But there is one strong sign in a report released Tuesday that demonstrates Utah's economy, after years of unparalleled prosperity, is facing an inevitable slowdown.

Job growth registered 4.7 percent for the year that ended in December, the Utah Department of Workforce Services reported. Although that rate keeps Utah in the top three states in terms of job growth, it is down from a peak of 5.3 percent for the year that ended in June.

"We hit a peak and we're slowing down now," said Mark Knold, senior economist with the agency.

But that slowdown is gradual, he said, and is caused only by the tight labor market and a shortage of workers, not some fundamental problem in Utah's economy.

"It could be quite a long time before workers even start to notice it is more difficult to find a job," Knold said.

And it will be at least that long for employers to notice it is any easier to find or retain workers, he said. Plenty of businesses in a variety of industries certainly want some relief.

Hunter Douglas, a custom window covering manufacturer, has hired 75 people in the Salt Lake area since June, bringing the number of employees to about 400. It plans to hire another 100 or so by the end of the year to accommodate an expansion.

The company is building a $17 million, 240,000-square-foot facility on nearly 21 acres at Salt Lake City's Bonneville Center west of the airport.

"It is tough," said General Manager Lynne Meixell. "We have had a lot of challenges finding high-caliber workers. Anyone who wants to work already has" a job.

Human resources director Lana Warner said that in recent months the company has started using two employment agencies instead of just one to get applicants. And Hunter Douglas has started paying existing employees for referrals.

She would not disclose the amount but said employees get a bonus if they refer someone who is hired. They get another bonus if the new hire remains on the job for at least six months.

The company has done a number of other things, such as advertising on as many employment Web sites as possible and even putting up signs along the roadway leading to the new facility.

"I'm not sure we get the very best people all the time, but we are staffing [our offices], and the majority are staying," she said.

Though the job market is slowing, Utahns probably will not notice any difference in 2007 and it might be 2008 before fewer jobs are available, Knold said.

"This year, there will still be plenty of jobs, and employers will still have to raise wages to fill positions."

The current up-cycle for Utah's economy and job market began in late 2003. By 2004, job growth climbed to 2.4 percent. By 2005, it was 4 percent. Job growth in 2006 ranged from 4.6 percent in January to a high of 5.3 percent in June.

Approximately 55,700 new jobs have been created in the Utah economy over the past year, raising total wage and salary employment to more than 1.2 million.

Those new jobs - in a state that has less than 1 percent of all U.S. jobs - represent about 2.9 percent of all the new jobs added nationwide over the past year.

The high rate of job growth has driven the unemployment rate down to historic levels in recent months. The jobless rate was 2.6 percent at the end of December, compared with 4.3 percent in September 2005. Utah is basically in a state of full employment- meaning almost everyone who wants a job can find one.

About 34,400 Utahns were unemployed in December 2006, compared with 51,000 in December 2005.

Although employers generally do not like a tight labor market because it makes it more difficult to recruit and retain workers, Utah has had a record couple of years in terms of corporate recruitment.

Bradford Muller of the Charlotte N.C.-based Charlotte Pipe and Foundry said his company has been well aware of the situation, but that has not stopped him from praising Utah as a site for expansion. He said Utah's business climate and location as a crossroads of the West override any labor shortages.

A year ago, Charlotte Pipe, which makes plastic pipe and fittings for commercial and residential plumbing systems, acquired a Salt Lake City manufacturing and distribution facility that employs about 20 people.

The company recently purchased land for a Cedar City facility, as well.

"The state is a central geographic location for distribution," he said.

Muller said Utah also has a pro-business climate. The company, for example, secured a promise of up to $857,000 in tax rebates to expand in Cedar City.

"Utah was very eager to have us. It's easy to do business with a state that wants businesses like ours."

lesley@sltrib.com