did not affect the previously reported 4.8% unemployment rate for April.
New Jersey’s May unemployment rate of 4.7% is lower than in May 2025 when it was 5.2%, but it remains above the national average of 4.3% for May.
