The US economy is still strong and workers are in short supply.

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Employment figures released on Friday show that despite lay-offs in manufacturing, the unemployment rate fell to 4.4%, the lowest since April and May, when unemployment stood at 4.3%, a 28-year low.

During the holidays, stores across the country will hire an estimated 600,000 workers to deal with the seasonal rush, but in some parts of the United States, the unemployment rate is effectively zero, making workers hard to find.

It's an employee's market

The job market has been "tighter and tighter over last 18 months to two years," said JoAnn Groff, president of the Colorado Retail Council.

"We are at a point now, that all the people who want to be working are working."

In Douglas County, Colorado, just south of Denver, the unemployment rate stands at 1.7%.

Made in America: Shops are bidding for workers

"Unfortunately, the economy is so great, it is really an employees market, not an employers," said Janet Beaudry, marketing director at Park Meadows Mall, a shopping centre south of Denver.

From the Thanksgiving holiday through to Christmas Eve, Ms Beaudry said an estimated 1.5 million customers will flood the shopping centre.

The four major department stores and 120 speciality shops in the mall expect to increase their staff numbers by up to 25%.

The 1.7 million square foot mall features huge "pavilion" style stores, which add to the retailers' challenge.

Casual clothing chain Eddie Bauer has 35,000 square feet alone. With stores that large, "you can't have 10 employees, you have to have 150 employees," Ms Beaudry said.

Big discounts

Managers at Park Meadows began hosting job fairs early in October to fill an estimated 800 positions.

Employers have had to offer a raft of perks to prospective employees. One electronics retailer in Colorado offered employees 40% discounts in the hope of luring workers.

The tight labour market meant more than increased discounts and benefits for workers - it has also meant more money.

"There is hardly anyone making minimum wage anymore," Ms Beaudry said, adding that food court staff were being offered $3 more than the current hourly minimum wage of $5.15.

Decorations and job adverts came early

One employer has been paying employees a bonus if they recruit a new employee for the holiday shopping season and an additional bonus if the new employee stayed on through Christmas, Ms Groth said.

The situation in Denver has mirrored trends in many other parts of the United States as it shifts towards an information economy.

Ms Groth said that Colorado currently has openings for 7,000 high-tech workers with an average salary of $60,000.

More than a minimum wage

Retailers are caught in a Catch-22, Ms Groff said.

Retail positions are an entry-level jobs with a high rate of turnover, as workers gain experience and move on to higher paying work.

But in areas like Denver with plenty of high paying jobs, people have money to spend, fueling a retail boom - creating demands for more retail staff.

Colorado has seen increases in retail sales every year since 1992 with several years of double digit growth.

Colorado is not alone with a tight labour market.

Retailers have been working all year to find employees, said Michelle LaBarbera, marketing director of the Potomac Mills mall, just south of Washington.

Potomac Mills has a job listing at their customer service centres, Ms LaBarbera said, and many malls have job hotlines and listings on their Websites.

The strong retail market in the US has helped offset lay-offs in the manufacturing sector.