Crews work on the Lincoln South Beltway continues U.S. 77 south of Saltillo Road on Oct. 8. The state unemployment rate last month reached the same level it was at in October 2019.
State and unemployment rates returned to more normal levels in October for the first time since the coronavirus pandemic hit in March.
According to the Nebraska Department of Labor, Nebraska's unemployment rate was 3% last month, while the rate for the Lincoln Metropolitan Statistical Area was even lower, at 2.7%.
The statewide unemployment rate in October was the same that it was in October 2019, while the Lincoln-area rate was only 0.2 percentage points higher.
Compared with September, the state rate was down 0.6 percentage points and Lincoln's was down 0.5 points.
While the economy clearly is better now than it was several months ago, it should not be taken as a sign that the state's economy has fully recovered from the pandemic, said Creighton University economist Ernie Goss, who called the reduced unemployment rate a "small comfort."
"Compared to one year ago, the Nebraska economy is down approximately 9,300 jobs, seasonally adjusted," Goss said in an email. "However, compared to pre-COVID-19 levels, the state has lost roughly 21,000 jobs, seasonally adjusted."
Labor Commissioner John Albin in a news release pointed out that the total number of jobs in the state has been growing and exceeded 1 million for the second month in a row.
“Growth occurred in metropolitan areas, as well as the rest of the state,” Albin said.
But Goss said overall job numbers are disguising how bad things are in certain business sectors, such as restaurants and hotels.
"Leisure and hospitality firms continue to struggle, with very large job losses and much higher unemployment rates," he said.
In Lincoln, the drop in the unemployment rate does appear to be due mostly to growth in the economy. The Lincoln area had more than 3,100 more people working in October than it did a year ago and the number of total jobs declined by less than 200.
Nebraska had the lowest unemployment rate in the country for the third month in a row. The national unemployment rate for October was 6.9%, nearly double what it was in October 2019.
Goss said that's evidence that Nebraska's labor market has recovered more than other states in the region and the U.S. as a whole, but it doesn't mean times are good.
Instead, it means, the "negatives are getting less negative."
Photos: New construction in Lincoln
Holiday Inn Express
Workers construct a tower crane on the southeast corner of Ninth and O streets on March 30. The crane will be used to construct a 140-room Holiday Inn Express.
VA Clinic
A new $23.9 million Veterans Affairs outpatient clinic being built on the VA campus south of 70th and O streets is the cornerstone of a larger redevelopment known as Victory Park.
Antelope Tower
A preliminary design shows plans for an apartment building proposed on the block west of Antelope Valley Parkway in the K and L streets corridor.
Mourning Hope Grief Center
Construction is close to being finished on the new Mourning Hope Grief Center in February.
State office building
A nighttime rendering of the planned State of Nebraska office building at 17th and K streets. The four-story building would have two levels of parking and two floors of office space.
Lincoln sports complex
Work is going on to finish the interior of the Kinetic Sports Complex on West O Street so it can be open in March.
Campion project
Campion Development has received approval for its student-oriented housing project at Ninth and M streets.
300 N. 48th Street
A Spectrum retail store will be the first tenant for a retail building under construction at the former Skate Zone site at 300 N. 48th St. Construction on a hotel at the site is likely to start in the next two to three months.
Gold's Galleria
The Gold’s Building at 11th and O streets has been sold to a real estate investment company that plans a $15 million-$20 million redevelopment that will include a 110-room hotel.
Madonna New Patient Wing
Madonna Rehabilitation Hospitals plans to break ground this spring on a new $57 million, three-story patient wing on its Lincoln campus.
Wesleyan theatre
An architectural rendering shows the first phase of a renovation project at Nebraska Wesleyan University, which will replace seats in McDonald Theatre.
Tommy's Express Car Wash
Workers put together the red, steel frame for Tommy's Express Car Wash north of 70th and O Streets in November. The site was formerly home to Texas T-Bone and Lone Star Steakhouse, among other restaurants.
Lied Place Residences
A 300-foot mobile crane sits ready to erect a 280-foot tower crane at the site of the future Lied Place Residences in November.
Bryan Physician Network
Bryan Physician Network broke ground at 84th and Pioneers on a new building that will be home to Southeast Lincoln Family Medicine and a second Bryan Urgent Care location.
New football complex
Nebraska's proposed new football facility ties in with the East Stadium Plaza and other buildings on the NU campus.
Sun Valley Lanes
This rendering shows the new bar planned at Sun Valley Lanes.
Telegraph Flats
Telegraph Lofts East rises in the foreground, followed by Telegraph Flats, while looking west toward downtown Lincoln in September.
SCC renovations
Southeast Community College's Education Square downtown was renovated, with enhanced security.
Nebraska Innovation Campus hotel
An architectural rendering shows a six-story hotel proposed for 21st Street and Transformation Drive on Nebraska Innovation Campus.
Kindler Hotel
There's a healthy use of granite and marble throughout the rooms and public spaces, including bathrooms at The Kindler Hotel.
Lancaster Event Center
Water hookups and electrical boxes line the new campground under construction at the Lancaster Event Center.
Olsson
Construction on the Olsson building in the Haymarket in July.
Eastmont
This rendering shows what the Eastmont campus at 6315 O St. will look like after its planned $50 million expansion.
Lincoln Children's Zoo
The new Wild Kingdom Theater is part of the expanded Lincoln Children's Zoo that opened in May.
The Stack Lofts
The Stack at 1222 P St. includes 27 market-rate apartments -- three two-bedroom units, 20 one-bedroom units and four studios, some with balcony access.
Ninth & O development
New renderings show a preliminary design for a hotel on the southeast corner of Ninth and O streets.
Prison Open House
The new, 160-bed women's unit at the Community Corrections Center-Lincoln was built to be a therapeutic space. It features earth tones, natural lighting and wood throughout the building.
Wilderness Nature Camp
The Lincoln Parks Foundation is raising money to build a new Wilderness Nature Camp building at Pioneers Park Nature Center.
Great Plains Beef
This rendering shows Great Plains Beef's planned new administration building at 84th Street and Havelock Avenue.
14th and N
The city has chosen this proposal from Argent Group for a high-rise development at 14th and N streets. The rendering is looking southwest.
Southpointe garage
Part of the new parking garage at SouthPointe Pavilions is finally open, several months after originally planned.
Pershing proposals/White Lotus Group/HDR
White Lotus Group and HDR propose a mixed-use community hub for the site it calls Mural, which would combine affordable housing, retail, a wellness center and central library with murals throughout the block.
Reach the writer at 402-473-2647 or molberding@journalstar.com.
On Twitter @LincolnBizBuzz.
Matt Olberding
Business reporter
Matt Olberding is a Lincoln native and University of Nebraska-Lincoln graduate who has been covering business for the Journal Star since 2005.
