South Carolina’s Service Sector Powers Job Growth in September

South Carolina added jobs at a faster pace in September, extending a yearlong stretch of employment growth across the state.

Payroll employment grew 2.3 percent over the past year, according to data compiled by the Federal Reserve Bank of Richmond, with leisure and hospitality, education and health services, and professional and business services leading the job gains. At the same time, the state’s unemployment rate dropped to 4 percent in September, while the labor force continued to expand.

“South Carolina has been consistently outpacing the U.S. in economic growth in recent years,” said Joey Von Nessen, chief economist at the University of South Carolina’s Darla Moore School of Business. “The ‘secret sauce’ of our economy is strong population growth, which is ranked first in the nation and is generating broad-based demand across most industries as people move to the state.”

“The leisure and hospitality sector largely reflect the strong growth we’re seeing in Myrtle Beach, which is one of the fastest growing areas in the state,” he added. “While the education and health sector is typically reflective of the long-term demand in health care resulting from a larger, older population statewide.”

During September, the Palmetto State added 12,500 overall jobs. Gains were led by leisure and hospitality (5,700 jobs), education and health services (4,300 jobs), and professional and business services (2,900 jobs). A few industries saw declines: government (1,900 jobs), trade, transportation and utilities (800 jobs), and information services (400 jobs).

On a yearly basis, payroll employment grew by 55,200 jobs, while the labor force grew by 4,100 participants.