Iowa's Unemployment Rate Remains at 3.4 Percent in December

Iowa Workforce Development Communications
For Immediate Release
Date: January 26, 2016
Contact: Courtney Greene
Telephone: 515-281-9646
Email:  courtney.greene@iwd.iowa.gov

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Iowa's Unemployment Rate Remains at 3.4 Percent in December

DES MOINES, IOWA – Iowa’s seasonally adjusted unemployment rate remained at 3.4 percent in December. The state’s jobless rate was 4.3 percent one year ago. The U.S. unemployment rate remained at 5.0 percent in December.

“Iowa’s economy ended on a high note in December, maintaining the growth we have seen since the beginning of the year,” said Beth Townsend, director of Iowa Workforce Development. “Iowa’s nonfarm employment gained jobs for the ninth time this year, expanding by 1,100 jobs in December.  More importantly, the state’s unemployment rate held at 3.4 percent this month which continued the downward trend from the high of 4.2 percent established in January 2015.”

The number of unemployed Iowans fell to 58,300 in December from 58,800 in November. The current estimate is 15,300 lower than the year ago level of 73,600.

The total number of working Iowans increased to 1,650,500 in December. This figure was 3,200 higher than November and 8,500 higher than one year ago.

Seasonally Adjusted Nonfarm Employment

Iowa’s nonfarm employment added 1,100 jobs in December, expanding Iowa’s total nonfarm employment to 1,584,700 jobs. The monthly gain was the second-consecutive and helped cement a year that was generally positive for nonfarm employment. Overall, the state averaged 2,100 jobs added per month during the year. Private sectors fueled the job growth this month with government paring jobs (-1,100) due to early release of local government workers. With this loss, government is down slightly compared to last year (-1,400).  Since last year, the state is now up 25,600 jobs—a gain of 1.6 percent versus last December.

Job gains in December were led by gains in construction (+2,400), and may be partially attributed to fair weather to end the year allowing firms to continue working late into the year. Other services also had a large gain (+1,400). The growth was an expansion on an already prosperous year that saw 4,500 jobs added. The education and health services sector increased in December (+1,100) due primarily to hiring in private education (+900). Smaller gains this month included manufacturing (+300), financial activities (+200), and mining (+100). Alternatively, trade and transportation led all sectors in jobs lost this month (-2,500). Much of this loss stemmed from a disappointing retail season (-2,000). Professional and business services shed jobs (-800) with losses being fueled by administrative support and waste management occupations.

Annually, construction has added 10,000 jobs since last December—the most of any sector in terms of jobs gained and percentage (+12.9 percent). However, some of these gains may wane some in 2016 as large-scale projects come to an end. Education and health services are markedly up (+6,700), followed by other services (+4,500) then financial activities (+3,200). Annual losses were slight in those industries that are down annually with the exception of manufacturing (-1,700) and information services (-700).

MEDIA ALERT:  An audio cut of comments about Iowa’s labor market situation is available by calling (515) 281-6057. Statewide and local data for January 2016 will be released on Monday, March 14, 2016.

Employment and Unemployment In Iowa, Seasonally Adjusted Data         Change from   December  2015 November 2015 December  2014 November  2015 December  2014 Civilian labor force 1,708,700 1,706,100 1,715,600 2,600 -6,900 Unemployment 58,300 58,800 73,600 -500 -15,300 Unemployment rate 3.4% 3.4% 4.3% 0.0 -0.9 Employment 1,650,500 1,647,300 1,642,000 3,200 8,500                 U.S. unemployment rate 5.0% 5.0% 5.6% 0.0 -0.6             Nonfarm Employment In Iowa, Seasonally Adjusted Data             Total nonfarm employment 1,584,700 1,583,600 1,559,100 1,100 25,600 Mining 2,200 2,100 2,300 100 -100 Construction 87,500 85,100 77,500 2,400 10,000 Manufacturing 215,000 214,700 216,700 300 -1,700 Trade, transportation and utilities 315,000 317,500 315,200 -2,500 -200 Information 24,600 24,600 25,300 0 -700 Financial activities 107,800 107,600 104,600 200 3,200 Professional and business services 139,500 140,300 137,100 -800 2,400 Education and health services 230,400 229,300 223,700 1,100 6,700 Leisure and hospitality 142,600 142,600 139,700 0 2,900 Other services 63,800 62,400 59,300 1,400 4,500 Government 256,300 257,400 257,700 -1,100 -1,400

 

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