Midyear economic report released

Despite recovery, headwinds foster pessimism

Colorado’s economy has bounced back impressively since the COVID-19 downturn, outpacing the nation and most states in job recovery and growth. Still, more recent headwinds that threaten to halt the recovery process have business leaders spooked.

“With arguably the worst of the COVID virus in the rearview mirror, consumers and businesses have moved on to new economic crises, ranging from lingering supply chain shortages, rapid inflation, and rising interest rates led by restrictive Fed policy,” Rich Wobbekind, associate dean for business and government relations at the University of Colorado Boulder’s Leeds School of Business, wrote in an editor’s note that accompanied CU’S Colorado 2022 Midyear Economic Update, released Friday.

According to the report, Colorado “recorded 2,855,000 jobs as of May 2022 — 1.2% above the prerecession peak and 4.6% above May 2021 levels.” This performance puts Colorado among the 14 states that have eclipsed PRECOVID job totals.

CU economists project that Colorado will add 104,000 jobs (3.8% growth) in 2022, with growth across all major industry sectors.

“The Boulder (metropolitan statistical area) observed the highest year-over-year employment growth in May 2022 (5.3%), followed by Denver-aurora-lakewood (4.7%), Pueblo (4.7%), Grand Junction (4.2%), Fort Collinsloveland (4.2%), Colorado Springs (3.9%), and Greeley (3.6%),” the CU report said.

While this growth should be reassuring for those skittish about the economic outlook, CU economists say many of these jobs had already been added earlier this