Local
Nevada job count reaches record as unemployment dips, but housing costs remain a barrier
Nevada’s unemployment rate edged down to 4.7% in September, while statewide nonfarm employment topped 1.6 million for the first time. An economist cautioned that one month’s data can shift, and a Las Vegas housing broker said only about 30% of local residents can afford a median-priced home.
Nevada’s unemployment rate fell to 4.7% in September, down 0.1 percentage point from the month before and its lowest level since before the COVID-19 pandemic, according to the state’s monthly employment report.
The Nevada Department of Employment, Training and Rehabilitation reported that the state added jobs in both Las Vegas and Reno, bringing total nonfarm employment to a record high of more than 1.6 million. Las Vegas added 1,500 jobs from August to September. Nevada nevertheless had the nation’s seventh-highest unemployment rate, the report said.
Job changes varied by industry. The report cited gains in leisure and hospitality and construction, while professional and business services and trade, transportation and utilities recorded the largest declines. Health care was also among the sectors cited as contributing to growth.
Nicholas Irwin, an associate professor of economics at UNLV, urged caution in interpreting a single month’s figures. He said trends over six to 12 months offer a more reliable picture, and noted that local job growth has not been as strong as some might expect.
The jobs gains have not erased pressure on household budgets. The report put total compensation nearly 12% lower, while Irwin said rising prices alongside declining compensation leave families with less purchasing power.
Housing costs add to that strain. Las Vegas real estate broker David Brownell estimated that a household needs about $120,000 in annual income to afford a median-priced home in the area. He put the median sale price of a single-family home at $470,000 to $480,000 and estimated that only about 30% of local residents could afford such a home. For many households, he said, buying at that price likely requires two earners.
The September figures offer a positive signal on employment, but they do not capture whether available jobs pay enough to keep pace with the region’s housing and other living costs.