State officials are downplaying initial concerns about a possible slowdown in Utah's employment growth, citing a strong local economy and record growth in net in-migration of international workers this year, according to monthly data from the Department of Workforce Services.

The number of non-farm payrolls in Utah grew 5 percent, or by 58,300 new jobs in September, from a year ago, with almost all sectors, in particular construction and professional and business services, continuing to be strong employers in a tight labor market. The state's employment growth rate was 4.8 percent in August.

"We've just received the actual adjusted data for April, May and June on employment growth. Revisions to the second quarter data show employment growth in Utah remained stronger than originally thought. That has prompted us to raise our current projections. Concerns about restrictions upon the employment growth rate due to a lack of workers appear to be premature, although I still see it as a potential issue," said Mark Knold, senior economist for the Department of Workforce Services.

Utah's seasonally adjusted unemployment rate was 2.8 percent in September, down from 4.3 percent a year ago. About 36,600 Utahns were unemployed in September compared with 55,200 last year. Nationally, the U.S. economy added 1.7 million new jobs in September, up 1.3 percent from a year ago.

"We now have an employment growth rate of nearly 5 percent and an unemployment growth rate of 2.8 percent. That means fewer idled workers. But our economy can't continue to grow at a record pace unless there's a lot of in-migration coming into Utah," he said. "While net in-migration for 2006 is likely to meet or exceed last year's record pace, one still has to wonder if we are underestimating the flow of international workers to Utah, particularly those who migrate toward the construction industry."

Construction remains the fastest-growing sector with Utah employers adding 14,700 new jobs in September, up 16.9 percent from a year ago. That's due to an increase in the number of construction projects proposed including the LDS Church's recently announced plans for the renovation of several blocks in downtown Salt Lake City. Total employment in that sector hit new record highs of more than 100,000 this year.

Also sustaining the construction industry's growth is potential demand from Utah's growing population. Other than the 0- to 10-year-olds, Utah's largest population group is the 20- to 30-year-olds, Knold said. That age group is just now beginning to form households, and will continue to do so over the next 10 to 15 years, which in turn translates to demand for more housing, he said.

But that sector's growth depends on a continuous labor source. "The face of Utah's construction crew is heavily Hispanic. Restrictions on the flow of immigrant workers, particularly from Mexico, could slow down our construction industry's growth," Knold said.

Professional and business services is another big employer, adding 11,100 new jobs over the past year. Half of the new jobs added are in the high-paying professional and scientific area including legal jobs, engineering, architecture, computer specialties, scientists and researchers. The other half is in employment services including production, transportation, office, administrative support and health care.

The trade, transportation and utilities sector is also rapidly growing, gaining 7,900 new jobs over the past year. Trade employers added 6,500 new positions over the past year in areas including wholesale trade, auto dealers, electronic stores, building material and garden stores, grocery stores, clothing stores and general merchandise stores.

This story appeared in The Daily Herald on page D6.