Arizona Commerce Department projects flat job growth through 2009

Written by The Business Journal of Phoenix - by Mike Sunnucks

Job growth is projected to be flat for 2008 and 2009 in the Phoenix area and statewide, with declines in construction and financial services but gains in mining, tourism and medical care.

A new economic forecast expects state job growth to come in at minus 0.5 percent for 2008 and 0.1 percent for 2009, according to the Arizona Department of Commerce. The state agency projects the same figures for the Phoenix metro area.

In 2007, the state posted 1.2 percent job growth; the Valley, 1.3 percent.

The down housing market continues to hit the regional economy.

The construction industry is expected to lose 10.6 percent of its jobs in the Valley in 2008 and 2.9 percent in 2009. Financial services jobs in the Phoenix market are expected to drop 2.7 percent in 2008 and 1.0 percent in 2009.

Mining jobs statewide are projected to grow 16.6 percent in 2008 and 8.4 percent in 2009, according to the report.