The New Mexico Department of Workforce Solutions (NMDWS) has recently released its '2023 State of the Workforce Report', which provides a comprehensive look at various aspects of New Mexico's current workforce. This report delves into vital topics such as population, education, labor, unemployment, industry, employment projections, income, and wages, offering valuable insights into the state's current and future workforce.
The report revealed that in 2022, New Mexico's population was 2,113,344, a slight decrease of 0.2%, equivalent to 3,333 individuals. By contrast, the national population increased by 0.4%. Educational attainment in New Mexico falls below the national average, with 13.2% of the population not completing high school in 2021, which is 2.1 percentage points higher than the national average.
According to the report, New Mexico's labor force participation has lagged behind the national average, with the gap widening over time. In 2022, New Mexico's labor force participation rate was 56.5%, a significant 5.7 percentage points below the U.S. rate of 62.2%. Unemployment rates in the state have been persistently higher than the national average since at least 2017, with a 4.0% unemployment rate in 2022 compared to the national rate of 3.6%. Within the population, Native Americans experienced the lowest labor force participation and the highest unemployment rates among racial and ethnic minority groups.
The report also revealed that New Mexico's recovery from COVID-19 has lagged behind the nation, taking until September 2022 to reach pre-pandemic employment levels compared to most of the U.S., which recovered by November 2021. Looking ahead, the state anticipates 11.6% employment growth from 2020 to 2030. Despite initial challenges, the accommodation and food service industry is expected to lead this growth, alongside arts, entertainment, and recreation. Furthermore, the healthcare and social assistance sectors will expand to meet the needs of the aging population, according to the report.