Employment nudged up in April
Iowa’s unemployment rate dropped to 5.1 percent in April from 5.2 percent in March, the result of a slight increase the number of Iowans holding jobs in the trade and transportation, wholesale, retail, government and manufacturing sectors.
A year ago, the unemployment rate was 4 percent.
“The pace of job losses slowed in April, suggesting that the Iowa economy may be in the early stages of a turn,” Iowa Workforce Development Director Elisabeth Buck said in a news release. “However, the labor market is still very weak, and any recovery is expected to be modest and prolonged.”
Iowa joined 20 other states that reported drops in their April unemployment rates; rates remained unchanged in another 11 states, while 18 states and the District of Columbia reported increases, the U.S. Bureau of Labor Statistics said today.
The total number of working Iowans edged up to 1,590,000 in April from 1,587,300 in March, but was 18,500 below the year-ago level of 1,608,500.
Iowa’s pool of unemployed workers trended downward to 85,400 in April from 87,500 in March. The statewide estimate of unemployed people was reported at 66,900 in April 2008.
The U.S. unemployment rate climbed to 8.9 percent in April from 8.5 percent in March, and compared with 5 percent in April 2008.
Statewide nonfarm employment dropped to 1,491,800 in April, 1,600 less than the prior month’s total of 1,493,400. The April figure was the lowest since December 2005, and continued a three-month decline. Nonetheless, the April loss of 1,600 jobs was substantially less than the previous two months’ average loss of 9,300. Five “super sectors” reported gains in April; six reported losses.
Trade and transportation added 2,000 jobs in April, fueled by a gain of 1,000 in retail trade and 800 in wholesale trade. Government increased by 1,700 in April, primarily due to local governments hiring staff for the summer months. Manufacturing posted a small gain of 100, the first increase for the sector since August 2008. Leisure and hospitality shed 1,700 jobs, and finance reduced staff by 1,000.
Compared with last year, total nonfarm employment has contracted by 32,800. Manufacturing has dropped 20,900 jobs, accounting for more than 60 percent of the annual loss. Professional and business services had the second-largest drop, down 10,200. Trade and transportation and education and health have expanded the most over the year, adding 4,900 and 4,400, respectively.