The Iowa Workforce Development agency is reporting the state’s unemployment rate rose to 4.6 percent in September from 4.5 percent in August. IWD spokesperson Kerry Koonce isn’t surprised.
“You’re seeing transition between summer and fall employment, so we’ll frequently see a little bit of bump this time of year,” Koonce says.
The U.S. unemployment rate dropped to 5.9 percent in September compared to 6.1 percent in August. The number of unemployed Iowans increased to 77,900 in September from 76,500 in August. There are roughly 3,000 more unemployed Iowans compared to a year ago. Koonce says there was also an increase in the total number of working Iowans. “It jumped from 1,626,400 (in August) up to 1,629,700 (in September),” Koonce says. “That’s 33,000 higher than it was this time last year, so that’s still very strong improvement for the economy.”
Iowa’s construction sector added 1,600 jobs in September, following an “unexpected” loss of 1,200 jobs in August. Construction has added jobs in five of the last six months. Education and health services also added 1,300 jobs last month. “We did see some losses in trade and transportation (-1,000 jobs), with most of that in the transportation area,” Koonce says. “We also saw losses in leisure and hospitality (-1,600), which does tend to trend down this time of year.”
Employment in Iowa’s construction, health care, and finance sectors are at or near record levels, according to Koonce. Manufacturing trimmed 100 jobs last month, marking the fourth straight month that sector has cut employment in Iowa. “We saw large growth (in manufacturing) last year, so that’s just kind of leveling off,” Koonce says.
Compared to one year ago, there are around 400 fewer jobs in Iowa’s manufacturing sector.