San Antonio economy keeps on truckin', adding another 3,100 jobs

Web Posted: 12/22/2006 08:41 PM CST

L.A. Lorek
Express-News Business Writer

Thanks to Toyota's new truck plant, retail hiring and more professional services jobs, San Antonio's economy continued to excel in November, with low unemployment and 3,100 new jobs created.

San Antonio's unemployment rate dropped slightly to 4.3 percent, from 4.4 percent in October, and down from 4.6 percent a year ago, according to state employment figures released Friday.

"This is a direct result of organic growth in the economy and all of the big projects coming online," said Mario Hernandez, president of the San Antonio Economic Development Foundation.

San Antonio's strong labor market mirrored a statewide trend, as Texas' unemployment rate remained unchanged at 4.6 percent, an annual low and the lowest November rate since 2000.

The holiday shopping season created the majority of November's job gains, with 2,300 new retail jobs.

"November was an exceptional month for us," said Aaron Smith, Alamo WorkSource labor market analyst.

San Antonio's manufacturing work force added 300 jobs and had an annual growth rate of 2.8 percent because of Toyota Motor Manufacturing of Texas' new Tundra plant and hiring by its suppliers.

"San Antonio is one of the rare communities in the country that continues to add manufacturing jobs," Smith said.

In addition to manufacturing, the city's bustling services industry grew, with 400 professional business services jobs added last month and an annual growth rate of 3.8 percent.

"It's a very good situation for people looking for work in San Antonio," Smith said. "Businesses are competing with each other for talent."

Employment in transportation, warehousing and utilities grew by 200 jobs and local government added 700 jobs as area schools continued to hire.

Leisure and hospitality had a seasonal decline of 1,300 jobs in November, but maintained a steady annual growth rate of 3.4 percent. Wholesale trade lost 100 jobs.

Overall, San Antonio will end the year in the neighborhood of 22,000 to 25,000 new jobs, Hernandez said.

"From our perspective, we had, in 2006 another record year of 3,400 to 3,800 jobs coming from companies from the outside," Hernandez said.

Already, 21 new companies announced operations this year, and there's a possibility that one more may make a commitment for a back office operation here by the end of the year, Hernandez said.