Unemployment rate trends downward as COVID-19 fight continues

BATON ROUGE, La. – Preliminary data for July 2021 released today by the Bureau of Labor and Statistics (BLS) shows Louisiana added 12,700 seasonally adjusted nonfarm jobs from June 2021. The July estimate of 1,849,200 also shows a gain of 58,200 jobs from July 2020 as the state continues to rebound from the impact of Covid-19.

Louisiana’s seasonally adjusted total private-sector employment also showed strong gains both over the month and over the year. The July 2021 estimate of 1,534,900 shows an increase of 8,100 jobs from the June 2021 revised figure of 1,526,800. The series has added 58,900 jobs from the July 2020 figure of 1,476,000.

Since July 2020, the number of seasonally adjusted employed individuals increased by 158,334 from 1,775,157 to 1,933,491 in July 2021. When compared to June 2021, the number of seasonally adjusted employed individuals increased by 8,126.

Since July 2020, the number of seasonally adjusted unemployed individuals decreased by 41,439 from 177,699 to 136,260 in July 2021. When compared to June 2021, the number of seasonally adjusted unemployed individuals decreased by 7,073.

The July 2021 seasonally adjusted unemployment rate of 6.6 percent shows a decline both over the month and over the year. The rate dropped 0.3 percentage points from the revised June 2021 rate of 6.9 percent and 2.5 percentage points from the July 2020 rate of 9.1 percent.

“People are getting back to work, and the unemployment numbers are heading in the right direction,” said LWC Secretary Ava Cates. “We want to see this trend continue and to do that we need a healthy workforce. With a fourth COVID wave upon us, the best way we can do that is to get vaccinated and wear a mask.”

Gains were posted in Louisiana’s largest economic drivers, including the hospitality and healthcare industries. However, the state is facing a nursing shortage, putting a strain on our hospitals. Right now, more than 7,000 nursing positions are available across Louisiana, with organizations offering competitive pay and hiring bonuses.

“Our healthcare employees, especially our nurses, are working tirelessly fighting this pandemic but in Louisiana and across the country, there just aren’t enough of them,” said Cates, “We are happy to see companies in our state stepping up to the moment and offering jobs and incentives that show how much these employees are valued and needed.”

Industries that showed the largest gains for seasonally adjusted jobs from July 2020:

• Leisure and Hospitality gained 27,200 jobs from July 2020.

• Education and Health Services gained 13,200 jobs from July 2020.

• Professional and Business Services gained 12,100 jobs from July 2020.

• Trade, Transportation, and Utilities gained 4,900 jobs from July 2020.

Among Louisiana’s MSAs in July 2021, seasonally adjusted data shows:

• Alexandria (60,600 jobs) added 800 jobs from June 2021 and gained 1,700 jobs from July 2020.

• Baton Rouge (387,100 jobs) added 3,000 jobs from June 2021 and gained 13,300 jobs from July 2020.

• Hammond (46,000 jobs) added 200 jobs from June 2021 and gained 1,500 jobs from July 2020.

• Houma (82,600 jobs) lost 100 jobs from June 2021, but gained 3,200 jobs from July 2020.

• Lafayette (193,100 jobs) added 800 jobs from June 2021 and gained 6,200 jobs from July 2020.

• Lake Charles (93,000 jobs) added 300 jobs from June 2021, but lost 2,200 jobs from July 2020.

• Monroe (74,500 jobs) added 100 jobs from June 2021 and gained 1,300 jobs from July 2020.

• New Orleans (530,000 jobs) added 3,700 jobs from June 2021 and gained 17,900 jobs from July 2020.

• Shreveport (168,300 jobs) lost 700 jobs from June 2021, but gained 4,300 jobs from July 2020.

Not Seasonally Adjusted Data

Since July 2020, not seasonally adjusted nonfarm employment increased by 66,100 jobs from 1,773,900 to 1,840,000 in July 2021. When compared to June 2021, not seasonally adjusted nonfarm employment decreased by 1,600 jobs.

Since July 2020, not seasonally adjusted private sector employment increased by 65,300 jobs from 1,472,200 to 1,537,500 in July 2021. When compared to June 2021, not seasonally adjusted private sector employment increased by 3,700 jobs.

Louisiana’s not seasonally adjusted unemployment rate for July 2021 is 6.3 percent, a decrease of 3.7 percentage points from the July 2020 not seasonally adjusted unemployment rate of 10.0 percent. The rate also shows a decrease of 1.1 percentage points from the June 2021 rate of 7.4 percent.

Since July 2020, the number of not seasonally adjusted employed individuals increased by 172,241 from 1,785,516 to 1,957,757 in July 2021. When compared to June 2021, the number of not seasonally adjusted employed individuals increased by 21,636.

Since July 2020, the number of not seasonally adjusted unemployed individuals decreased by 65,603 from 198,185 to 132,582 in July 2021. When compared to June 2021, the number of not seasonally adjusted unemployed individuals decreased by 22,608 individuals.

July metropolitan statistical area (MSA) and parish unemployment rates will be released on August 27, 2021. The 2021 state and MSA data release dates schedule is now available. To view please click here.

Seasonally Adjusted vs. Not Seasonally Adjusted Data

Jobs and employment trends data are often difficult to understand because there are two different ways to look at the data, seasonally or non-seasonally adjusted data.

Seasonal adjustment works to measure and remove the influences of predictable seasonal patterns to reveal how employment and unemployment figures change from month to month. Not seasonally adjusted data retains seasonal employment trends.

Over the course of a year, the labor force size, available jobs and employment rates undergo predictable fluctuations due to seasonal changes in weather, harvests, major holidays, and school schedules. Seasonal adjustment reduces the impact of these changes, making it easier to understand trends. Seasonally adjusted data is best utilized when comparing several months of employment and jobs data, while not seasonally adjusted data is best used to compare over-the-year trends. Seasonally adjusted data are useful for comparisons among states and the nation.

The Louisiana Workforce Commission primarily uses seasonally adjusted data because it provides a more useful and telling picture of Louisiana’s jobs and employment situation.

To view all available employment data, visit Louisiana’s employment homepage at http://www.laworks.net and select Labor Market Information from the top-right menu. Then, select LOIS (Louisiana Occupational Information System) and select Employment and Wage Data listed under Data Trends. To view the BLS Local Area Unemployment Statistics for the state, visit http://data.bls.gov/pdq/querytool.jsp?survey=la. For BLS nonfarm employment data, click here: http://data.bls.gov/pdq/querytool.jsp?survey=sm.

Data Considerations

All data published from the Bureau of Labor Statistics is preliminary and is subject to revision on a monthly, quarterly, and annual basis. Revised numbers for previous months are available from the BLS databases located on bls.gov. The revised numbers are available upon release of new data.

Resources for Employers and Job Seekers

Job-seekers can explore careers, apply for top-rated jobs and connect with local training providers using Louisiana Star Jobs, the LWC’s free career tool, at http://www.laworks.net/Stars/. Employers looking for workers should visit Louisiana’s employment homepage at http://www.laworks.net. Click on HiRE (Helping Individuals Reach Employment) and create an account allowing access to qualified job seekers.

About the Louisiana Workforce Commission

The Louisiana Workforce Commission is an agency of state government that administers programs designed to enhance workforce growth and provide family-sustaining jobs for Louisiana residents. The commission monitors employment, administers unemployment compensation and tax funds, provides training resources for employers and employees and oversees worker compensation benefits. The agency also gathers and supplies information on the labor market and occupational sectors in Louisiana.