Unemployment in Maryland fell slightly in October as summer recess ended and education employees returned to work, according to figures released yesterday.

The state's unemployment rate was 3.8 percent in October, down from 3.9 percent in September, according to the Maryland Department of Labor, Licensing and Regulation. The numbers are not adjusted for seasonal changes.

Maryland's rate was well below the unadjusted national unemployment rate of 5.3 percent for the same month.

Adjusted for seasonal changes, Maryland's unemployment rate was 3.9 percent in October, down from 4 percent in September. The national seasonally adjusted rate in October was 5.7 percent.

"It's the same thing we've been seeing for quite some time," said Anirban Basu, director of applied economics at RESI Research & Consulting, Towson University's economics research arm. "If you look at Maryland's economy, it is actually in recent months generally more whining then economic dislocation."

"People are complaining about the economy, but the economy could be doing much worse," Basu said.

The state's job market also saw gains at construction companies, general merchandise stores, home-furnishing stores and in health services.

Employment in the state rose by about 9,800 people to reach 2.8 million in October. The number of unemployed fell by 2,510 to 112,224.

Economists said Maryland's low unemployment rate reflects an economy that has performed better than the rest of the country.

A large number of affluent residents, low interest rates and the state's proximity to Washington, where federal government jobs remain abundant, have contributed to a healthier economic environment, economists said.

"Most of the job creation has been in the service and government sector," said Scott Hoyt, director of consumer economics for Economy.com in West Chester, Pa.

Unemployment rates fell or remained steady in all but six areas in the state.

Baltimore continued to have the highest unemployment rate in the state, although it fell to 7.2 percent from 7.5 percent in September.

In the metropolitan area, Howard and Carroll counties led the way with a 2.7 percent unemployment rate, followed by Anne Arundel, 3.1 percent; Harford County, 3.6 percent and Baltimore County, 4.3 percent.

Economists warned that low unemployment doesn't mean people aren't struggling.

The numbers don't account for workers who have been laid off and are consulting, or have started small businesses that don't pay as much, Basu said.

Also, many of the new jobs are temporary, he said.

"It probably makes the job market look much better than it actually is," Basu said.

"This is not to be confused with the notion that people are much better off than they were a year ago."