Showing posts with label july unemployment. Show all posts
Showing posts with label july unemployment. Show all posts

Thursday, August 20, 2015

U.S. job creation catches up with Georgia in July

12-month job growth falls below 100,000 for first time in 17 months

Georgia saw the creation of 6,400 net new jobs in July 2015, according to preliminary seasonally adjusted data released today by the Georgia Department of Labor.

The new information also included a revision that wiped out all the jobs reported in the prior month. 

In June, the labor department announced that 2,300 jobs were added. With the revision, it is now reporting that the state actually lost 4,100 jobs in June.

Among industries in the state in July, retailing (+2,800), professional and business services (+3,100), and local government (+4,300) were significant contributors to the state’s job growth.


Losses occurred mainly in private educational services (-2,100) and state government (-2,400).

Annual job creation slows

For the 12 months ending in July, the state saw 89,400 jobs created, an increase of 2.1 %.

As a result of slower employment growth, 12-month job growth fell below 100,000 for the first time in 17 months. July marked the first time since the beginning of 2013 that state job growth did not exceed the national average.

In some states, like North Dakota, their jobs slowdown can be partially attributed to falling oil prices that have resulted in layoffs in oil and gas production. Since Georgia has little oil and gas, its employment is unaffected by reductions in oil and gas production, and the state’s economy should be benefiting from lower energy costs. Instead, it is recording a marked slowdown.
Metro Areas are key

The Atlanta metro area created 13,200 jobs in July, and the Savannah area saw another 2,000 jobs added. Other metro areas with positive job growth included Albany (+400), Athens (+100), Brunswick (+100), Columbus (+600), Dalton (+200), and Rome (+100).

Metro areas reporting seasonally adjusted declines in July included Augusta (-500), Gainesville (-1,000), Hinesville (-300), Macon (-1,000), and Valdosta (-700).

While the Atlanta metro area is home to approximately 61 % of jobs in Georgia, it has been responsible for almost 85 % of the state’s job growth over the past 12 months.

Unemployment rate

The state’s unemployment rate stood at 6.0 % in July compared to 7.3 % in July 2014 as the state’s labor force continues to shrink.

While many see a lower unemployment rate as a positive sign for the economy, when drops occur due to people leaving the labor market, it can be a negative indicator.