Employers Boost Payrolls by +8,200 in May

CHICAGO – As expected, the Illinois seasonally adjusted unemployment rate in May increased +0.2 points to 8.9 percent. The increase follows 15 months of declining unemployment rates and was expected because slight up-and-down movements in the rate and the number of jobs created naturally occur in an economic recovery, according to the Illinois Department of Employment Security.

The national unemployment rate also increased in May, up +0.1 point to 9.1 percent. The Illinois rate has been equal to or below the U.S. rate for eight consecutive months. Illinois’ three-month moving average remained at 8.8 percent in May, unchanged from April and its lowest average since March 2009.

“Illinois added more than 8,000 jobs in May, continuing the long-term trend of a healing economy and reflects successful efforts to grow jobs,” IDES Acting Director Jay Rowell said. “Just as we expected the unemployment rate would tick upward at times during our recovery, we know job-creation must continue and individuals should take advantage of the state’s workforce training network so they can improve their skills and be part of the economic growth.”

Illinois added +8,200 jobs in May. The three-month moving average of seasonally adjusted payroll employment shows +6,600 additional positions for March through May. The three-month context better depicts trends in the labor market by offsetting fluctuations in monthly payroll estimates. Since January 2010 when Illinois employment resumed after the national recession, Illinois has added +107,700 net new jobs. Leading sectors are Professional and Business Services (+39,900); Educational and Health Services (+28,100); Trade, Transportation and Utilities (+25,600); and Manufacturing (+19,900). That represents a 1.9 percent job growth, compared to the nation’s 1.4 percent.

In May, the number of unemployed individuals rose for the first time since January 2010, increasing +9,800 (+1.7 percent) to 585,000. Total unemployed has declined -155,100 (-21.0 percent) since January 2010 when the state unemployment rate peaked at 11.2 percent. The unemployment rate identifies those who are out of work and seeking employment. A person who exhausts benefits, or is ineligible, still will be reflected in the unemployment rate if they actively seek work.

The IDES supports economic stability by administering unemployment benefits, collecting business contributions to fund those benefits, connecting employers with qualified job seekers, and providing economic information to assist career planning and economic development. It does so through nearly 60 offices, including Illinois workNet centers.

Seasonally Adjusted Unemployment Rates

Illinois Seasonally Adjusted Non-farm Jobs – by Major Industry

Notes:

• Illinois monthly labor force, unemployed and unemployment rates for years 2006-2010 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, non-farm jobs and unemployment insurance claims inputs. Data were also smoothed to eliminate large monthly changes as a result of volatility in the monthly household (CPS) survey. Comments and tables distributed in prior Illinois unemployment rate news release materials 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.