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Payroll employment continued to grow in May; unemployment rises to 4.9% – The Suburban Times

Posted on by darion

The Washington economy is estimated to have added approximately 16,000 jobs (seasonally adjusted) and the monthly unemployment rate increased to 4.9% from April to May 2024.

“The labor market continues to cool but remains relatively healthy,” said Anneliese Vance-Sherman, chief labor economist at the Department of Employment Security. “Despite signs of cooling, companies in Washington created several thousand new jobs. We have also seen job growth across most industries.”

The unemployment rate has remained steady at 4.8% for the past two months. However, this month’s increase continues the trend of small monthly increases in 2024. Last summer, Washington’s unemployment rate was a record low at 3.6%.

The Labor Office paid unemployment benefits to 61,337 people in May, a decrease of 1,086 compared to the previous month. The decline was caused by declines in compensation and benefits in the following industries:

  • Construction.
  • Agriculture.
  • Accommodation and catering services.

Visit the Employment Security Administration website to view the entire May 2024 Monthly Employment Report.

Updated preliminary status data for April 2024

  • The initially estimated increase of 5,200 jobs was revised to an increase of 6,800 jobs.
  • The seasonally adjusted monthly unemployment rate was confirmed at 4.8%.

National unemployment rate

The national unemployment rate increased from 3.9% in April to 4.0% in May. For comparison, the national unemployment rate (adjusted) for May 2023 was 3.7%.

The workforce showed little change

From April to May 2024, the number of unemployed people nationwide increased from 194,409 to 195,793. In the Seattle/Bellevue/Everett region, the number of unemployed people increased from 74,941 to 76,308 during the same period.

The labor force in May amounted to 4,016,975 people, which means an increase of 1,024 people compared to the previous month. In the Seattle/Bellevue/Everett region, the labor force decreased by 6,603 people over the same period.

The labor force is defined as the total number of people, both employed and unemployed, over the age of 16. Layoffs and professional activity do not have to be related. When people are laid off but continue to look for work, they remain part of the workforce. The decline in the labor force means people have left their jobs and have not been actively looking for employment for more than four weeks.

Eleven major industrial sectors expanded, two contracted from April to May

Employment in the private sector increased by 15,300 jobs from April to May. Government employment increased by 700 jobs.

The largest sector-level growth in private industry was recorded in professional and business services (an increase of 5,100 jobs), leisure and hospitality (an increase of 4,400 jobs) and education and health services (an increase of 3,400 jobs).

  • The largest increases in the professional and business services sector were recorded in administrative and support services (an increase of 3.7 thousand jobs). In this group, employment services increased by 1,100 people.
  • The highest monthly growth in leisure and hospitality was recorded in food services and food outlets (an increase of 4,300).
  • In other services, the largest gains were recorded in the case of repairs and maintenance (by 1,000 people) and associations and membership organizations (by 400 people).

Only two sectors recorded employment declines – wholesale trade (down 1,200) and mining and logging (down 100).

Annual employment growth occurs in two main areas

Washington is estimated to have gained approximately 48,800 jobs from May 2023 to May 2024 (not seasonally adjusted). During this time, private sector employment increased by 1.0%, adding 30,700 jobs. Public sector employment increased by 3.0%, adding approximately 18,100 jobs.

The two industry sectors that saw the largest year-over-year employment growth (not seasonally adjusted) were:

  • Education and health services – creation of 22,080 jobs.
  • Professional and business services, up 6,200 jobs.

The two industry sectors reporting year-over-year job losses (not seasonally adjusted) are:

  • Information, 7,000 job cuts.
  • Retail – down 3,900 jobs.

Table 1: Total number of jobs in Washington

Month Total number of jobs (losses or gains) Unemployment rate Unemployment rate last year
May 2024 +16,000 4.9% 4.1%
April 2024 +6800* 4.8%* 4.3%
March 2024 +8400* 4.8%* 4.5%
February 2024 +3900* 4.7%* 4.6%
January 2024 -2700* 4.6%* 4.6%
December 2023 +18 500* 4.2%* 4.5%
November 2023 +4800* 4.0%* 4.6%
October 2023 -6900* 3.8%* 4.6%
September 2023 +300 * 3.6%* 4.4%
August 2023 +2500* 3.6%* 4.3%
July 2023 -6300* 3.6%* 4.1%
June 2023 +17 300* 3.8%* 3.9%
May 2023 +3800* 4.1%* 3.9%
April 2023 +7700* 4.3%* 3.9%
March 2023 +1000* 4.5%* 3.9%
February 2023 +7600* 4.6%* 4.0%
January 2023 +4200* 4.6%* 4.0%
December 2022 +10 400* 4.5%* 4.1%
November 2022 -700* 4.6%* 4.3%
October 2022 -1500* 4.6%* 4.5%
September 2022 -4200* 4.4%* 4.8%
August 2022 +15,000* 4.3%* 5.0%
July 2022 +40 400* 4.1%* 5.1%
June 2022 +4500* 3.9%* 5.3%
May 2022 +1400* 3.9%* 5.4%

*Adjusted based on previous preliminary estimates. Preliminary monthly estimates of job losses or gains were calculated based on the Bureau of Labor Statistics’ small wage survey. The actual data reported next month is based on a more complete study.

Table 2: April job gains and losses by industry

Industrial sector Profits and losses at work
Professional and business services 5100
Relaxation and hospitality 4400
Education and health care 3400
Other services 1000
The retail trade 700
Government 700
information 700
Financial activities 400
Production 400
Construction 300
Transport, storage and utilities 200
Mining and logging -100
Wholesale trade -1200

Information about the labor market

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