California’s labor market continued to expand at a rapid pace in May, according to a Beacon Economics analysis released jointly with the University of California at Riverside School of Business Center for Economic Forecasting and Development. Total nonfarm employment in the state grew by 104,500 positions for the month and California accounted for 18.7 percent of the 559,000 net jobs added in the nation.

In addition to California’s strong monthly gains in May, April’s gains were revised up to 102,000 in the latest numbers, an increase of 200 from the preliminary estimate of 101,800. During the past four months, California’s economy has added close to 500,000 jobs, representing the fastest hiring surge since summer 2020. These gains are very welcome because as of May 2021, there were still 1.31 million fewer people employed in California than in February 2020.

Total nonfarm employment in the state has contracted 7.4 percent since that time. This compares unfavorably to the national picture, where the labor market has shrunk by 5 percent during the same period.