Flagstaff, AZ – December 2023 Jobs Report – Mountain Town Mends End-of-Year Slump

, ,

After a rocky November, Flagstaff’s labor market rebounded in December 2023, adding jobs and nudging the unemployment rate slightly lower. While not as robust as previous months, the performance suggests resilience in the face of national economic uncertainties.


  • Nonfarm payroll jobs increased by 200, marking a positive turnaround after November’s revised loss of 100 jobs.
  • Unemployment rate dipped to 4.1%, the lowest since May 2023 and below the national average.
  • Growth concentrated in leisure and hospitality (+150 jobs) and professional and business services (+50 jobs).
  • Losses seen in government (-100 jobs) and construction (-50 jobs).
  • Year-over-year job growth remained positive at 1.3%, slightly below the national average of 1.5%.
  • December’s increase followed a revised gain of 300 jobs in October.

What Industries and Occupations Grew:

  • Leisure and hospitality: The holiday season likely boosted employment in restaurants, hotels, and tourism-related businesses.
  • Professional and business services: Continued demand for services like accounting, legal work, and engineering added jobs.

What Industries and Occupations Shrank:

  • Government: Local government jobs declined slightly, potentially due to seasonal hiring patterns or budget constraints.
  • Construction: The sector experienced a modest retreat from October’s gains, possibly reflecting the end of seasonal construction projects.

Compare to Same Month Last Year:

  • December 2023 job growth lower than December 2022’s gain of 300 jobs.
  • Unemployment rate improved compared to December 2022’s 4.4%.

Compare to Previous Month:

  • December’s job gain significantly higher than November’s revised figure, suggesting a recovery from temporary setbacks.
  • Unemployment rate down from November’s 4.3%, indicating a tightening labor market.

Future Outlook:

  • Flagstaff’s economic outlook remains cautiously optimistic. The tourism industry and professional services sectors offer potential for continued growth. However, national economic uncertainties and the end of the high season could dampen future job gains.

10 Growing Occupations:

  1. Registered Nurses
  2. Customer Service Representatives
  3. Software Developers
  4. General Laborers
  5. Retail Salespersons
  6. Waiters and Waitresses
  7. Accountants and Auditors
  8. Truck Drivers
  9. Physical Therapists
  10. Construction Laborers

10 Companies Hiring Now:

  1. Flagstaff Medical Center
  2. NAU Campus Dining
  3. Arizona Snowbowl
  4. City of Flagstaff
  5. Coconino County Government
  6. Northern Arizona University
  7. Arizona Nordic Village
  8. Grand Canyon Railway
  9. Hilton Garden Inn Flagstaff
  10. Kachina Village