Global| Jan 25 2017U.S. State Unemployment Rates Vary from 6.7% to 2.8%
by:Tom Moeller
|in:Economy in Brief
Summary
The increase in the overall unemployment rate to 4.7% during December reflects a range of state unemployment rates from a high of 6.7% in Alaska to a 2.8% low in both Massachusetts and South Dakota. Alaska's jobless rate continued to [...]
The increase in the overall unemployment rate to 4.7% during December reflects a range of state unemployment rates from a high of 6.7% in Alaska to a 2.8% low in both Massachusetts and South Dakota.
Alaska's jobless rate continued to top the chart at 6.7%. That was below October high of 6.9%, but up from 6.4% early in 2015. The level of unemployment eased 0.3% during the last twelve months versus a 1.4% decline in the labor force. Alabama also registered a high unemployment rate at 6.2%, up from its 5.4% September low. Unemployment has risen 1.5% y/y. Two large states at the high end of the scale were Illinois (5.7%) and Pennsylvania (5.6%). Employment in the Keystone state held steady y/y, while unemployment rose by nearly one quarter y/y.
At the bottom of the state unemployment tally were small states including South Dakota at 2.8%, even though it had just 0.7% y/y employment growth. The 2.8% unemployment rate in Massachusetts was the lowest since 2000, and reflected a a 42.0% y/y decline in unemployment. Maine's low 3.8% unemployment rate brought with it 3.2% jobs growth and a 3.3% y/y decline in unemployment.. Another large state with low unemployment was Minnesota at 3.9%, but employment declined 1.4% y/y. The labor force similarly fell 1.2% y/y. Finally, Virginia's low 4.1% jobless rate brought with it just 0.9% y/y growth in jobs, set against a 0.4% rise in unemployment.
Unemployment amongst other states similarly varied greatly. Unemployment in New Jersey at 4.7% reversed much of its recent increase. Unemployment dropped 2.2% y/y, but the labor force fell 0.5% y/y. In Texas, the jobless rate of 4.6%, reflected a 2.3% y/y rise in employment, but a 2.3% y/y increase in unemployment. On the bright side of the unemployment spectrum was Massachusetts. Its jobless rate of 2.8% was down from 8.8% in January 2010. As of December, unemployment declined 42.0% y/y while employment rose 3.3% y/y.
Within large cities, unemployment in and around Los Angeles of 5.0% was below the state's average of 5.2% due to 3.9% growth in employment versus the state's 2.8% y/y gain. New York City's unemployment rate fell to 5.2%, compared to 4.9% in the state, as the number of unemployed fell 0.4% y/y, but the labor force declined 1.4% y/y. Around Chicago, the jobless rate of 5.9% compared to Illinois' average of 5.7%, but employment grew just 0.5% y/y. Near Seattle, the 3.7% unemployment rate was below the state's average of 5.2% as employment grew 5.2% y/y, and the size of the labor force rose 3.9% y/y.
State unemployment figures are available in Haver's EMPLR database.
| Dec | Nov | 2016 | 2015 | 2014 | Labor Force | |
|---|---|---|---|---|---|---|
|
Total U.S. Unemployment Rate (%) |
4.7% | 4.6% | 4.8 | 5.3 | 6.2 | 159.5 million |
|
Ten States With Highest Jobless Rate |
||||||
| Alaska | 6.7 | 6.8 | 6.7 | 6.5 | 6.9 | 0.4 |
| Alabama | 6.2 | 5.9 | 5.9 | 6.1 | 6.7 | 2.2 |
| Louisiana | 6.1 | 6.2 | 6.2 | 6.2 | 6.3 | 2.1 |
| West Virginia | 5.9 | 6.0 | 6.1 | 6.7 | 6.6 | 0.8 |
| Illinois | 5.7 | 5.6 | 6.0 | 5.9 | 7.0 | 6.6 |
| Pennsylvania | 5.6 | 5.7 | 5.4 | 5.0 | 5.8 | 6.5 |
| Mississippi | 5.6 | 5.7 | 6.0 | 5.5 | 7.4 | 1.3 |
| Georgia | 5.4 | 5.3 | 5.3 | 5.8 | 7.0 | 4.9 |
| Washington | 5.2 | 5.3 | 5.6 | 5.7 | 6.1 | 3.7 |
| California | 5.2 | 5.3 | 5.4 | 6.3 | 7.5 | 19.5 |
| Ten States With Lowest Jobless Rate | ||||||
| Virginia | 4.1 | 4.2 | 4.0 | 4.4 | 5.1 | 4.3 |
| Arkansas | 3.9 | 4.0 | 4.0 | 5.2 | 6.0 | 1.3 |
| Minnesota | 3.9 | 3.8 | 3.8 | 3.6 | 4.1 | 3.0 |
| Maine | 3.8 | 4.0 | 3.8 | 4.4 | 5.6 | 0.7 |
| Iowa | 3.6 | 3.8 | 3.9 | 3.6 | 4.1 | 1.7 |
| Nebraska | 3.4 | 3.4 | 3.1 | 2.9 | 3.2 | 1.0 |
| Colorado | 3.0 | 3.2 | 3.3 | 3.8 | 4.9 | 2.9 |
| Hawaii | 2.9 | 3.0 | 3.2 | 3.6 | 4.4 | 0.7 |
| Massachusetts | 2.8 | 2.9 | 3.9 | 4.9 | 5.7 | 3.6 |
| South Dakota | 2.8 | 2.7 | 3.1 | 3.1 | 3.4 | 0.5 |
| Jobless Rate In Other Selected Large States | ||||||
| Michigan | 5.0 | 4.9 | 4.7 | 5.4 | 7.1 | 4.7 |
| North Carolina | 5.0 | 4.9 | 5.1 | 5.7 | 6.2 | 4.8 |
| Ohio | 4.9 | 4.9 | 4.9 | 4.8 | 5.7 | 5.7 |
| Florida | 4.9 | 4.9 | 4.8 | 5.3 | 6.1 | 9.8 |
| New York | 4.9 | 5.1 | 4.9 | 5.3 | 6.3 | 9.6 |
| Arizona | 4.8 | 5.0 | 5.5 | 6.1 | 6.7 | 3.3 |
| New Jersey | 4.7 | 5.0 | 4.9 | 5.6 | 6.7 | 4.6 |
| Texas | 4.6 | 4.6 | 4.5 | 4.5 | 5.0 | 13.0 |
| Maryland | 4.2 | 4.2 | 4.4 | 5.2 | 5.8 | 3.2 |
| Wisconsin | 4.0 | 4.1 | 4.3 | 4.6 | 5.4 | 3.1 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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