June unemployment rate increases

Florida’s seasonally adjusted unemployment rate for June 2010 is 11.4 percent. This represents 1,056,000 jobless out of a labor force of 9,237,000. The unemployment rate is down 0.3 percentage point from the May rate of 11.7 percent. This is the third consecutive monthly decline in the state’s unemployment rate and the lowest rate since October 2009. Prior to this year the last time Florida recorded monthly declines in unemployment rates was February 2006.  Florida’s unemployment rate remains higher that the national average, which is 9.5 percent in June.

The 5 counties that make up the Chipola Regional Workforce Regions showed a slight increase in unemployment. June historically shows a slight increase in unemployment with additional workers entering the workforce and with job seekers reentering the workforce.

Liberty County continues to lead the state with the lowest unemployment rate of 6.8 percent.

                        June-10                      May-10                         June-09

  Calhoun              9.2                               8.4                                8.9

  Holmes               9.0                               8.1                                8.5

  Jackson              8.4                                7.7                               7.9

  Liberty               6.8                                6.3                               6.1

  Washington     10.9                              10.2                             10.8

Washington County Chamber of Commerce Executive Director Ted Everett commented on the figures, as well as noting a number of other factors affecting employment.

"I would explain the unemployment rate we currently see throughout the state being caused by many factors," Everett said in a news release. "In Washington County, one must remember that we just had graduation and those people are now considered to be a part of the workforce. As their are fewer jobs available, those people that are now considered part of the workforce, new graduates, will drive up the counties unemployment numbers."

Here are some other facts to look at.

•Florida’s seasonally adjusted unemployment rate for June 2010 is 11.4 percent.  This represents 1,056,000 jobless out of a labor force of 9,237,000.

•Florida’s unemployment rate is up 0.9 percentage point from the June year ago rate of 10.5 percent.

Florida now has five industries experiencing positive job growth over the year:

•Private education and health services is gaining 29,600 jobs due to ambulatory health care services.

•Total government is gaining 19,800 jobs due to federal and state hirings.

• Professional and business services is gaining 16,300 jobs due to demand for management, scientific, and technical services

•Trade, transportation, and utilities is gaining 1,900 jobs due to growth in general merchandise stores

•“Other services” is gaining 1,900 jobs due to membership organizations

What industries are reflecting the economic downturn?

Over the year, half of all major industry sectors are in decline:

•Construction is losing 28,000 jobs due to decline in specialty trade contractors

•Financial activities is down by 22,000 jobs due to decline in credit intermediation

•Manufacturing is losing 10,800 jobs due to due to decline in fabricated metal product manufacturing

•Information is declining by 10,300 jobs due to decline in telecommunications

•Leisure and hospitality is losing 8,700 jobs due to food services and drinking places

What are the causes of the current economic downturn compared to 1974/75?

The current downturn is due to declines in housing construction and the financial crisis, in addition to high gas prices in early 2008.  The 1974/75 recession was caused by the 1973 oil embargo and declines in the multi-family housing industry.

Why is it taking so long for jobs to recover?

•Tight credit conditions and frugal consumer spending

•Business cost-cutting due to competitive pressures/globalization

•Higher worker productivity due to automation and other technological improvements

•Mismatched skills of unemployed relative to job openings

•Longer spells of unemployment deplete worker skills making reemployment more difficult

•More unemployed persons than job openings

•Less worker mobility due to the housing market

CNBC rates Florida workforce best in nation

TALLAHASSEE – Ironically, as the unemployment rate increased, Governor Charlie Crist today announced that Florida has been ranked number one in the nation for its workforce by CNBC. The ranking came in CNBC’s fourth annual America’s Top States for Business rankings — a study of all 50 states that examines 10 different categories, including workforce, to measure each state’s ability to attract businesses. Florida moved up from the number three spot in 2009, reclaiming the number-one ranking the state held in 2008.

 “The Sunshine State is home to the best talent in the world,” said Governor Crist. “We are committed to creating a highly skilled, innovative workforce across all industry sectors, and we take great pride in the role our workforce plays in driving Florida’s businesses into the 21st century.”

The workforce rankings in CNBC’s annual study are based on several indicators, including the education level of the workforce, the number of available workers, union membership and the relative success of each state’s worker training programs in placing participants in jobs. Workforce Florida Inc., the state’s business-led workforce policy and oversight board largely appointed by Governor Crist, is charged with strengthening Florida’s business climate and helping Floridians enter and advance in the workforce

 “We are committed to providing Floridians and businesses with the tools they need to ensure Florida’s competitiveness in the global marketplace,” said Workforce Florida Chair Belinda Keiser. “To receive the number-one ranking for the second time is a testament to the tenacity of our workforce, and to the excellence of Florida’s programs and collaborative partnerships that ensure we are able to create and sustain highly skilled talent.”

Most employment and training services in Florida are provided at the local level through the state’s 24 regional workforce boards, the backbone of the state workforce system. Key leadership is also provided by the Agency for Workforce Innovation, which is charged with administering workforce services in Florida.

In 2009, Florida’s workforce system provided services including job search, referrals and placement assistance as well as training to more than 1.7 million people.

The workforce ranking is one of the most heavily weighted categories in determining each state’s total score in the CNBC study, along with the cost of doing business and quality of life. This year, Florida placed number 28 in the study’s overall ranking for top business states for the second consecutive year.

Since its 2000 inception, Workforce Florida has developed and directed numerous successful initiatives aimed at addressing the state’s workforce needs. Among them are Quick Response Training (QRT) and Incumbent Worker Training (IWT) grants, which reimburse businesses for a portion of the cost of training employees.

Recently, Workforce Florida developed a new, five-year state strategic plan with statewide input from Florida businesses and the education sector. The plan confronts the challenges of getting Floridians back to work while focusing on the most promising opportunities to diversify the state’s economy by strengthening talent development at every level of Florida’s Talent Supply Chain.

Through the recently launched Microsoft® Elevate America initiative, an innovative public-private partnership, free technology training is available to Floridians for a limited time. Another recent workforce-system initiative, responding to a real-time need confronting the state, is the creation of the Florida Gulf Recovery Jobs web portal at www.floridagulfrecoveryjobs.com. The portal is dedicated to helping Floridians access information about jobs stemming from recovery and cleanup of the Gulf of Mexico oil spill.

To view the CNBC workforce rankings, go to http://www.cnbc.com/id/37516706. To find out about the comprehensive workforce services and resources available in Florida, visit www.EmployFlorida.com.