CALIFORNIA BUSINESS MINUTE
Employment
06-20-11
Hi, I am Tim Johnson and welcome to the California Business Minute.
The unemployment rate can fall when the state loses jobs because people drop out
of the labor force, either because they're frustrated or are leaving the state and
apparently that is what has happen.
California’s unemployment rate fell to 11.7 percent down from a revised 11.8 percent,
The state also saw the loss of 29,200 jobs. According to the state Employment
Development Department, this is the most significant loss since September 2010.
The report provides little positive news. In a year-over-year comparison (May 2010
to May 2011), nonfarm payroll employment in California increased by 87,500 jobs (up
0.6 percent), illustrating a paltry average increase of just over 7,000 jobs a month.
Additionally first time jobless claims rose to 65,115 in May up from 63,739 in April.
The number of people unemployed in California was 2,117,000 – down by 24,000 over
the month, and down by 134,000 compared with May of last year.
Two categories (information and financial activities) added jobs over the month,
gaining 5,200 jobs. Financial activities posted the largest increase over the month,
adding 3,200 jobs. However, professional and business services posted the largest
decrease over the month, down 16,300 jobs. This is significant as the mid-year
forecast by Chapman University illustrates that it will be professional and business
services where the most employment growth will occur in the second half of the year.
Seven out of the state’s 58 counties have unemployment levels lower than the national
rate of 9.1 percent. Marin County has the lowest unemployment rate at 7.4 percent.
Imperial County has the highest unemployment rate at 27 percent. It is followed by
Sutter County at 20.3 percent and Alpine at 19.6 percent.
I am Tim Johnson and this has been the California Business Minute.
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