There are growing signs the NSW economy is softening, with a spike in the number of people unable to find a job and the biggest exodus out of the state in more than a decade.

In a development that could drag on the national economy, NSW has lost almost 40,000 jobs since August. Although the state's unemployment rate edged down by 0.1 percentage points to 4.7 per cent in November, Australian Bureau of Statistics figures show, it was solely due to a large fall in the participation rate.

Despite a surge in infrastructure spending across NSW, the state has shed almost 40,000 jobs since August. Credit:Sam Mooy

NSW's total employment has declined for three consecutive months, with male workers bearing the brunt of the drop-off.

Separate figures on population growth show the state added 109,400 residents through 2018-19 - the smallest lift in overall residents in three years.