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End of Census Jobs Swells Oregon Job Loss

July 26, 2010

End of Temporary Census Jobs Swells Oregon Job Loss
By Oregon Employment Department

Oregon’s seasonally adjusted unemployment rate was 10.5 percent in June, essentially unchanged from 10.6 percent in May. The rate has been between 10.5 and 10.7 percent for the most recent eight months. Oregon’s unemployment rate was 11.6 percent in June 2009, which tied May 2009 as Oregon’s highest unemployment rate since the early 1980s. The U.S. seasonally adjusted unemployment rate dropped to 9.5 percent in June from 9.7 percent in May.

The number of unemployed Oregonians dropped substantially, by more than 25,000, over the last 12 months. In June, 203,884 Oregonians were unemployed, compared with 229,471 unemployed in June 2009.

Oregon’s seasonally adjusted nonfarm payroll employment dropped by 3,600 in June, following a gain of 2,600 (as revised) in May.

Government employment declined in June, due mainly to the ending of 2,600 temporary Census jobs. In the private sector, most of the major industries saw monthly job changes close to their normal seasonal pattern. The biggest exception was in professional and business services, which posted a seasonally adjusted job decline of 2,500.

There was a substantial upward revision to the May payroll employment numbers. The originally reported seasonally adjusted totals showed no change between April and May. Revised numbers show a gain of 2,600 jobs. The upward revisions were spread across several service-providing industries: government; educational and health services; professional and business services; and trade, transportation, and utilities.

Government shed 3,500 jobs in June at a time of year when a loss of only 300 is expected due to seasonality. The ending of work for 2,611 intermittent Census workers reduced both federal government and total government for June, subtracting from the 6,403 individuals who were working for the Census in May.

Professional and business services dropped 2,500 jobs on a seasonally adjusted basis in June, following a flat seasonally adjusted trend since October. Much of the decline in June was due to below-normal hiring in the component industry “administrative and waste services.” This industry is down 3,700 jobs over the past 12 months with job losses in all of its component categories. The closely watched employment services industry employed only 27,000 in June – 700 below its year-ago level. The expansion in this industry stalled in recent months.

Trade, transportation, and utilities added 1,500 jobs in June, about its typical June seasonal pattern. Retail trade dropped for the third consecutive month, losing 2,100 jobs on a seasonally adjusted basis in June, but remaining 700 jobs above the level in June 2009. Wholesale trade continued to rebound, up 2,700 jobs on a seasonally adjusted basis since its low in November 2009. Transportation, warehousing, and utilities shot up 1,100 jobs on a seasonally adjusted basis in June.

Financial activities gained 300 in June to total 93,000; employment has been fairly constant in the first half of 2010.

Educational and health services cut only 2,400 jobs in June, when a loss of 4,100 is the normal seasonal pattern. Private educational services was the primary reason for the better-than-normal showing in June, as summer break started with a minimal loss of 1,600 jobs. Health care and social assistance cut 800 jobs in June but remained 600 above the level in June 2009.

Construction added 2,100 jobs in June as it ramped up for the busy summer building season. The industry typically adds thousands of additional workers in July and August, followed by cutbacks in subsequent months.

Manufacturing added only 2,200 jobs in June, below its normal seasonal gain of 2,800. The industry has hovered around 162,000 jobs since last August. Durable goods employment is down 4,200 since June 2009.

  
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