Jobless rates in June are mixed, area has fewer job seekers
Area unemployment rates were mixed in June, although generally there were fewer job seekers in the labor market. “Fewer new job seekers brought the number of unemployed down 4,300 pulling the unemployment rate down .3 of a percentage point from May to June,’ Michele Hiester, industry and business analyst for the Pennsylvania Department of Labor, said.
The seasonally adjusted unemployment rate in the six-county Pittsburgh Metropolitan Statistical Area (PMSA) “receded by .3 of a percentage point to 5.1 percent. The area’s rate has hovered around 5.0 percent for the first half of 2002. The labor force, adjusted for seasonality, numbered 8,700 fewer persons dropping to 1,177,100,’ Hiester added.
Locally however, Fayette County’s jobless rate rose to 7.5 percent in June from 7.4 percent in May. Fayette’s jobless rate in June 2001 was 7 percent.
Greene County’s rate also rose to 6.5 percent in June, up from 5.8 percent in May. Greene County’s rate was 6.7 percent in June 2001.
Washington County’s rate fell to 5.5 percent in June from 6 percent in May. Washington County’s rate was 4.9 percent in June 2001.
Westmoreland County’s jobless rates were 5.5 percent in June; 5.4 percent in May; and 5.3 percent in June 2001.
Overall, Hiester said, the “June unemployment rate remained higher than last year’s 4.5 percent.
“Over the year, the number of employed residents dropped by 12,900 while the number of unemployed increased by 6,800 contributing directly to this year’s higher unemployment rate.’
She reported the PMSA’s June seasonally adjusted unemployment rate was lower than both Pennsylvania’s 5.3 percent and the U.S. rate of 5.9 percent.
June unemployment rates in the state’s major Labor Market Areas ranged from 3.5 percent in the State College MSA to 7.1 percent in the Erie MSA.
Meanwhile, Hiester said the PMSA realized a 5,700 rise in the number of nonfarm jobs in June.
“This was up .5 percent compared to the state’s .1 percent gain over the month. Goods and service producers both added area jobs over the month with many gains of a seasonal nature,’ she said.
More specifically, construction contractors added 1,400 more jobs to their payrolls to 59,400 in June. Summer projects continued to increase jobs, Hiester said in her report.
“Manufacturing industries were up 400 jobs in June with gains mainly in durable goods factories. Employment levels remained below last year’s level by 1,600 jobs. Durable goods producers realized the largest over-the-year drop,’ she said.
Transportation and utilities reduced jobs from May to June with transportation dropping 400. Local and interurban transportation dropped 600 as school bus drivers were temporarily laid off for the summer months, she noted.
“Retail trade jobs were up 1,900 over the month as summer business pushed restaurant employment up substantially. Gains occurred in all retail industries from May to June adding to the large increase in restaurants,’ Hiester said.
Finance, insurance and real estate also added 600 jobs over the month. Hiester said there were seasonal gains in real estate and increases in finance, which accounted for most of this rise.
“June gains in services, particularly in recreation and health, offset summer layoffs in education, both private and public. Job gains occurred in most services industries this month except education related, which reduced jobs, and repair services, which remained steady,’ Hiester said.
But factory workers’ average weekly paycheck shrunk by $1.27 over the month. “While the average workweek remained the same, average hourly earnings dropped 3 cents an hour pulling the weekly paycheck down slightly,’ she said.
Still, increases in county’s labor forces and in the number of unemployed pushed rates higher in Fayette and Greene.
Fayette County’s labor force in June totaled 58,900 people. In May, it was 58,200. The number of unemployed in Fayette in June reached 54,500 while it was 53,900 in May. Some people did find work, indicated by the fact that while the labor force grew by an estimated 700 people, the number of unemployed from May to June grew by 100 people.
Hiester noted in her monthly report that Greene County’s labor force “barely budged in June but due to rounding edged up 100.
“Unemployment rose 100 with most coming from the resident employment ranks. The county’s unemployment rate was just .2 of a percentage point lower than that of last June – 6.7 percent. Compared to last year at this time, the rounded labor force, resident employment and unemployment all remained steady,’ she said.
But, Hiester added, “A look at the unrounded numbers indicate the labor force retracted slightly, mainly in the unemployment count, pulling the area unemployment rate down over the year.’
Greene County’s unemployment rate was ranked 18th highest among the state’s 67 counties in June. Rates ranged from Cumberland County’s low of 3.4 percent to Forest County’s high of 16.6 percent.
Greene County’s civilian labor force edged up in June to 16,600.
The count of employed residents was down by 100 over the month to 15,500 in June. That came after a layoff at a local mine reduced the number of employed residents, Hiester said.
“Greene County employers reduced payrolls by 200 in June. The recent layoff at the Dilworth Mine pulled employment down 100 in mining combined with the typical reduction in educational services (private schools) of 100 jobs as summer break began,’ she said.