For Release: 10 a.m., June 19, 2009
Contact: Kerry Koonce: (515) 281-9646
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Iowa Unemployment Rate Climbs to 5.8 Percent
DES MOINES, IOWA – Iowa’s seasonally adjusted unemployment rate jumped to 5.8 percent in May from 5.1 percent in April, confirming the labor market’s current weakness. The state’s jobless rate stood at 4.0 percent for the same month one year ago. The U.S. unemployment rate reached 9.4 percent in May, up from 8.9 percent in April, and 5.5 percent in May 2008.
“A surge in new labor force entrants combined with a drop in employment pushed the state’s unemployment rate to a 22-year high in May,” said Elisabeth Buck, director of Iowa Workforce Development. “While unemployment may continue to rise for some time, job losses are expected to progressively lessen in the months ahead.”
The total number of working Iowans dropped to 1,583,100 in May from 1,589,900 in April. Total employment was 25,400 higher in May 2008 at 1,608,500.
The estimate of unemployed persons increased to 96,900 in May from 84,900 in April. This is the highest level of unemployment experienced in the state since July 1986, when the number was reported at 97,700. Unemployment is currently 29,300 higher than the year ago figure of 67,600.
Seasonally Adjusted Nonfarm Employment
Total nonfarm employment continued to drop for the fourth consecutive month, falling to 1,484,400 in May from 1,487,800 in April. Job losses were heavily concentrated in the goods-producing sectors, down 4,300. Meanwhile, the service sectors advanced by 900.
Professional and business services reflected a modest rebound of 1,600 in May, with increases primarily in temporary help and administrative support services. Construction and financial activities posted gains of 800 each; and trade, transportation and utilities was up 200 from April. The manufacturing sector continued to lose employment, as both durable and nondurable goods producers shed jobs, down 3,600 and 1,500, respectively. Education and health care declined by 700, and government lost 500.
Total nonfarm employment is 43,100 lower than the same month one year ago, and at its lowest point since August 2005. About 80 percent of the job losses have occurred in the goods-producing sector. Manufacturing has 27,800 fewer jobs than this time last year, while construction has pared 6,500. Among the service sectors, professional and business services has lost 9,000 jobs for the year, while leisure and hospitality has declined by 3,900. Conversely, trade and transportation and education and health have both advanced by 3,500 since May 2008.
MEDIA ALERT: An audio cut of comments about Iowa’s labor market situation is available by calling
(515) 281-6057. Local data for May will be available on the Web on Tuesday, June 23, 2009. Statewide information for June will be released on Friday, July 17, 2009, followed by the posting of the local data on Tuesday, July 21, 2009.
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Employment and
Unemployment In Iowa, Seasonally Adjusted Data |
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Change From |
| |
May 2009 |
April
2009 |
May 2008 |
April 2009 |
May
2008 |
| Civilian Labor Force |
1,680,000 |
1, 674,800 |
1,676,100 |
5,200 |
3,900 |
| Unemployment |
96,900 |
84,900 |
67,600 |
12,000 |
29,300 |
| Unemployment Rate |
5.8% |
5.1% |
4.0% |
0.7 |
1.8 |
| Employment |
1,583,100 |
1,589,900 |
1,608,500 |
-6,800 |
-25,400 |
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|
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|
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| U.S. Employment Rate |
9.4% |
8.9% |
5.5% |
0.5 |
3.9 |
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Nonfarm Employment In
Iowa, Seasonally Adjusted Data |
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|
|
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| Total Nonfarm Employment |
1,484,400 |
1,487,800 |
1,527,500 |
-3,400 |
-43,100 |
| Mining |
2,200 |
2,200 |
2,200 |
0 |
0 |
| Construction |
67,300 |
66,500 |
73,800 |
800 |
-6,500 |
| Manufacturing |
201,800 |
206,900 |
229,600 |
-5,100 |
-27,800 |
| Trade, Transportation and Utilities |
312,900 |
312,700 |
309,400 |
200 |
3,500 |
| Information |
32,600 |
32,600 |
33,800 |
0 |
-1,200 |
| Financial Activities |
102,800 |
102,000 |
102,900 |
800 |
-100 |
| Professional and Business Services |
114,200 |
112,600 |
123,200 |
1,600 |
-9,000 |
| Education and Health Services |
209,400 |
210,100 |
205,900 |
-700 |
3,500 |
| Leisure and Hospitality |
132,000 |
132,300 |
135,900 |
-300 |
-3,900 |
| Other Services |
56,200 |
56,400 |
57,800 |
-200 |
-1,600 |
| Government |
253,000 |
253,500 |
253,000 |
-500 |
0 |
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