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Unemployment moving in the right direction
By Kalea Hall
YOUNGSTOWN
The Ohio Department of Job and Family Services reported a 5 percent unemployment rate Friday.
Five percent to 5.5 percent is considered a level at which the economy is at full employment, but at this point, the state and the region still have some work to do, analysts said.
“You could have a 5 percent employment rate, but slack in the labor force,” said Mekael Teshome, PNC economist. “I think we still have slack in the labor market. There are people who should be included in this, and there are those people who are underemployed.”
Local unemployment rates will be released Tuesday.
In Ohio, the civilian labor force was 5.722 million in July 2015 compared with 5.738 million in June 2015. Ohio’s unemployment rate was 5.2 percent in June.
Ohio’s nonfarm wage and salary employment increased 14,900 in July, from a revised 5.38 million in June to 5.39 million in July.
The number of workers unemployed in Ohio in July was 286,000, down 10,000 from 296,000 in June. The number of unemployed has dropped by 30,000 in the past 12 months from 316,000.
The July unemployment rate for Ohio was down from 5.5 percent in July 2014.
The Ohio economy in July saw a boost in trade, transportation and utilities by 1,100 jobs and information by 300 jobs. Government added 25,300 jobs due to gains in local employment of 21,200 and state of 4,100 jobs.
But those gains did not trump the job losses in July. Goods-producing industries lost 5,000 jobs in manufacturing, construction and mining and logging. The private service-providing sector lost 5,400 jobs. There also were employment losses in professional and business services of 2,100, other services of 1,700, leisure and hospitality of 1,500, financial activities of 1,200, and educational and health services of 300.
“We are moving in the right direction but in an uneven way,” Teshome said.
The U.S. unemployment rate for July was 5.3 percent, unchanged from June and down from 6.2 percent in July 2014.