Bay Area and California add jobs in April — but the gains are puny

The Bay Area and California both added jobs in April, but the gains were puny and sketch a picture of an ominously feeble employment market, a new report shows.

The nine-county Bay Area added just 300 jobs in April, the state Employment Development Department reported Friday.

The modest upswing, which did not surprise some economists, was led almost single-handedly by the East Bay, which powered to healthy job gains. The South Bay was flat while the San Francisco-San Mateo area lost jobs.

“The first part of 2024 has played out as expected for the Bay Area economy,” said Jeff Bellisario, executive director of the Bay Area Council Economic Institute. “Our traditionally high-growth sectors are experiencing muted growth, and our slow population gains have made hiring a challenge in local-serving sectors.”

The weakness of the tech sector and its accompanying layoffs have coalesced to weaken the Bay Area economy, some experts believe.

“Our economy is in the throes of a transition, away from the product lines that fueled our growth during the pandemic and into the new and untested realm of artificial intelligence,” said Russell Hancock, president of Joint Venture Silicon Valley, a San Jose-based think tank. “Given all of that, we’re doing quite reasonably well.”

Here’s how the Bay Area’s seven metro regions fared in April, as reported by the state EDD. All of the numbers were adjusted for seasonal volatility:

— The East Bay gained 2,600 jobs.

— The South Bay’s employment totals were unchanged.

— The San Francisco-San Mateo region lost 1,700 jobs.

— In the North Bay, Marin County gained 200 jobs, Napa County added 100 positions, Sonoma County lost 600 jobs and Solano County shed 300 jobs.

“Lackluster job growth will likely continue to hold sway in the Bay Area as long as the Fed keeps interest rates at these high levels,” said Scott Anderson, chief U.S. Economist for BMO Capital Markets. “Interest-rate-sensitive sectors like construction, manufacturing and financial services are scaling back on hiring.”