County’s unemployment rate rises to 6.7 percent

Published 6:49 am Wednesday, April 21, 2010

No one said the recovery following the recession would be easy.

Despite some positive signs in the economy, Mower County’s unemployment rate increased for the fourth straight month. March’s unemployment rate was 6.7 percent — the highest in the county since last June, according to statistics released Tuesday by the Minnesota Department of Employment and Economic Development (DEED).

When speaking to area business leaders at the Austin Country Club March 26, DEED Commissioner McElroy said the recession ended early this year — from an economist’s viewpoint. However, he said people and businesses would continue to feel the effects of the recession for some time. March unemployment numbers seemed to back that trend.

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Since Mower County’s unemployment rate matched a 15-month low at 5.4 percent in November, the rate had increased each month. The unemployment rate had been 6.4 percent in February.

Minnesota’s unemployment rate increased 0.1 percent to a seasonally adjusted 7.4 percent in March, while the U.S. rate remained unchanged at 9.7 percent in March for the third consecutive month.

The state lost 1,800 jobs in March. February’s employment count was revised to reflect 1,600 jobs lost instead of the 3,400 jobs that were previously reported lost. Over the past year, Minnesota has lost 1.6 percent of its jobs, while the U.S. lost 1.7 percent of its jobs during that period.

“The March figures demonstrate that economic recoveries are not smooth processes, with some months stronger than others,” McElroy said in a press release. “Still, we’re seeing some positive trends in Minnesota’s employment picture, including an increase in the labor force and the length of the average work week, and steady declines in year-over-year job losses.”

In March, the average work week in the state increased to 32.8 hours after holding steady at 32.6 hours over the past three months. The labor force participation rate increased 0.2 percent to 72.8 percent.

The number of employed people in Mower County grew from 20,173 in February to 20,283 in March. Despite the increase in unemployment, Mower County’s labor force grew from 21,543 in February to 21,734 in March.

According to a DEED press release, five of the state’s 11 major sectors added jobs in March, led by manufacturing and by leisure and hospitality, which each added 1,500 jobs. The manufacturing sector has now added jobs for three consecutive months, growing by 6,100 positions since the start of the year.

Other sectors gained jobs in March, as government added 1,200, construction added 300 and financial activities added 300. Logging and mining held steady during the month. Other sectors lost jobs, as trade, transportation and utilities lost decreased by 3,000, professional and business services decreased by 1,200, education and health services decreased by 1,000.

For more statistics, visit www.positivelyminnesota.com. DEED is also on Twitter at www.twitter.com/PositivelyMN.