San Antonio, Texas, turns the corner and adds jobs

For the first time since December 2008, San Antonio posted a drop in the annual unemployment rate.

The San Antonio metro area added 3,400 nonagricultural jobs in May 2010. This lowered the unemployment rate slightly to 7.1%; it was 6.3% a year earlier. The industry that added the most jobs--2,400 in May--was leisure, travel and hospitality. Three of the top tourist destinations in Texas are located in San Antonio: the Alamo, the River Walk, and Sea World. In addition, the nearby Schlitterbahn water park in New Braunfels is a huge draw in the summer months.

The retail sector added 500 jobs, education and health services added 300, and financial services also gained 300 positions.

More good news: despite the high inventories of new homes, 700 construction jobs in San Antonio were added back in the last two months, making up some of the 900 lost in the first quarter.

San Antonio now enjoys the second-lowest unemployment rate, after Austin, in the state.

Photo of visitors to the Alamo by Jill Brandenburg