PA’s Job Growth Advantage Over Other States Slipping Away as State Budget Cuts Yield Pink Slips

From the Pennsylvania Budget and Policy Center (

Pennsylvania’s strong job growth coming out of the recession has slipped away in large part because of state budget cuts to education and other services, according to a new analysis by the Keystone Research Center (

In 2010, Pennsylvania emerged strongly from the recession with percent job growth that ranked 12th out of the 50 states. More recently, Pennsylvania has lagged behind other states, ranking 36th in percent job growth between May 2011 and May 2012 and 39th over the past six months.

The shift occurred around the same time the state lost 14,000 jobs in public schools and universities largely because of budget cuts to education. Altogether the commonwealth shed 22,700 teachers, first responders, and other public servants between December 2010 and December 2011, as deep budget cuts went into effect.

Shortly after Keystone released its latest policy brief, the June state jobs report came out showing a slight uptick in Pennsylvania’s unemployment rate, which went from 7.4% in May to 7.5% in June. In better news, the state added 14,600 nonfarm jobs in June. This large gain included an increase in local government jobs, but it remains to be seen whether that growth will be sustained in the coming months.

Learn More:

Read Pennsylvania’s June Jobs Report from the Department of Labor and Industry (;/

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