Oregon's Unemployment Rate Unchanged in August

Oregon’s August job gain contrasted with the national employment picture, where a slight loss of 4,000 jobs was recorded at the national level.

Salem-News.com

(SALEM, Ore.) - Oregon’s seasonally adjusted unemployment rate was essentially unchanged at 5.4 percent in August from 5.5 percent in July. The U.S. seasonally adjusted unemployment rate was 4.6 percent in both July and August. In August, Oregon’s seasonally adjusted nonfarm payroll employment grew by 5,000, following a gain of 1,100 in July.

Industry Payroll Employment (Establishment Survey Data)

Nonfarm payroll employment is up 1.0 percent since August 2006.

Over-the-year gains were most numerous in accommodation and food services (+6,700 jobs), retail trade (+6,400), and local government (+5,100). Gains in these rapidly growing industries were partially offset by declines over the past 12 months in manufacturing (-8,100 jobs), natural resources and mining (-1,000), and financial activities (-700).

In August, seasonally adjusted payroll employment expanded by 5,000 after a revised gain of 1,100 in July.

These gains followed a loss of 1,600 jobs in June.

In August, five of the major industry groups posted gains between 700 and 1,700, while none showed a substantial loss.

Oregon’s August job gain contrasted with the national employment picture, where a slight loss of 4,000 jobs was recorded at the national level.

Professional and business services added 2,500 seasonally adjusted jobs in August, partially rebounding from a drop of 5,400 jobs between April and July.

Employment services was the primary contributor, adding 2,300 jobs (not seasonally adjusted) in August.

However, the one month gain in employment services has not been a sustained trend, as the industry is down 1,300 jobs over the past 12 months.

Trade, transportation, and utilities got back on the track of modest job gains, adding 1,000 seasonally adjusted jobs in August.

A surge in new store openings has contributed to expanding employment levels in retail trade.

Keizer Station, a relatively new development just off Interstate 5 Highway north of Salem, is a prime example of expansion of primarily national retail chains adding locations in Oregon.

Other retail chains expanding include those in food stores, general merchandise, and drugstores.

Leisure and hospitality has been the largest contributor to job growth over the past 12 months of the major industries.

In August, it added 900 jobs on a seasonally adjusted basis and is up 6,700 jobs, or 4.0 percent since August 2006.

Most of the job gains here stem from expansion in food services and drinking places, which is up 1,400 (not seasonally adjusted) in August and up 6,100 jobs over the year.

Government cut only 500 jobs in August, which was less than the normal drop of 1,400 jobs for the month of August.

Over the past year, federal government employment is essentially unchanged, state government is down 1,000 jobs, and local government is up 5,100 jobs.

All three components of local government have added substantial employment over the last 12 months, including local education (+3,500 jobs), Indian tribal establishments (+600), and other local government (+1,000).

Construction employment in Oregon defied the national trend by adding 2,600 jobs in August, which was 700 more than expected due to normal seasonal factors for the month.

After experiencing very rapid job gains from late 2003 through early 2006, seasonally adjusted construction employment in Oregon has remained in a fairly narrow range near 100,000 to 104,000.

In August, this measure of employment stood at 103,300 jobs.

Unemployment (Household Survey Data)

Oregon’s seasonally adjusted unemployment rate was 5.4 percent in August and 5.5 percent in July.

It remains close to levels seen throughout the past 20 months, when the rate ranged from 5.0 percent to 5.5 percent.

In August, 99,024 Oregonians were unemployed, compared with 101,099 in August 2006.