District of Columbia's Unemployment Rate Rises to 5.7 Percent in July 2006 - Releases

(Washington, DC) The Department of Employment Services (DOES) today announced that the District of Columbia's seasonally adjusted July 2006 unemployment rate rose to 5.7 percent, which is up 0.3 percent from the June 2006 rate. However, the monthly rate was 0.7 percent lower than in July 2005.

“The unemployment rate, although up from June, is still lower than the July rates in the previous fifteen years and shows substantial over-the-year improvement in unemployment among District residents,” said Gregg Irish, director of the DC Department of Employment Services. “Compared to 2006, there were 2,300 fewer unemployed residents.”

The seasonally adjusted national unemployment rate in July 2006 was 4.8 percent; up 0.2 percent from the June 2006 rate and 0.2 percent lower than the July 2005, seasonally adjusted, national unemployment rate.

The not seasonally adjusted unemployment rate for July 2006 was 6.3 percent; up 0.5 percent from the June 2006 rate and down 0.1 percent from the rate in July 2005.

Over the month, the District’s civilian labor force increased by 2,500 to 301,900. A total of 282,800 residents were employed and 19,200 were unemployed in July 2006. An increase of 800 employed residents, along with a 1,800 rise in the number of unemployed residents, resulted in the 0.5 percent increase in the not seasonally adjusted unemployment rate.

From July 2005 to July 2006, the District’s civilian labor force decreased by 3,500 as the number of employed residents decreased by 3,000 and the number of unemployed residents decreased by 400. The District’s July 2006 unemployment rate was 0.1 percent lower than the rate in July 2005.

The July 2006 national unemployment rate of 5.0 percent (not seasonally adjusted) was up 0.2 percent from the rate in June 2006 and 0.2 percent lower than the rate in July 2005.

The number of District wage and salary jobs increased by 7,200 in July 2006. The private sector lost 2,500 jobs while the public sector gained 9,700 jobs. In the private sector, leisure and hospitality lost 1,200 jobs; professional and business services and educational and health services lost 600 jobs each; and other services shed 300 jobs. Natural resources and construction and trade, transportation and utilities increased by 100 jobs each. Manufacturing, information and financial activities were unchanged. In the public sector, the District government gained 8,500 jobs; the federal government added 1,100 jobs and transportation added 100 jobs.

In the last 12 months, the District gained a total of 11,800 jobs. The private sector added 11,000 jobs and the public sector gained 800 jobs. The private sector growth occurred in professional and business services (up by 3,400 jobs), educational and health services (up by 2,600 jobs), leisure and hospitality (up by 1,700 jobs), information and financial activities (up by 1,100 jobs each), natural resources and construction (up by 600 jobs), trade, transportation and utilities and other services (up by 200 jobs each) and manufacturing (up by 100 jobs). In the public sector, transportation gained 600 jobs and the District government added 200 jobs while the federal government was unchanged over the year.