June Unemployment Rate Down; Private Jobs Up

CHICAGO - The Illinois seasonally adjusted unemployment rate dropped -0.4 point to 10.4 percent in June, according to data released today by the Illinois Department of Employment Security. The drop matches the April-to-May decrease and remains the largest decline since October 1983. Nine thousand new jobs in the private sector offset the expected loss of temporary Census 2010 positions. As a result, overall all job growth in Illinois was flat while nationally it was down. Illinois payroll employment is up +59,600 jobs so far this year with the overwhelming majority of that job growth in the private sector.

"The best gauge of our economic well-being will be found in long-term trends, not monthly reports. Those long-term trends reflect cautious optimism among employers and job seekers," IDES Director Maureen O'Donnell said. "We must expect that an economic rebound following the deepest national recession in generations will include up-and-down movements in the jobs and unemployment rate."

The Manufacturing sector added +1,600 jobs in June. That job growth represents the fourth consecutive monthly gain in manufacturing, which has not happened since 1995. Construction added +3,400 in June. That is the largest monthly gain since the onset of the national recession in December 2007. Educational and Health Services added jobs (+700) for the sixth consecutive month. The unemployment rate's three-month moving average decreased -0.4 to 10.8 percent, its second consecutive monthly decline. While expiring census jobs created flat job growth for Illinois (-200), the expiring census positions created a loss on the national scale. Nationally, the country lost  125,000 jobs in June despite adding +83,000 in the private sector. So far this year, Illinois' economy has grown by 1.1 percent; the national economy has grown by 0.7 percent.

The unemployment rate is not the same measure as those collecting unemployment benefits. The unemployment rate identifies those who are out of work and seeking employment. Workers collecting benefits are counted separately. A person who exhausts or is ineligible for benefits still would be reflected in the unemployment rate if they are seeking employment.

The Illinois Department of Employment Security administers federally funded employment services and unemployment insurance through its nearly 60 offices, including the Illinois workNet Centers. IDES also receives federal grants to provide and analyze labor market statistics and information.

Notes:

• Illinois monthly labor force, unemployed and unemployment rates for years 1976-2009 have been revised as required by the U.S. Bureau of Labor Statistics. In February of each year, monthly labor force data for all states are revised to reflect updated Census population controls, seasonal factors and state supplied non-farm jobs and unemployment insurance claims inputs. Comments and tables distributed for prior Illinois unemployment rate news releases should be discarded because any analysis, including records, previously cited might no longer be valid.
• Seasonally adjusted employment data for subsectors within industries are not available.  For not-seasonally adjusted jobs data with greater industry detail, go to http://lmi.ides.state.il.us/cesfiles/cescurrent.htm .
• "Other Services" includes a wide range of activities in three broad categories: Personal and laundry; repair and maintenance; and religious, grant making, civic and professional organizations.
• Monthly seasonally adjusted unemployment rates for Illinois and the Chicago-Naperville-Joliet Metropolitan Division are available at:  http://lmi.ides.state.il.us/laus/icmaur.htm .