CU economists project modest job growth in 2025

DENVER — Economists with the University of Colorado expect job growth of around 1.2%, or 36,700 jobs, in the state next year.

“Despite a complex national and global economic landscape, Colorado’s diverse economy is expected to remain resilient,” experts with the Business Research Division at CU’s Leeds School of Business said in a news release.

Details on economic projections for the new year will be provided at the Colorado Business Economic Outlook Forum set for Monday afternoon in Denver. 

With a new presidential administration on the way into office, “several economic uncertainties” tied to the political landscape are swirling.

Economists and business experts who were consulted to develop the 60th annual Colorado Business Economic Outlook report, which will be released at Monday’s forum, expect “President-elect Donald Trump to follow through on his campaign promises, particularly around taxes, tariffs and immigration,” the release said. “Tax cuts could boost the economy in the short term by increasing demand, but the impact depends on their size and how they’re financed. Tariffs may create inflationary pressures, and the new immigration policy could have an impact on the labor force.”

Colorado is expected to continue to have more jobs than available workers in 2025. “Colorado’s labor force participation rate remains below pre-pandemic levels, with many jobs going unfilled,” the BRD release said. “The state’s labor force participation rate was 62.6% in October 2024, compared to 63.3% in January 2020.”

Housing affordability plays a role in employers’ ability to fill vacant jobs, but “rising mortgage rates and limited housing supply continue to pose affordability challenges, especially for workforce housing,” the release said. 

Editor’s note: This story will be updated after the Colorado Business Economic Outlook Forum event on Monday afternoon.

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