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January 28, 2004
District of Columbia's Unemployment Rate Drops to 6.9 Percent in July 2003

(Washington, DC)  Today, Gregg Irish, director of the Department of Employment Services (DOES) announced that the District of Columbia's December 2003 unemployment rate (not seasonally adjusted) was 6.2 percent, 0.4 percent lower than the November 2003 revised rate of 6.6 percent.  The December 2003 rate showed no change from the 6.2 percent rate in December 2002.

The seasonally adjusted unemployment rate for December 2003 was 6.6 percent; 0.1 percent lower than the 6.7 percent rate in November 2003 and unchanged from the rate in December 2002.

“The December drop in the unemployment rate is a positive sign for unemployed District residents,” stated Director Irish.  “The statistics show growth in the District’s civilian labor force – growing by 4,400 over-the-year – which is an increase of 4,000 employed city residents.  The December 2003 wage and salary employment statistics also indicate that jobs continued to expand and registered a positive over-the-year growth of 6,700 jobs.”

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

Over the month, the District’s civilian labor force decreased by 8,300 to 303,900.  A total of 285,000 residents were employed and 18,900 were unemployed in December 2003.  A 6,600 decrease in the number of employed residents coupled with a 1,700 reduction in the number of unemployed residents resulted in the not seasonally adjusted unemployment rate decline of 0.4 percent to 6.2 percent.

The District’s seasonally adjusted unemployment rate for December 2003 was 6.6 percent; one-tenth of a percent lower than November’s seasonally adjusted unemployment rate and the same as the rate in December 2002.

The December 2003 national unemployment rate of 5.4 percent, not seasonally adjusted, was two-tenths of a percent lower than the national unemployment rate in November 2003 and three-tenths of a percent lower than the December 2002 rate.

The seasonally adjusted national unemployment rate in December 2003 was 5.7 percent; two-tenths of a percent lower than in November 2003 and three-tenths of a percent lower than December 2002.

From December 2002 to December 2003, the District’s civilian labor force increased by 4,400.  The number of employed residents increased by 4,000 while the number of unemployed residents increased by 400 from the prior year.  The District’s December 2003 unemployment rate equaled the 6.2 percent rate in December 2002.

District Job Growth

The number of District wage and salary jobs increased by 1,000 in December 2003.  The employment increase was due to a 2,600-job gain in the public sector and a partially offsetting 1,600-job loss in the private sector.  The federal government was primarily responsible for the public sector job growth with an increase of 2,300 jobs.   The employment loss in the private sector was concentrated in educational services, which lost 1,200 jobs.

In the last 12 months, the District gained a total of 6,700 jobs.  The private sector registered a gain of 5,900 jobs, while the public sector added 800 jobs.  The private sector gain was due primarily to a 4,000 increase in professional and business services – concentrated in legal services (up by 1,200 jobs) – and administrative and support services (up by 2,500 jobs) and a 1,300 gain in leisure and hospitality – concentrated in food services and drinking places (up by 1,200 jobs).  Private sector gains were also registered in educational and health services (up by 1,200 jobs), natural resources and construction (up by 500 jobs) and financial activities (up by 300 jobs).  The remaining private sector industries lost jobs over-the-year with the largest reductions in information and trade, transportation and utilities, which lost 600 and 500 jobs, respectively.  In the public sector, District government and public transportation registered yearly losses of 400 and 100 jobs, respectively, while the federal government gained 1,300 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 decreased by 14,500 in December 2003 as employment fell by 11,400 and the number unemployed declined by 3,100.  The unemployment rate in the suburban ring, at 2.6 percent in December, was one-tenth of a percent lower than the November 2003 rate.

Over the last 12 months, the number of employed residents in the suburban ring rose by 43,000.   With 5,400 fewer unemployed suburban residents, the suburban civilian labor force rose by 37,600.  The suburban ring’s December 2003 unemployment rate of 2.6 percent was two-tenths of a percent lower than the 2.8 percent rate in December 2002.

For the Washington Metropolitan Area, the civilian labor force decreased by 22,800 in December 2003.  The number of employed residents in the metropolitan area declined by 18,000, and the number of unemployed residents dropped by 4,800.  The metropolitan area’s unemployment rate, at 3.0 percent in December 2003, was one-tenth of a percent lower than the November 2003 rate of 3.1 percent.

Compared to December 2002, the civilian labor force rose by 42,000.  Employment increased by 47,000, with 5,000 fewer unemployed.  The Washington Metropolitan Area’s 3.0 percent December 2003 unemployment rate was two-tenths of a percent lower than the December 2002 rate of 3.2 percent.

Washington Metropolitan Area Job Growth

Total wage and salary employment in the Washington Metropolitan Area increased over the month in December 2003 by 300.  The public sector added 2,700 jobs, while the private sector lost 2,400 jobs.   In the public sector, the federal government gained 2,800 jobs and state government gained 600 jobs, while local government lost 700 jobs. The decline in the private sector resulted from losses in professional and business services (down by 3,600 jobs), natural resources, mining and construction (down by 2,000 jobs), educational and health services (down by 1,500 jobs), information (down by 800 jobs), and manufacturing (down by 400 jobs).  These losses were partially offset by gains in trade, transportation, and utilities (up by 4,000 jobs), financial activities (up by 900 jobs), leisure and hospitality (up by 900 jobs) and other services (up by 100 jobs).

During the past 12 months, the Washington Metropolitan Area gained 38,500 jobs.  The private sector gained 28,100 jobs, while the public sector added 10,400 jobs.  Major sources of job growth in the private sector continued to be in professional and business services (up by 19,000 jobs) and financial activities (up by 4,700 jobs).  Private sector gains were also registered in natural resources, mining and construction (up by 3,600 jobs), educational and health services (up by 3,600 jobs), leisure and hospitality (up by 2,500 jobs), and trade, transportation, and utilities (up by 300 jobs).  Meanwhile, the information and manufacturing industries continued to report significant job losses – information lost 3,200 jobs, while manufacturing shed 2,300.  Other services registered a slight loss of 100 jobs.  In government, local government added 11,100 jobs and the federal government gained 1,100 jobs, while state government shed 1,800 jobs.