Economic director - Unemployment outlook positive

suntimesnews.com

JEFFERSON CITY - Unemployment was down in both Perry and Ste. Genevieve Counties in June, according to the Missouri Department of Economic Development.

Ste. Genevieve, however, fell only one-tenth of 1 percent between June 2002 and June 2003, going from 6.2 to 6.1. The rate had been 5.0 in May 2003.

The Perry County jobless rate fell four-tenths of 1 percent, down from 4.2 to 3.8. The rate had been 3.1 in May.

Unemployment rates for surrounding counties: Jefferson: 5.8, down from 5.9 in June 2002, but up from 4.9 in May 2003; St. Francois: 7.8, down from 8.2 in June 2002, but up from 7.1 in May 2003; Bollinger: 7.2, down from 7.6 in June 2002, but up from 6.2 in May 2003; and Cape Girardeau, 4.1, down from 4.3 in June 2002, but up from 3.8 in May 2003.

Missouri's unemployment rate rose in June, but remained well below the national unemployment rate, which also increased.

Missouri's non-farm payroll employment, however, grew in June for the third consecutive month. Employment increased by 4,800 jobs, on a seasonally adjusted basis, between May and June. Employment jumped by 6,900 in May and by 12,500 in April. Since January, Missouri's employment has grown by 36,800.

"We are optimistic about the consistent growth of the labor force since early this year and by the fact Missouri's unemployment rate remains significantly below the national rate," said Joseph Driskill, state Department of Economic Development director. "Even though our rate, like the national rate, reflected an increase in June, we are continuing to see signs of an economic rebound in Missouri. Relative to many other states, we are definitely seeing positive and exciting trends."

June employment figures showed improvement in leisure and hospitality (9,000 jobs), educational and health services (5,700 jobs), manufacturing (1,700 jobs), and construction (1,600 jobs.) Over-the-month decreases were noted in trade, transportation and utilities (-6,300 jobs); financial activities (-2,900 jobs); government (-2,500 jobs); and other services (-2,000 jobs). Since these are based on seasonally adjusted data, some of the monthly swings may be the result of variations in timing of seasonal change.

Seasonally adjusted unemployment reached 5.6 percent in June, increasing three-tenths of a percent from May. This represents an unemployment level of 168,600. The nation's seasonally adjusted unemployment rate remained higher at 6.4 percent.

Missouri's unadjusted unemployment rate climbed nine-tenths of a percent between May and June to 5.8 percent, reflecting the seasonal increase that occurs in the summer. The nation's unadjusted unemployment rate also surged last month, rising from 5.8 percent in May to 6.5 percent in June.

With payroll employment growing in recent months, over-the-year employment declines are becoming smaller in Missouri than they were earlier. Between June 2002 and June 2003, employment decreased by 35,800 (1.4 percent), using seasonally adjusted data.

Manufacturing employment decreased by 6,500 jobs between June 2002 and June 2003. The main exception to this trend has been food manufacturing, where employment has increased by 2,700 jobs over the past year.

Employment in the trade, transportation and utilities super sector has fallen by 9,100 jobs over the year. Half of this decrease (4,600 jobs) occurred in air transportation. Retail trade employment has fallen by 4,300 jobs in the aggregate.

Durable goods wholesalers have added jobs, on balance, as employment is now 2,000 jobs higher than in June 2002.

Industry groups reporting lower employment than a year earlier include administrative and support services (-5,700), telecommunications (-3,900), construction (-2,800), financial activities (-2,300), leisure and hospitality (-2,500) and government (-8,700).

On the positive side, health care and social assistance have added 5,300 jobs over the year, while employment at religious, grant-making, and civic and professional organizations has increased by 4,800 jobs, on balance.