State jobless numbers fall third straight month
CHICAGO – The Illinois unemployment rate fell for the third consecutive month to reach 7.5 percent in May and is at the lowest level since November 2008, according to preliminary data released today by the Bureau of Labor Statistics and the Illinois Department of Employment Security. The data is seasonally adjusted.
May marks nine consecutive months that the number of people working has increased and the combined April-May reduction of 0.9 point in the unemployment rate is the largest two-month drop since this data series began 38 years ago in 1976.
“May brings us another month of encouraging data. More people are working and the unemployment rate is falling,” IDES Director Jay Rowell said. “May also reminds us that even as we continue to improve and move forward, more needs to be done to bring this progress to every doorstep.”
The unemployment rate is in line with other economic indicators. First time jobless claims have been trending lower for the past four years and in May were 25.5 percent lower than one year ago. Numbers from the independent Conference Board’s Help Wanted OnLine Survey show Illinois employers in May advertised for more than 203,000 jobs (192,500 seasonally adjusted) and 85 percent sought full-time work.
Employers added +242,700 private sector jobs since job creation returned to Illinois. Leading sectors are Professional and Business Services (+105,000, +13.4 percent); Education and Health Services (+59,000, +7.2 percent); and Leisure and Hospitality (+38,300, +7.5 percent). Government continues to lead job loss (-23,100, -2.7 percent.)
In May, the number of unemployed individuals fell -23,600 (-4.6 percent) to 492,400. Total unemployed has fallen -261,100 (-34.7 percent) since when the rate peaked at 11.4 percent. The rate fell even though preliminary estimates indicated 2,600 fewer jobs in May but 19,200 more jobs than one year ago. The unemployment rate and job creation numbers can move independently of each other because they come from different surveys.
The unemployment rate identifies those who are out of work and seeking employment. A person who exhausts benefits, or is ineligible, still will be reflected in the unemployment rate if they actively seek work.
Historically, the national unemployment rate is lower than the state rate. The state rate has been lower than the national rate only six times since January 2000. This includes periods of economic expansion and contraction.
