Lowest rate since 2008
FRANKFORT, Ky. (Oct. 16, 2014) — Kentucky’s seasonally adjusted preliminary unemployment rate dropped to its lowest rate in more than six years, to 6.7 percent in September, from a revised 7.1 percent in August, according to the Office of Employment and Training (OET), an agency of the Kentucky Education and Workforce Development Cabinet.
It marks the single-biggest one-month drop in unemployment rates since 1976, when the current methodology for measuring the rate was adopted and is the lowest rate since July 2008 when it was 6.6 percent.
“A steep drop in unemployment combined with gains in hiring and consumer spending are clear indicators of a growing economy,” said economist Manoj Shanker of the OET. “All signs point to a robust recovery from the financial crisis in 2008.”
The preliminary September jobless rate was 1.6 percentage points below the 8.3 percent rate recorded in September 2013.
The U.S. seasonally adjusted jobless rate slipped to 5.9 percent in September from 6.1 percent a month ago, according to the U.S. Department of Labor.
In September Kentucky’s civilian labor force was 2,002,439, a decrease of 15,078 individuals compared from August. Employment was down by 6,465, but the number of unemployed declined by 8,613.
In a separate federal survey of business establishments that excludes jobs in agriculture and people who are self-employed, Kentucky’s seasonally adjusted nonfarm employment increased by 2,400 jobs in September from August, and increased by 27,100 positions since September 2013.
Kentucky’s leisure and hospitality sector shot up by 3,200 positions in September. Since September 2013, this sector has grown by 9,400 jobs, an increase of 5.2 percent. Employment in the educational and health services sector increased by 1,600 positions in September, gaining 4,400 jobs since September 2013. Health care jobs, which account for nearly 90 percent of employment in the sector, had a month-to-month decrease of 500 jobs, but expanded by 3,200 positions since September 2013.
The professional and business services added 500 positions from August to September. Since last year, 9,600 jobs have been added, an increase of 4.8 percent.
The construction sector gained 300 jobs from August to September. Since September 2013, employment in construction has declined by 600 positions.
The information sector increased by 300 jobs in September and has increased by 800 jobs since last year.
Employment in the other services sector, which includes repairs and maintenance, personal care services, and religious organizations, rose by 100 positions from August to September and is an increase of 900 jobs from a year ago.
Employment in the government sector, which includes public education, public administration agencies and state-owned hospitals, was unchanged in September, but posted an increase of 1,000 positions compared from September 2013.
Employment in the mining and logging sector also remained flat in September, but has added 300 jobs since last September.
Kentucky’s manufacturing sector lost 800 jobs in September, but has increased by 700 jobs since September 2013.
The financial activities sector posted a decline of 900 jobs from August to September and has lost 2,600 positions over the last 12 months.
The state’s trade, transportation and utilities sector dropped 1,900 jobs from August to September 2014, but has grown by 3,200 jobs since last year. This is the largest sector in Kentucky accounting for one-fifth of all nonfarm jobs.