US state, local government jobs up despite recession

CHICAGO, Aug 20 (Reuters) – While businesses across the United States slash jobs, state and local governments have actually increased employment slightly since the economic recession began in December 2007, according to a report released on Thursday.

“As is the typical pattern in recessions, overall state and local government employment continued to grow after the start of the recession, although there has been a small decline since the August 2008 peak,” said Donald J. Boyd, author of the report by the Rockefeller Institute of Government, in a statement.

Total employment in state and local government rose in 30 states, fell in 16 and was unchanged in four during the last year, the report found.

Governments have added about 110,000 jobs since the recession began, according to the report by the Rockefeller Institute, which is the public policy research arm of the State University of New York.

The recession’s impact on government employment typically lags that of the private sector, Boyd said.

“Further employment reductions are almost certainly on the way,” he said.

At least 20 states have imposed unpaid furlough days on their workers to cut spending without having to resort to layoffs, according to the report.

States also have been able to avoid shedding jobs with help from the more than $36 billion for fiscal relief they have received under the American Recovery and Reinvestment Act, the report said. (Reporting by Karen Pierog; Editing by Jan Paschal)

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