DES MOINES, IOWA (August 16, 2019) — Iowa’s seasonally adjusted unemployment rate increased slightly to 2.5 percent in July. The state’s jobless rate was 2.4 percent one year ago. The U.S. unemployment rate remained at 3.7 percent in July.
"After a solid year of 2.4 percent unemployment, unemployment ticked up slightly to 2.5 percent. However, the number of working Iowans increased to 1,680,500 in July, which is 4,000 higher than June and 35,500 higher than one year ago," said Beth Townsend, Director, Iowa Workforce Development. "We continue to have more job openings than we have Iowans to fill them. We have recently seen hundreds of Future Ready Iowa Last-Dollar Scholarships awarded by our community colleges which is a good indication that there are many Iowans who want to get upskilled to take advantage of all of the good jobs available in Iowa."
The number of unemployed Iowans increased to 42,800 in July from 41,400 in June. The current estimate is 1,800 higher than the year ago level of 41,000.
The total number of working Iowans increased to 1,680,500 in July. This figure was 4,000 higher than June and 35,500 higher than one year ago.
Seasonally Adjusted Nonfarm Employment
Business establishments in Iowa gained 1,800 jobs in July and have now expanded payrolls in each of the last four months. Private service industries were responsible for all of the growth this month. Goods-producing industries contracted by 200 jobs. Government displayed little movement compared to June and has increased only slightly versus last year. Private industry has advanced by 9,900 jobs over the past twelve months.
Professional and business services gained the most jobs in July (+1,400) and were fueled by hiring in administrative and support services (+700). This sector has been disappointing thus far this year, adding jobs in just two months. Professional, scientific, and technical services fared well this month (+600) and is up 1,200 jobs over last year. Leisure and hospitality advanced by 1,100 and has been propelled by hiring in accommodations and food services (+900). The hiring has been especially strong in the Des Moines area. Other gains this month included 500 jobs in construction. This was the fourth consecutive gain for this sector. Job losses were limited to just three sectors, but concentrated within the financial services sector (-1,000). Finance and insurance has been particularly weak recently, shedding 900 jobs in July and generally trending down over the past twelve months. Manufacturing also took a step back this month (-700) following a moderate gain in June. This month’s paring was mostly the result of declines in durable goods factories (-900).
Over the past twelve months, total nonfarm employment has advanced by 10,200 with manufacturing adding the most jobs (+6,100). Non-durable goods factories have now outpaced the job growth in durable goods shops following its reduction this month. Education and health services are up 2,500 jobs due to strong gains in health care and social assistance (+3,400). Super sector losses are now led by financial activities (-1,800). This sector has shown been trimming payrolls at an increasing rate throughout this year. Information continues to adjust to changing technologies and is down 1,400 jobs. Retail trade continues to adjust to shifting consumer preferences and has been a strain to trade, transportation, and utilities which is otherwise adding jobs. Overall, this super sector is down 1,000 jobs annually.
Visit www.iowalmi.gov for more information about current and historical data, labor force data, nonfarm employment, hours and earnings, and jobless benefits by county.
