For the third month in a row, statewide unemployment held steady at 9.4 percent in the month of June, according to data released July 20 by the North Carolina Department of Commerce’s Labor and Economic Analysis Division.
“Since June of 2010, North Carolina has gained over 85,000 jobs,” said N.C. Department of Commerce Deputy Secretary Dale Carroll. “Over-the-year numbers also show gains for a majority of the job sectors. Our focus, along with our workforce partners, continues to be job growth and to put North Carolinians back to work with the help of employers and our employment service offices statewide.”
Unfortunately, North Carolina’s unemployment rate (9.4 percent) also lags behind the national unemployment rate of 8.2 percent.
Seasonally adjusted nonfarm industry employment increased by 16,900 to 3,963,100 in June, with the Professional and Business Services leading the way with the largest over-the-month job gains at 6,400.
The seasonally adjusted unemployment has remained the same since April at 9.4 percent, but is 1.2 percentage points lower than June 2011. Over-the-month, the number of persons unemployed did increase by 2,597, or .6 percent, however.
North Carolina gained more than 37,000 total nonfarm jobs over the past year, as the Service Providing sector picked up 38,600 jobs that offset 1,600 lost jobs in the Goods Producing sector.
Government led the way with 13,000 added jobs since June 2011, followed by Education and Health Services 12,100, and Trade, Transportation, and Utilities with 9,400.
The number of people employed decreased by 7,909 to 4,216,644 over the month, but increased by 60,223 since June 2011. The state unemployment rate in June 2011 was 10.6 percent.
The state’s labor force also shrank between May and June, as 5,312 NC residents, or .1 percent, left the state labor force. Year-over-year numbers, however, show improvement as 6,269, or .1 percent, more NC residents have been added to the state’s labor force since June 2011.
Seasonally adjusted Total Nonfarm industry employment (3,963,100) showed an increase of 16,900 (0.4%) since May 2012, and an increase of 37,000 (0.9%) since June 2011. Private sector employment grew both over the month by 11,700 (0.4%) and over the year by 24,000 (0.7%).
Of the major industries for which payroll data are seasonally adjusted, Professional & Business Services had the largest over-the-month gain in jobs (6,400; 1.2%), followed by Government (5,200; 0.7%), Education & Health (2,000; 0.4%), Manufacturing (1,500; 0.3%), Construction (1,400; 0.8%), Trade, Transportation & Utilities (1,200; 0.2%), Financial Activities (600; 0.3%) and Information (200; 0.3%). Other Services (900; 0.6%) had the largest over-the-month decrease, followed by Leisure & Hospitality (700; 0.2%).
Over the year, the Service Providing sector (all industries except Mining & Logging, Construction, and Manufacturing) showed an increase of 42,100 (1.3%) jobs. Professional & Business Services experienced the largest employment increase with 11,300 (2.2%), followed by Education & Health Services (11,200; 2.1%), Trade, Transportation & Utilities (10,300; 1.4%), Government (8,600; 1.3%), Leisure & Hospitality (1,700; 0.4%) and Financial Activities (1,600; 0.8%).
Other Services experienced the largest decrease (2,500; 1.6%), followed by Information (100; 0.1%). The Goods Producing sector decreased by 1,300 (0.2%) jobs over the year. Construction declined by 4,700 (2.6%), followed by Mining & Logging (200; 3.5%), while Manufacturing grew by 3,600 (0.8%). Food had the largest amount of manufacturing employment with 52,400 in June 2012.
Nationally, June’s unemployment rate was 8.2 percent, showing no change from the previous month. The number of persons unemployed grew by 29,000 (0.2%), while the civilian labor force increased by 156,000 (0.1%).
The U6 unemployment rate, a measure tracked by the United States Department of Labor’s Bureau of Labor Statistics, which ranks the country’s total number of unemployed, was 15.1 percent in June, a .8 percent increase from May 2012’s 14.3 percent. Year-over-year numbers show improvement from May 2011’s 16.4 percent, or a 1.3 percent improvement.
The U6 rate allows the BLS to track the total number of unemployed across the country, and includes “all persons marginally attached to the labor force, plus total employed part time for economic reasons.”
Persons, “marginally attached,” to the labor force, according to the BLS, include those, “who currently are neither working nor looking for work but indicate that they want and are available for a job and have looked for work sometime in the past 12 months.” The U6 rate also includes discouraged workers who, “have given a job-market related reason for not currently looking for work,” and those who are employed part time who want and are available for full-time work but have had to settle for a part-time schedule.
Average Weekly Hours for manufacturing production workers in June remained the same as May’s revised rate of 40.7. Average Hourly Earnings grew by $0.03 to $16.47, as Average Weekly Earnings increased by $1.22 to $670.33.
Regular Initial Claims for Unemployment Insurance (UI) totaled 46,512 in June, decreasing 5,208 from May. Thirty-seven percent of Initial Claims for June 2012 were “attached” to a payroll, meaning that employees expect to be recalled to their jobs.
A total of $95,463,043 in regular UI benefits was paid in June to 100,280 claimants statewide — a decrease of 3,342 claimants since May 2012. For the 12-month period ending June 2012, $3,271,914,323 was paid from all programs, both state and federal. The UI Trust Fund balance at the end of June was in the red ($2,562,835,341). The State Reserve Fund balance was $174,782,900.
The next unemployment update is scheduled for Friday, July 27, when the county unemployment rates, including Ashe, for June 2012 will be released.