Atlantic City sees largest decline in unemployment rate in US

Atlantic City registered the largest unemployment rate decline in the country in October.

The city saw the biggest year-over-year decrease in its unemployment rate of all metropolitan areas in the U.S., according to findings from the Bureau of Labor Statistics.

The jobless rate dropped 2.5 percentage points to 7.7 percent in October, followed by El Centro, California, which dropped 2 percentage points. The U.S. unemployment rate is currently 5 percent.

The gains come as Atlantic City saw thousands of job losses in recent years and the highest metro foreclosure rate in the country for four consecutive months, Forbes reported. A higher percentage of jobs were lost in Atlantic County in 2014 than in any other large county in the country.

While Fortune quoted BLS economist for New York and New Jersey Bruce Bergman as saying that most of the drop in unemployment was attributable to a decline in the labor force, some industries, like construction, did add jobs in the city.

"It's not a huge difference, but it does show that the dramatic improvement in the unemployment rate hasn't been offset by similar gains in employment," he said.

Much of the economic trouble in Atlantic City had come from shuttered casinos. The Wall Street Journal reported that four casinos closed since January 2014, causing the loss of thousands of jobs. The leisure and hospitality sector is the largest employer, making up 40,000 of the total 130,000 jobs in the metro area.

"A lot of the damage in Atlantic City already occurred," said Bergman. The source reported that the New York-Newark-Jersey City metro area saw the largest rise over-the-year in nonfarm payroll employment of all the highest-populated urban areas in the country. The areas with highest employment were found mostly across California.