Bay State lost nearly 3,000 jobs in July

Massachusetts employers shed nearly 3,000 jobs in July as the state economy continues to feel the effects of the national economic downturn.

The state unemployment rate slipped to 5.1 percent from 5.2 percent in August.

Massachusetts has so far avoided the worst of the national economic downturn because of its technology and health science sector. For most of the past several months, the state has added jobs even as the nation lost them.

July's job losses were the first since April and the latest sign that national slowdown is taking a toll. Over the past year, employment has grown less than a half percent, compared to 1 percent the previous year. And despite the slight decline in July, Massachusetts jobless rate has risen sharply in recent months, up a percentage point since April.

Leisure and hospitality, which includes hotels and restaurants, led the losses in July, cutting 2,500 jobs. Manufacturing shed 2,400; professional and business services, 700; and retailers, 100.

On the other side, education and health services, which includes universities and hospitals, added 3,600 jobs, and financial services added 100. Employment in information, a technology sector that includes software, was flat.
(By Robert Gavin, Globe staff)