Oregon’s Unemployment Rate 7.9 Percent in June, as Payroll Employment Slipped by 1,000 Jobs

Oregon’s seasonally adjusted unemployment rate was 7.9 percent in June, essentially unchanged from 7.8 percent in May. Large job gains in leisure and hospitality (+1,700) and professional and business services (+800) were offset by job losses in trade, transportation and utilities (-2,000) and educational and health services (-800).

Industry Payroll Employment

On a seasonally adjusted basis, preliminary estimates from the federal Bureau of Labor Statistics (BLS) indicate nonfarm payroll employment in Oregon declined by 1,000 jobs in June. This was the first monthly decline since September 2012.

June Labor Market Highlights

• • Oregon’s seasonally adjusted unemployment rate was 7.9 percent in June.

• • Oregon’s seasonally adjusted nonfarm payroll employment fell by 1,000 jobs. This was the first decline since September 2012.

• • Leisure and hospitality grew the most; up 1,700 jobs. Trade, transportation, and utilities lost the most jobs; down 2,000. Revised estimates for May show a gain of 4,700 jobs, when a gain of 3,800 was initially reported.

The federal Bureau of Labor Statistics estimates that leisure and hospitality employment rose by 6,900 in June when a gain of 5,200 is the normal seasonal movement. Food services and drinking places, one component of leisure and

hospitality, added 4,000 jobs.

Professional and business services added 3,100 jobs in June, or 800 more than its normal seasonal movement. The sector’s total seasonally adjusted job count was a record 200,500. Professional and business services added 7,200 jobs over the past 12 months. Among the sector’s component industries, employment services added the most jobs (+2,000) followed by services to buildings and dwellings (+600).

Trade, transportation and utilities was expected to add 2,400 jobs in June due to normal seasonal factors, but added only 400. Since the start of 2013, this sector’s employment has been variable. Retail trade grew by 1,400 jobs with a 700-job boost from food and beverage stores. Wholesale trade fell by 500 jobs in June, as did transportation and warehousing.

Private educational and health services lost 5,800 jobs in June, or about 800 more than seasonally expected. The onset of summer break saw 4,300 jobs lost from private educational services.

Hours and Earnings

The average workweek for Oregon manufacturing production workers increased from 41.4 hours in May to 41.7 in June. The manufacturing workweek has been on a generally increasing trend for more than three years. In June 2012, this workweek

averaged 40.4 hours.

In June, the average wage was $22.35 per hour for Oregon’s private-sector payroll employees, up from $22.26 in May. Wages have increased 13 cents, or 1.4 percent, from June 2012 when the average was $22.05.

Unemployment

The national unemployment rate was 7.6 percent in June, unchanged from 7.6 percent in May. Oregon’s rate was 7.9 percent in June, essentially unchanged from 7.8 percent in May. In June, 158,147 Oregonians were unemployed. This was 16,233 fewer individuals than in June 2012 when 174,380 Oregonians were unemployed.