Kentucky’s unemployment rate increases slightly in May
FRANKFORT, Ky. - Kentucky’s seasonally adjusted unemployment rate rose slightly from 5.3 percent in April 2007 to 5.5 percent in May 2007, according to the Office of Employment and Training (OET), an agency of the Kentucky Education Cabinet. May 2007’s jobless rate was lower than May 2006’s rate of 5.7 percent.
The U.S. seasonally adjusted jobless rate remained unchanged at 4.5 percent from April 2007 to May 2007, according to the U.S. Department of Labor.
Four of the 11 major nonfarm job North American Industry Classification System (NAICS) sectors reported employment increases in May, while five decreased, and two were unchanged, according to OET. A decrease of 200 jobs in May 2007 brought Kentucky’s nonfarm employment to a seasonally adjusted total of 1,856,500.
According to the seasonally adjusted employment data, Kentucky’s trade, transportation and utilities sector recorded the largest increase of all major job sectors with 1,600 more jobs in May 2007. This area includes retail and wholesale trade, transportation and utilities businesses, and warehousing, and is the largest sector in Kentucky with 382,100 employees. Since May 2006, the number of jobs in this sector has increased by 1,900.
The construction sector had an increase of 800 jobs in May 2007. Since May 2006, employment in this job area has gone up by 1,500.
The financial activities sector reported 700 new jobs in May 2007. This segment, which includes businesses involved in finance, insurance, real estate and property leasing or rental, has added 800 jobs over the past 12 months.
The information sector went up by 200 positions in May 2007. This segment, which includes firms involved in publishing, Internet activities and broadcasting and news syndication, had 800 more jobs in May 2007 than in May last year.
Kentucky’s leisure and hospitality sector stayed at 170,600 jobs from April 2007 to May 2007. Since May 2006, employment in the sector has increased by 2,000 positions. The leisure and hospitality sector includes arts, entertainment, recreation, accommodations and food services and drinking places industries.
Employment in the professional and business services sector’s job level was unchanged from April 2007 to May 2007. This area had 3,000 more employees in May 2007 than in May 2006. The professional and business services sector includes professional, scientific and technical services, and management of companies and administrative and support management, including temporary help agencies.
On the down side, jobs in the manufacturing sector fell by 3,200 in May 2007. Compared to May 2006, jobs in the sector were down by 4,800 in May 2007.
The government sector, which includes public education, had a decrease of 1,200 jobs in May 2007. Since May 2006, this sector has added 600 jobs.
Educational and health services sector positions dropped by 500 jobs in May 2007. Since last May, this segment has gained 3,900 jobs. This sector includes private and nonprofit establishments that provide either education and training, or health care and social assistance to their clients.
The state’s other services sector, which includes such establishments as repair and maintenance places, personal and laundry services, religious organizations, and civic and professional organizations, lost 400 positions in May 2007. This area had 200 more jobs in May 2007 than last May.
The natural resources and mining sector had 200 fewer jobs in May 2007 compared to April 2007. Since May 2006, the segment has risen by 300 jobs.
The U.S. Bureau of Labor Statistics’ monthly estimate of the number of employed Kentuckians for May 2007 was 1,945,521 on a seasonally adjusted basis. This figure is down 11,805 from the 1,957,326 employed in April 2007, but up 27,192 from the 1,918,329 employed in May 2006.
The monthly estimate of the number of unemployed Kentuckians for May 2007 was 112,474, up 2,716 from the 109,758 Kentuckians unemployed in April 2007, but down 3,394 from the 115,868 unemployed in May 2006.
The monthly estimate of the number of Kentuckians in the civilian labor force for May 2007 was 2,057,995. This figure is down 9,089 from the 2,067,084 recorded in April 2007, but up 23,798 from the 2,034,197 recorded for May 2006.
Unemployment statistics are based on estimates and are compiled to measure trends rather than actually to count people working. Civilian labor force statistics include non-military workers and unemployed Kentuckians who are actively seeking work. They do not include unemployed Kentuckians who have not looked for employment within the past four weeks.
Kentucky’s statewide unemployment rate and employment levels are seasonally adjusted. Employment statistics undergo sharp fluctuations due to seasonal events, such as weather changes, harvests, holidays and school openings and closings. Seasonal adjustments eliminate these influences and make it easier to observe statistical trends. However, because of the small sample size, county unemployment rates are not seasonally adjusted.
Learn more about the Office of Employment and Training at www.workforce.ky.gov.