State Unemployment Hits Three-Year Low

SALEM, OR-Oregon’s seasonally adjusted unemployment rate fell three-tenths of a percentage point during March to 6.2%, according to the Oregon Employment Department. The rate is the lowest since June 2001, when it was also 6.2%. In between, unemployment hit a high of 8.5%Last year at this time, Oregon’s seasonally adjusted unemployment rate was 7.6%. The 140-point drop over 12 months places it among the steepest nationwide, according to OED. The drop equates to a 3.8% (58,600-job) rise in non-farm employment.The strongest job gains last month were in construction, manufacturing, and trade, according to the report. In construction, 1,700 jobs were added in march when a loss of 400 is typical. The additions equate to a 2.1% gain, which is on par with national numbers. Oregon’s construction increase was concentrated in heavy and civil engineering construction (+800) and specialty trade contractors (+1,000). Building finishing contractors, a subset of specialty trade contractors, increased by 800 jobs to 13,600, which was a gain of 2,200 since March 2004, according to the report. Manufacturing added 800 jobs in March, adding to a gain of 1,800 in February. Much of the growth is in durable goods, which has gained 8,200 jobs over the past 12 months. In March, the only durable goods industry to cut jobs was computer and electronic product manufacturing (-300). Trade, transportation, and utilities’ wholesale trade gained 800 jobs in March, for an over the year increase of 2,900 jobs or 3.9%. Durable goods merchant wholesalers accounted for most of the increase, growing by 600 jobs in March. Wholesale trade’s new employment level of 77,200 is equal to its peak reached in September 1998.Retail trade increased by 1,300 in March to 188,800. The sector is up 7,900 jobs (4.4%) since March 2004. Building material and garden supply stores made up most of the March increase, with a gain of 900 jobs to employ a total of 15,100. “Unseasonably warm weather in the first two months of 2005 meant an early startto the gardening and home improvement season,” according to the report. Other retail sectors adding jobsin March were motor vehicle and parts dealers (+400) and sporting goods, hobby, book and music stores (+400).Behind the curve is professional and business services and government. Professional and business services added 1,200 jobs at a time of year when a gain of 1,900 is typical. The relatively weak performance followed a gain of 2,300 in February. Over the past 12 months, the sector has grown by 5,700 jobs (3.3%). Government added only 600 jobs in March, when a gain of twice that amount would have been normal, according to the report.