Vermont unemployment rate falls to 3.0 percent in August

Vermont Business Magazine All three major labor metrics improved last month. Vermont’s unemployment rate fell in August, but the better news was that the Labor Market expanded, if only modestly, and the number of employed also expanded, while those looking for work declined. The Vermont Department of Labor announced today that the seasonally-adjusted statewide unemployment rate for August was 3.0 percent – a drop of one-tenth of one percentage point from the revised July rate (3.1 percent). However, a shortage of workers continues to be a problem. The national rate in August was 4.4 percent. Overall, Vermont’s unemployment rate was seventh lowest in the US in August. New Hampshire was fourth lowest (2.7 percent) and North Dakota was best at 2.3 percent. Alaska was worst at 7.2 percent. As of the prior month’s preliminary data, the Burlington-South Burlington Metropolitan NECTA was the 16th lowest unemployment rate in the country for all metropolitan areas at 2.6 percent (not-seasonally-adjusted).

“The Vermont labor market continues to be very tight. A prolonged economic expansion combined with demographic shifts in the Vermont workforce present a challenge to Vermont businesses seeking to attract and retain workers. Across the state, employers are reporting that they struggle to find talent. The Department of Labor is working with stakeholders and partner agencies to address this labor shortage and ensure that every Vermonter – regardless of age, experience or education – has an opportunity for meaningful employment in this state. Jobs are available across the spectrum of experience and education; our role is to connect hard-working Vermonters with businesses looking to hire. Staff at Vermont Department of Labor Career Resource Centers, located throughout the state, stand ready to assist employers seeking talent as well as any jobseeker looking to improve their economic prospects,” said Lindsay Kurrle, Commissioner of the Vermont Department of Labor.

The seasonally-adjusted Vermont data for August show the Vermont civilian labor force increased by 450 from the prior month’s revised estimate. The number of employed increased by 650 and the number of unemployed decreased by 200. None of the changes were statistically significant in the seasonally-adjusted series.

In actual, not-seasonally-adjusted data, the biggest gain was made in local education (+1,900), as schools recruited workers for the new school year. This number, however, was 300 jobs less than the year before. Government overall was down 300 jobs from last year.

Services overall gained 700 from July and 3,100 from the previous year, as the Hospitality industry made gains.

In contrast to public education, Colleges lost 500 workers from July and was down 300 overall from last year.

Manufacturing was down 200 for the month and 1,000 for the year (3.3 percent lower than August 2016).

Transportation saw gains for the month (100) and year (800, 12.7 percent).

The August unemployment rates for Vermont’s 17 labor market areas ranged from 2.5 percent in White River Junction and Burlington – South Burlington to 4.8 percent in Derby (note: local labor market area unemployment rates are not seasonally-adjusted). For comparison, the August unadjusted unemployment rate for Vermont was 3.0 percent which reflects no change from the revised unadjusted July level and a decrease of one-tenth of one percentage point from a year ago.

Not-Seasonally-Adjusted

The preliminary ‘not-seasonally-adjusted’ jobs estimates for August show an increase of 500 jobs when compared to the revised July numbers. There was a decrease of 100 jobs between the preliminary and the revised July estimates due to the inclusion of more data. The monthly increase seen in the August numbers was primarily attributable to seasonal movements in local government education. The broader economic trends can be detected by focusing on the over-the-year changes in this data series. As detailed in the preliminary ‘not-seasonally-adjusted’ August data, Total Private industries have increased by 2,400 jobs (0.9 percent) and Government (including public education) employment has decreased by 300 jobs (-0.6 percent) in the past year.

Seasonally-Adjusted

The seasonally-adjusted data for August reports a decrease of 400 jobs from the revised July data. As with the ‘not-seasonally-adjusted’ data, this over-the-month change is from the revised July numbers which experienced a decrease of 100 jobs from the preliminary estimates. The seasonally-adjusted over-the-month changes in August were mixed at the sector level. Those with a notable percent increase include: State Government (+400 jobs or +2.1%) and Other Services (+200 jobs or +1.9%). Sectors with a notable percent decrease include: Business and Professional Services (-800 jobs or -2.8%) and Manufacturing (-300 jobs or -1.0%).

Last Modified Date: September 15, 2017

Source: DOL. LAUS. 9.15.2017

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