WASHINGTON, DC-New statistics from the Labor Department bode well for the nation’s still-painful unemployment picture and, by extension, the DC area as well. The Labor Department has reported that weekly unemployment claims dropped by 34,000 to a seasonally adjusted 407,000. It was a much steeper drop than Wall Street analysts had expected despite the traditionally volatile period between Veteran’s Day and Thanksgiving. Claims may rise again, but optimists note they have been steadily trending down for the past several weeks.

For the DC area, which has maintained relatively stable employment, albeit with higher unemployment levels than the average, the news is good as upwardly trending employment could give the office sector a much-needed boost. “We haven’t seen the October unemployment figures yet, but I don’t believe they will hold bad news for the DC area,” Jeffrey Kottmeier, vice president and director of research at Cassidy Turley, tells GlobeSt.com. “This will still be a top-growth region.” He points to figures that show the local job markets gaining year to date through October, compared to 2009.

Specifically, 32,000 jobs were added to local job rolls. The professional and business services sector--a key measure for office--gained 11,200 jobs, Kottmeier says, while the federal government added 11,400 jobs in the same period. “What has been interesting about federal employment figures is that they are still rising even though the temporary jobs that gave the numbers a boost earlier this year--such as with Census--have been weeded out,” he relates.

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Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.