County unemployment up, still lowest in state

By Robert Carreira
Center For Economic Research
Published/Last Modified on Wednesday, September 30, 2009 4:56 PM MDT


According to figures released by the Arizona Department of Commerce, Cochise County’s seasonally adjusted unemployment rate increased from 7.1 to 7.2 percent from July to August. Cochise County’s unemployment rate remained the lowest in the state and was considerably below the state and national levels. The statewide unemployment rate in August came in at 9.1 percent, down from 9.2 percent. Nationally, the unemployment rate increased from 9.4 to 9.7 percent.


According to ADOC estimates, adjusted for seasonality by the Cochise College Center for Economic Research, city level unemployment rates for August were: Benson, 12.5 percent; Bisbee, 7.9 percent; Douglas, 10.9 percent; Huachuca City, 10.4 percent; Sierra Vista, 4.3 percent; Tombstone, 4.8 percent; and Willcox, 10.8 percent. ADOC unemployment estimates for the cities in Cochise County are based on a model that pegs city rates to the county rate based on data from Census 2000. The model does not pick up changes at the city level since 2000 that differ from county-level trends. CER focus group discussions throughout the county indicate a likely overestimation of unemployment in Benson and Douglas due to the opening of the Wal-Mart Supercenter and ACT Call Center, respectively, in those cities.

Despite the increase in the unemployment rate, Cochise County gained 200 nonfarm jobs in August. Compared to August 2008, however, the number of nonfarm jobs countywide was down by 1,325, for a 12-month job growth rate of -3.5 percent.

The county’s private sector lost 100 jobs in August. Since August last year, the county has lost 1,325 private sector jobs, for job growth of -5.2 percent.

Within the private sector, the number of goods producing jobs—which includes manufacturing and construction—increased by 50 in August. All of the job gains were in manufacturing. Construction jobs stabilized at July levels in August.

Since August 2008, the county’s goods producing subsector has lost 400 jobs for a 12-month job growth rate of -14.3 percent. The county’s construction industry lost 325 jobs in the 12 months ending in August, for job growth of -15.9 percent. Manufacturing lost 75 jobs over the same period for job growth of -10.0 percent.

The county’s private service providing subsector lost 150 jobs in August. Within this subsector, professional and business services gained 200 jobs and financial activities gained 25 jobs. The educational and health services; leisure and hospitality; and trade, transportation, and utilities industry groupings each lost 75 jobs. Information industry employment stabilized at July levels in August.

In the 12 months ending in August, Cochise County’s private service providing subsector lost 925 jobs, for 12-month job growth of -4.0 percent. Trade, transportation, and utilities lost 625 jobs, for job growth of -9.5 percent. Educational and health services lost 400 jobs, for job growth of -9.3 percent. Other services lost 225 jobs, for job growth of -24.3 percent. Information lost 75 jobs for job growth of -15.0 and financial activities lost 50 jobs for job growth of -7.1. These private service-providing job losses were partially offset by a gain of 175 professional and business services jobs for job growth of 3.0 percent and a gain of 275 leisure and hospitality jobs for job growth of 6.9 percent.

August saw a net gain of 300 government jobs in Cochise County. This included the gain of 350 state and local government jobs, partially offset by a loss of 50 federal government jobs. In the 12 months ending in August, government sector jobs stabilized at 12,525. Federal government jobs increased by 325 for a 12-month job growth rate of 6.6 percent, while state and local government jobs declined by 325 for job growth of -4.3 percent.

 

 

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