Unemployment in the Pittsburgh region fell to 6.8 percent for March, a level not seen in the region since March 2009.

The unemployment rate for the seven-county Pittsburgh Metropolitan Statistical Area was a full percentage point below the rest of the state, which logged 7.8 percent unemployment, and 2 percentage points behind the national rate of 8.8 percent.

While this morning's news from the state Department of Labor and Industry is promising, there is still a long way to go to return to normal employment. While the raw number of nonfarm jobs rose by 8,600 in March, when those numbers were seasonally adjusted, March employment actually dropped by 300 jobs, which was the first decline since September 2010.

Hiring was mainly concentrated in the industries that usually grow in the spring. Construction work rose by 2,100 jobs and leisure and hospitality jobs were up by 1,800 for the month.

Whether the news was good or bad depends on where you are standing, said Mark Price, a labor economist for the Keystone Research Center in Harrisburg,

"These are very good numbers, but not good enough," Mr. Price said. "If you're unemployed, it's still a rough economy."

There are 89,400 people who are unemployed in the region, based on levels that are not seasonally adjusted.

What does stand out, Mr. Price said, is that the unemployment rate in the Pittsburgh region, which never reached the 10 percent mark like the rest of the nation, is falling along with the national rate. He said that helped to alleviate concerns that Pittsburgh would continue to feel the lingering effects of the recession well after rest of the country was experiencing a recovery.

"Unemployment at 6.8 percent still means there are a lot of people who aren't out earning money or paying taxes," he said. "School districts will continue to suffer. Local municipalities will continue to suffer."

Some of the industries that have helped the region's economy weather the recession continued to lead job gains. Health care and social assistance gained 1,900 jobs from February and hiring in that sector was up 4,400 jobs over March 2009. Professional and business services gained 2,100 jobs.

But other sectors continued job losses. The state government cut 100 jobs last month and 800 since March of last year while educational services lost 700 jobs last month.

While manufacturing was up overall by 800 jobs, there were 100 fewer jobs in the manufacturing of steel and other metals.

While unemployment is dropping, gasoline prices may prove to be a rock in the economy's shoe that keeps it from hitting full stride.

Monday gasoline prices hit an average of $3.86 in the nation and $3.87 locally. The local price was just 18 cents below the high of $4.05 set in June 2008.

"Gas prices could slow things down," Mr. Price said.

Gas prices in New York have hit $4.07. The highest rate in the contiguous 48 states is in California, where drivers are paying an average of $4.22 a gallon.

California drivers can consider themselves lucky compared to Hawaii, where drivers are putting gasoline in their cars for $4.54 a gallon -- and they can't drive over the state line for cheaper fuel.