Iowa unemployment above 6 percent
Layoffs and an influx of recent graduates entering the job market pushed the state’s seasonally adjusted unemployment rate to 6.2 percent in June from a revised rate of 5.7 percent in May.
One year ago, Iowa’s unemployment rate was 4.1 percent. Since that time, the state has shed 43,000 jobs.
The U.S. Bureau of Labor Statistics reported today that the national unemployment rate was 9.5 percent last month.
“Iowa followed the national trend in June with its steepest job cuts occurring in construction, manufacturing, and professional and business services,” Elisabeth Buck, director of Iowa Workforce Development, said in a news release.
All told, the number of unemployed Iowans climbed to 104,100 in June, the highest level reported since February 1986. The June estimate compares with 95,800 for May and 68,400 for June 2008.
Manufacturing employment was down 1,800 in June, as factories continued to downsize in the wake of decreasing orders. Employment in professional and business services fell by 1,600, with temporary-help services accounting for a major share of the sector’s job losses. Construction pared 1,100 jobs, bringing the sector to its lowest employment level since August 2003.
The manufacturing sector posted a loss of 27,700 jobs since June 2008, representing 64 percent of the total jobs losses that have occurred over the year. Other sectors reflecting substantial declines compared with one year ago are professional and business services, down 11,100, and construction, down 7,300.
Education and health added 4,400 jobs over the year and 400 jobs were added in both finance and government.