Iowa Unemployment Rate Holds Steady at 6.0 Percent
Friday, July 22 2011 @ 10:00 AM CDT
Contact: Kerry Koonce: (515) 281-9646
DES MOINES, IOWA – Iowa’s seasonally adjusted unemployment rate for June held steady at 6.0 percent for the third consecutive month. One year ago, the state’s jobless rate was 6.1 percent. Meanwhile, the U.S. economy experienced a “soft patch” during second quarter that pushed the national unemployment rate to 9.2 percent in June from 9.1 percent in May.
“Iowa’s economic recovery remains on track as we move into the second half of 2011,” said Teresa Wahlert, director of Iowa Workforce Development. “The state’s unemployment rate averaged 6.0 percent for the first six months of the year compared to 9.0 percent for the nation.”
The state’s pool of unemployed persons increased to 100,900 in June from 100,500 in May. However, the number of unemployed fell by 1,500 since June 2010.
The total number of working Iowans fell to 1,576,100 in June, its lowest point for the year. The figure compared with 1,582,500 for May, and 1,566,800 for one year ago.
Seasonally Adjusted Nonfarm Employment
Total nonfarm employment decreased to 1,482,300 in June; 4,500 less than in May, but 12,400 higher than one year ago. The private sector added a slight 500 jobs, which was offset by a larger-than-expected drop in government.
Both retail trade and transportation added 2,000 jobs this month to lead all sectors, while health services advanced by 1,300 primarily due to job gains in social assistance. Local governments pared 4,600 jobs in June. Most of the monthly decline was not due to cyclical layoffs, but rather a shift in the seasonal summer employment in local governments. Workers who are typically furloughed in July were released in June this year. Elsewhere, other services decreased by 1,900 jobs due to cutbacks in membership associations and organizations along with personal and laundry services. Leisure and hospitality lost 1,700 jobs—the first decline since January. Financial activities dropped by 1,200 jobs, while construction and manufacturing reflected losses of 600 and 900, respectively.
Compared to last year, nonfarm employment has increased by 12,400 jobs, or 0.8 percent. The private sectors, which have added 19,600 jobs, have accounted for the gains. On the other hand, government has shed 7,200 jobs over the year. Leisure and hospitality has added the most jobs since last June (7,600), followed by manufacturing (4,200), and health services (4,100). In private industry, year-over-year losses have been concentrated in financial activities (-2,600) and other services (-2,100).
MEDIA ALERT: An audio cut of comments about Iowa’s labor market situation is available by calling (515) 281-6057. Statewide data for July will be released on August 19, 2011, followed by the posting of local data on August 23, 2011.
Visit www.iowaworkforce.org/lmi/laborforce/locallaborforce.html for county unemployment rates,
www.iowaworkforce.org/lmi/laborforce/index.html for current and historical labor force data and
www.iowaworkforce.org/lmi/empstat/msanonag.htm for detailed information on nonfarm employment.