Business Journal: Sacramento Jobless Rate Expected To Soar

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(Sacramento, CA)
Thursday, April 2, 2009

Sacramento-area’s jobless rate could reach more than 12 percent next year, largely because of layoffs in the hard-hit construction industry, according to an economic forecast released Thursday. The four-county region – from Auburn to Woodland – will continue to lose construction jobs, as much as 30,000 positions by 2010, a 40 percent decline from the peak.

 Construction companies in the region have cut almost 10,000 jobs as of February, compared to a year ago, mostly because of the extremely slow new-home construction market. Other areas in Northern California will fare better than the Sacramento, at least in comparison. But the central San Joaquin Valley — from Stockton to Bakersfield – will suffer a much higher unemployment rate, possibly reaching 18 percent. This is Ron Trujillo for the Sacramento Business Journal.