The District's Unemployment Rate Rises to 8.5 Percent in October 2004 - Releases

(Washington, DC) Today, Gregg Irish, director of the Department of Employment Services (DOES) announced that the District of Columbia's October 2004 unemployment rate rose by 0.5 percent to 8.5 percent. This rate represents a 1.4 percent increase over the year.

“Job growth in the District remains strong, however the number of unemployment District residents continued to increase in October to 1,900,” said Director Irish. “This indicates that city residents are not totally benefiting from the private sector jobs being generated. On a positive note, there were 700 more employed residents and a 2,600 expansion in the District’s civilian labor force.”

District of Columbia Civilian Labor Force, Employment, Unemployment and Unemployment Rate

Over the month, the District’s civilian labor force increased by 2,600 to 305,700. A total of 280,100 residents were employed and 25,600 were unemployed in October 2004. A 700 increase in the number of employed residents coupled with a 1,900 increase in the number of unemployed residents resulted in the not seasonally adjusted unemployment rate rising by 0.6 percent to 8.4 percent.

The October 2004 national unemployment rate of 5.1 percent (not seasonally adjusted) was unchanged from September 2004 and five-tenths of a percent lower than the October 2003 rate.

The seasonally adjusted national unemployment rate in October 2004 was 5.5 percent; 0.1 percent higher than the September 2004 rate and 0.5 percent lower than the October 2003, seasonally adjusted, national unemployment rate.

From October 2003 to October 2004, the District’s civilian labor force increased by 2,800 as the number of employed residents decreased by 1,600 and the number of unemployed residents increased by 4,400. The District’s October 2004 unemployment rate was 1.4 percent higher than the 7.0 percent rate in October 2003.

District Job Growth

The number of District wage and salary jobs increased by 3,400 in October 2004. The private sector increased by 3,600 jobs while the public sector registered a 200-job loss. In the private sector, educational and health services gained 1,800 jobs; professional and business services increased by 1,200 jobs; leisure and hospitality added 600 jobs; and trade, transportation and utilities and other services each gained 200 jobs.

Information lost 300 jobs and natural resources and construction declined by 100 jobs. Manufacturing and financial activities were unchanged over the month. In the public sector, the District government and the federal government each lost 100 jobs, while transportation was unchanged.

In the last 12 months, the District gained a total of 6,400 jobs. The private sector increased by 6,200 jobs and the public sector added 200 jobs. Private sector growth occurred in professional and business services (up by 5,100 jobs), leisure and hospitality (up by 1,200 jobs), trade, transportation and utilities (up by 400 jobs) and information (up by 200 jobs). Educational and health services lost 400 jobs, financial activities declined by 200 jobs and manufacturing lost 100 jobs. The remaining private sector industries were unchanged over the year. In the public sector, the District government and the federal government each gained 100 jobs, while transportation was unchanged.

Washington Metropolitan Area Civilian Labor Force, Employment, and Unemployment Rate

The civilian labor force in the suburban ring of communities surrounding the District of Columbia increased by 10,600 in October 2004 as employment rose by 15,100 and the number of unemployed workers decreased by 4,500. The unemployment rate in the suburban ring, at 2.4 percent in October, was two-tenths of a percent lower than the September 2004 rate.

Over the last 12 months, the number of employed residents in the suburban ring rose by 80,100. With 10,600 fewer unemployed workers, the suburban civilian labor force rose by 69,500. The suburban ring’s October 2004 unemployment rate of 2.4 percent was five-tenths of a percent lower than the 2.9 percent rate in October 2003.

For the Washington Metropolitan Area, the civilian labor force increased by 13,200 in October 2004. The number of employed residents in the metropolitan area rose by 15,800, and the number of unemployed residents decreased by 2,600. The metropolitan area’s unemployment rate, at 3.1 percent in October 2004, was one-tenth of a percent lower than the revised September 2004 rate of 3.2 percent.

Compared to October 2003, the metropolitan area’s civilian labor force rose by 72,300. Employment increased by 78,500, with 6,200 fewer unemployed workers. The Washington Metropolitan Area’s October 2004 unemployment rate was three-tenths of a percent lower than the October 2003 rate of 3.4 percent.

Washington Metropolitan Area Job Growth

Total wage and salary employment in the Washington Metropolitan Area increased over the month by 13,500. The private sector increased by 5,700 and the public sector added 7,800 jobs during this 12-month period. Private sector gains were in professional and business services (up by 4,400 jobs), educational and health services (up by 3,100 jobs), trade, transportation, and utilities (up by 1,700 jobs), other services (up by 800 jobs), and financial activities (up by 200 jobs). Losses were registered in leisure and hospitality (down by 3,000 jobs), information (down by 800 jobs), manufacturing (down by 500 jobs), and natural resources, mining and construction (down by 200 jobs). In the public sector, the federal government shed 600 jobs and state government lost 100 jobs, while local government employment increased by 8,500 jobs.

During the past 12 months, the Washington Metropolitan Area gained a total of 73,700 jobs. The private sector gained 70,100 jobs and the public sector added 3,600 jobs. Private sector gains were registered in professional and business services (up by 27,500 jobs), trade, transportation, and utilities (up by 16,000 jobs), natural resources, mining and construction (up by 11,400 jobs), leisure and hospitality (up by 6,700 jobs), other services (up by 4,400 jobs), financial activities (up by 3,000 jobs), information (up by 1,400 jobs), and educational and health services (up by 600 jobs). Manufacturing lost 900 jobs. In government services, the state governments gained 4,400 jobs, the federal government lost 800 jobs and the local governments were unchanged.