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June 23, 2004
Workers Leaving the Labor Force Attribute to the District's 7.0% Unemployment Rate

(Washington, DC)  Today, Department of Employment Services Director Gregg Irish announced that the District of Columbia's May 2004 unemployment rate (not seasonally adjusted) was 7.0 percent, which is up 0.3 percent from the April 2004 revised rate of 6.7 percent.  The May 2004 rate was also half a percent higher than the rate in May 2003.


“The increase in the May unemployment rate is a result of employed District residents leaving the labor force and the continuing effects of layoffs in the DC Public School system,” said Director Irish.  “The number of employed workers declined over the month by 5,200, while the number of unemployed workers increased by 600, and the District’s civilian labor force declined by 4,600.  As a result, over the year, the District’s civilian labor force declined by 3,800 with a 5,000 decrease in the number of employed residents.  On the other hand, the May 2004 wage and salary employment statistics showed a positive over-the-year growth of 3,500 jobs.”   

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

Over the month, the District’s civilian labor force decreased by 4,600 to 296,700.  A total of 275,900 residents were employed and 20,800 were unemployed in May 2004.  With the number of unemployed residents increasing to 600, coupled with a reduction of 5,200 employed residents, resulted in the not seasonally adjusted unemployment rate rising by 0.3 percent to 7.0 percent.

 

The District’s seasonally adjusted unemployment rate for May was 7.5 percent; one-tenth of a percent higher than April’s seasonally adjusted unemployment rate and 0.5 percent higher than the rate in May 2003. 

 

The May 2004 national unemployment rate of 5.3 percent, not seasonally adjusted, was one-tenth of a percent lower than the April 2004 unemployment rate and half a percent lower than the May 2003 rate.

 

The seasonally adjusted national unemployment rate in May 2004 was 5.6 percent; the same as in April 2004 and 0.5 percent lower than the May 2003, seasonally adjusted, national unemployment rate.


From May 2003 to May 2004, the District’s civilian labor force decreased by 3,800.  The numbers of employed residents decreased by 5,000 and the number of unemployed residents increased by 1,200 from the prior year.  The District’s May 2004 unemployment rate was 0.5 percent higher than the 6.5 percent rate in May 2003.

 

 

 

 

District Job Growth

The number of District wage and salary jobs decreased by 3,300 in May 2004.  The private sector registered a 1,900-job loss and the public sector declined by 1,400 jobs.   In the private sector, a seasonal loss of 3,300 in education and health services was partially offset by an 800 increase in leisure and hospitality and a 500 gain in natural resources and construction. Professional and business services decreased by 300 jobs while financial activities and other services each added 200 jobs.  Trade, transportation and utilities lost 100 jobs and information gained 100 jobs.  In the public sector, the federal government shed 1,100 jobs, the District government lost 200 jobs and public transportation declined by 100 jobs.  

 

In the last 12 months, the District gained a total of 3,500 jobs.  The private sector registered an increase of 5,500 jobs, while the public sector lost 2,000 jobs.  The private sector growth was concentrated in professional and business services (up by 3,400 jobs), leisure and hospitality (up by 1,600 jobs), educational and health services (up by 700 jobs), and natural resources and construction (up by 700 jobs).  Trade, transportation and utilities and financial activities showed no change over the year.  The remaining private sector industries lost jobs over the year with the largest reductions in other services (down by 500 jobs) and information (down by 300 jobs).    In the public sector, the federal government lost 1,700 jobs, the District government lost 200 jobs and transportation lost 100 jobs. 

 

  

 

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 16,300 in May 2004, as employment rose by 12,700, and the number unemployed increased by 3,500.  The unemployment rate in the suburban ring, at 2.5 percent in May, was one-tenth of a percent higher than the April 2004 rate.   

      

Over the last 12 months, the number of employed residents in the suburban ring rose by 88,900.   With 14,400 fewer unemployed suburban residents, the suburban civilian labor force rose by 74,600.  The suburban ring’s May 2004 unemployment rate of 2.5 percent was seven-tenths of a percent lower than the 3.2 percent rate in May 2003.


For the Washington Metropolitan Area, the civilian labor force increased by 11,700 in May 2004.  The number of employed residents in the metropolitan area rose by 7,500, and the number of unemployed residents increased by 4,100.  The metropolitan area’s unemployment rate at 3.0 percent in May 2004 was one-tenth of a percent higher than the April 2004 rate of 2.9 percent.

 

Compared to May 2003, the metropolitan area’s civilian labor force rose by 70,800.  Employment increased by 83,900, with 13,200 fewer unemployed.  The Washington Metropolitan Area’s May 2004 unemployment rate was half of a percent lower than the May 2003 rate of 3.5 percent.  

 

 

 

   

Washington Metropolitan Area Job Growth

Total wage and salary employment in the Washington Metropolitan Area increased over the month in May 2004 by 19,800.  The private sector accounted for the gain as the public sector showed no change over the month.  The largest private sector gains were in leisure and hospitality (up by 7,300 jobs), natural resources, mining and construction (up by 4,200 jobs), professional and business services (up by 3,600 jobs) and trade, transportation, and utilities (up by 3,000 jobs).  Gains were also registered in financial activities (up by 1,300 jobs), other services (up by 1,100 jobs), and manufacturing (up by 100 jobs).  Educational and health services lost 800 jobs while information was unchanged over the month.  In the public sector, the local government gained 1,900 jobs while the federal government lost 1,600 jobs and state government declined by 300 jobs.   

   

During the past 12 months, the Washington Metropolitan Area gained 79,300 jobs.  The private sector gained 72,800 jobs and the public sector added 6,500 jobs.  Private sector gains were registered in professional and business services (up by 29,700 jobs), trade, transportation, and utilities (up by 14,900 jobs), natural resources, mining and construction (up by 12,500 jobs), leisure and hospitality (up by 7,900 jobs), and financial activities (up by 4,800 jobs), other services (up by 4,000 jobs), and educational and health services (up by 1,400 jobs).  The manufacturing and information industries continued to report job losses – manufacturing lost 1,400 jobs, while information shed 1,000 jobs.  In government, local government added 6,200 jobs and the federal government gained 2,000 jobs while state government lost 1,700 jobs.