Oregon Employment Gains 39,000 Jobs Over the Past 12 Months

SALEM, OR-Although Oregon unemployment held steady, rising only one-tenth of one percent to 6.9% in June, the state added an above average number of jobs during the month and has added 39,200 jobs (2.5% growth) since June 2003, the low point of its economic cycle as measured by a key economic barometer, seasonally adjusted employment, according to the latest data from the Oregon Employment Department. The state added 16,400 jobs in June, a time of year when a gain of 10,300 would be expected, according to the latest monthly report from the state agency. Despite this monthly gain and gains over the past five months, Oregon still would need to add nearly 23,000 jobs to reach its high point of the previous economic expansion, which occurred in November 2000, according to the agency.Over the past year, construction has shown the fastest growth rate, rising 5,300 jobs during that time for a 6.9% growth rate, as strong demand for new homes nationally has also been felt in Oregon. Employing 82,300 workers in June, construction was close to the industry’s record employment levels seen throughout much of 1997 through 2000.Professional and business services is second on the list of fastest growing industries, adding 9,500 jobs in the past 12 months for a growth rate of 5.6%. The industry has benefited from increased demand from businesses, as the economy has improved, according to state employment data.Manufacturing, which saw substantial job losses in 2001 through mid-2003, has been expanding in Oregon since reaching a low point in April 2003. Over the past year, manufacturing has grown by 6,800 jobs. This 3.5% growth rate in Oregon’s manufacturing sector is one of the highest of all states in the US, but is still nearly 30,000 jobs below its peak reached in early 1998. Since June 2003, several other major industry sectors also have expanded at a rate of close to one- to two percent, including trade, transportation, and utilities (+2.3%), leisure and hospitality (+2.2%), and government (+1.9%). Meanwhile, three of the major industries have posted essentially unchanged employment levels during that time: financial activities, educational and health services, and natural resources and mining. The one industry that continues to shed jobs during this economic expansion is information, which has shed 1,200 jobs (-3.6%) in the past 12 months. Oregon’s unemployment rate has remained below 7% for the past three months. The last time Oregon’s rate was below 7% was in August 2001, when the rate was 6.8%. Looking at the trend of the past year, Oregon’s unemployment rate has declined from recent highs of 8.7%, reached in June and July 2003. Unemployment nationally remained unchanged at 5.6% in June and has been at either 5.6% or 5.7% for the past seven months.