Ind. unemployment rises despite job growth

Despite a July increase in private sector jobs in Indiana, the unemployment rate jumped, indicating a loss of 25,000 jobs in the state.

Figures released last week by the Indiana Department of Workforce Development show a promising continuation of a nine-month trend of job creation in the state.
Job increases total 3,300, a growth rate of 1.7 percent. That’s nearly double the national 1 percent average.

More specifically, unemployment rates in both Monroe County and the Bloomington area fall below the state average, according to the DWD and the Bureau of Labor Statistics.

These are non-seasonally adjusted numbers, which are affected by seasonal hiring and industries, such as snow plowing or holiday season retail support.

Monroe County sits at 7.4 percent unemployment, with 62,825 of 67,837 members of the labor force currently employed.

Bloomington, too, has at 7.4 percent unemployment, with 35,498 out of 38,341 members of the labor force currently employed.

These stats for July preliminarily rank Monroe County 66th of the state’s 92 counties in unemployment.

Puzzling to the state, however, is an 8.2 percent unemployment rate, up from 8 percent in June but down from 9.2 this time last year. This rate was based on survey findings from 1,000 households.

“We have raised several questions with the U.S. Bureau of Labor Statistics about discrepancies in June and July’s labor force data,” said Scott Sanders, commissioner of the Department of Workforce Development, in a statement. “The numbers seem to indicate nearly 46,000 Hoosiers went from gainfully employed in May to missing from the labor force in July with no
explanation.”

The state’s unemployment rate is just below the national average of 8.3 percent. But Indiana isn’t alone.

Forty-four states experienced a rise in unemployment in July, according to the United States Department of Labor.

The Department of Workforce Development added Indiana is beating national averages in private sector and manufacturing job growth.

In July, nonfarm employment increased by 10,700, comprised mostly of 7,600 government sector jobs. Last month that sector fell by 6,700 jobs.

Reports for August will be released Sept. 21.

Government statistics do not include “discouraged workers,” or those no longer actively searching for work. Oftentimes this is because they believe there are no jobs for them or lack necessary skills to obtain a job.

The most recent numbers for 2011 by the labor department suggest 86 million Americans have fallen between the statistical cracks, the majority of them 65-plus-retirees or those below age 25 likely in school. Those groups aside, about 36 million Americans still remain uncounted.