Area job losses push unemployment higher in June
Area jobless rates rose in June as the effects of the nationwide economic recession continued to hammer the workforce. Job losses were the main cause of the unemployment increase, according to state data. Fayette County’s unemployment rate in June neared double digits, reaching 9.6 percent, up from May’s 9.3 percent. Fayette County’s jobless rate in June 2008 was 6.5 percent.
Unemployment rates in Greene County were 8 percent in June, 7.9 percent in May and 5.8 percent in June 2008.
Washington County’s jobless rates were little changed: 8 percent in June and 8.1 percent in May. Its rate was 5.2 percent in June 2008.
In terms of ranking among all 67 counties in Pennsylvania, Fayette County had the 45th highest jobless rate while Greene and Washington counties each had the 20th highest rate. The lowest jobless rate in June in the state was 5.8 percent in Centre County and the highest was 18.6 percent in Cameron County.
Meanwhile, Lauren Nimal, Pennsylvania Department of Labor Center for Workforce Information and Analysis industry and business analyst, said that in June, unemployment in the PMSA rose to 7.6 percent, up from 5 percent in June 2008. Counties in the PMSA are Fayette, Washington, Westmoreland, Allegheny, Armstrong, Beaver and Butler.
Nimal said it was the highest rate for the PMSA since November 1986.
The PMSA rate was below both the Pennsylvania rate of 8.3 percent and the national rate of 9.5 percent. The PMSA unemployment rate rose 2.6 percent above the June 2008 rate.
Among Pennsylvania’s 14 metropolitan statistical areas, the Pittsburgh and Altoona MSAs unemployment rates tied at fifth lowest. Rates in the PMSA ranged from 6.9 percent in Allegheny County to 9.8 percent in Armstrong County.
The seasonally adjusted jobs count in the PMSA declined 2,100 to 1,120,900 in June. Over the year, the area shed 29,800 jobs, a decline of 2.6 percent.
In specific industry areas, Nimal reported goods-producing companies in the PMSA added 1,100 jobs in June. “This was the smallest June increase on record and it followed the smallest May increase on record (current data series back to 1990),” she said. Construction firms added 1,200 jobs, a typical seasonal increase. Manufacturers cut 200 jobs, deviating from the average June gain of 600. Durable and non-durable goods manufacturers were both at record lows after each shed 100 jobs from May, she added.
In June, service-providing jobs rose 3,700 to 984,200. “Like last month, leisure and hospitality added the most jobs, up 3,700 to 111,000. The majority of the increase was in arts, entertainment and recreation due to businesses like amusement parks ramping up employment for the summer. Trade, transportation and utilities gained 900 jobs with most of the increase from retail trade. Educational services, state government, and local government educational services showed declines due to the end of the academic year. Management of companies and enterprises reached a record high in June, up 500 to 33,200 jobs,” she said.
Goods producers and service providers both lost jobs since June 2008.
“Down 10,300 jobs from last June’s level, manufacturers cut more jobs than any other supersector,” Nimal reported. Service-providing industries were 17,000 jobs below the peak of 1,001,200 in June 2008. Trade, transportation and utilities, professional and business services, and leisure and hospitality each slashed more than 5,000 jobs over the year, she said.