Des Moines — Iowa’s seasonally adjusted unemployment rate rose slightly to 6.6 percent in January from a revised December rate of 6.5 percent. The state’s jobless rate was 5.2 percent for the same month one year ago. Meanwhile, the U.S. unemployment rate took an unexpected turn for the better in January, dipping to 9.7 percent.
“Iowa has started the long journey back from a deep and prolonged recession,” said Elisabeth Buck, director of Iowa Workforce Development. “Recent indicators show that confidence is beginning to rebuild among the state’s employers, which will gradually lead to hiring activity.”
Iowa’s pool of unemployed workers increased to 111,000 in January from 109,800 in December. The estimate of unemployed persons was reported at 86,900 for January 2009.
The total number of working Iowans increased to 1,570,200 in January from 1,567,600 in December. Total employment was 18,900 higher one year ago at 1,589,100.
Seasonally Adjusted Nonfarm Employment
Total nonfarm employment increased by 4,600 in January, bringing the new total to 1,463,400. Employers in both the goods-producing and service-providing industries added workers this month. Some sectors, including retail trade and leisure and hospitality, rebounded to normal operating levels in January following a disappointing holiday season.
Trade and transportation added the most jobs this month, up 3,400. Increases in retail trade more than offset the drops in transportation and wholesale trade. Leisure and hospitality, which reflected anemic employment numbers in December, recovered somewhat in January with a gain of 3,000. Elsewhere, construction gained 1,900; and education and health care increased by 1,000. Job losses were distributed across several sectors. Finance shed 1,400; professional and business services pared 1,200; manufacturing declined by 1,100, and government dropped by 700.
Compared to last January, the Iowa economy has lost 38,200 jobs, or 2.5 percent of its nonfarm employment. Manufacturing accounted for an overwhelming share of the over-the-year losses at 16,600. Trade and transportation came in a distant second with a decrease of 7,000, and construction incurred the third largest loss at 5,200. Education and health was the only sector to show a relatively large gain of 3,300 jobs.
Local News
Iowa's unemployment at 6.6 percent
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