The Massachusetts unemployment rate for June rose to 17.4 percent, up from the June rate of 16.6 percent.
From the Massachusetts Executive Office of Labor and Workforce Development
Massachusetts Unemployment and Job Estimates for June
BOSTON, MA – JULY 17, 2020 — The state’s June total unemployment rate is up eight-tenths of a percentage point at 17.4 percent following a revision to the May rate of 16.6 percent, the Executive Office of Labor and Workforce Development announced Friday.
The Bureau of Labor Statistics’ preliminary job estimates indicate Massachusetts added 83,700 jobs in June. This follows last month’s revised gain of 55,000 jobs. Over the month, the private sector added 97,300 jobs as gains occurred in Leisure and Hospitality; Trade, Transportation, and Utilities; Construction; Professional, Scientific, and Business Services; Education and Health Services; Manufacturing; and Other Services. Losses occurred in Financial Activities and Information. Government lost jobs over the month.
From June 2019 to June 2020, BLS estimates Massachusetts lost 529,800 jobs. Losses occurred in each of the private sectors, with the largest percentage losses in Leisure and Hospitality; Other Services; Trade, Transportation, and Utilities; and Construction.
The June unemployment rate was 6.3 percentage points above the national rate of 11.1 percent reported by the Bureau of Labor Statistics.
The labor force increased by 130,800 from 3,540,900 in May, as 79,200 more residents were employed and 51,600 more residents were unemployed over the month.
Over the year, the state’s seasonally adjusted unemployment rate increased by 14.5 percentage points.
The state’s labor force participation rate – the total number of residents 16 or older who worked or were unemployed and actively sought work in the last four weeks – increased to 64.9 percent. Compared to June 2019, the labor force participation rate is down by 2.7 percentage points.
June 2020 Employment Overview
Leisure and Hospitality gained 29,500 (+18.8%) jobs over the month. Over the year, Leisure and Hospitality lost 192,100 (-50.8%) jobs.
Trade, Transportation and Utilities added 27,900 (+6.0%) jobs over the month. Over the year, Trade, Transportation and Utilities lost 87,600 (-15.2%) jobs.
Construction gained 19,700 (+16.3%) jobs over the month. Over the year, Construction has lost 21,500 (-13.3%) jobs.
Professional, Scientific and Business Services added 7,600 (+1.4%) jobs over the month. Over the year, Professional, Scientific and Business Services lost 33,000 (-5.5%) jobs.
Education and Health Services gained 5,900 (+0.8%) jobs over the month. Over the year, Education and Health Services lost 83,300 (-10.3%) jobs.
Manufacturing added 5,500 (+2.4%) jobs over the month. Over the year, Manufacturing lost 13,200 (-5.4%) jobs.
Other Services gained 4,100 (+4.4%) jobs over the month. Over the year, Other Services are down 41,700 (-30.0%) jobs.
Information lost 1,200 (-1.3%) jobs over the month. Over the year, Information lost 2,600 (-2.8%) jobs.
Financial Activities lost 1,600 (-0.7%) jobs over the month. Over the year, Financial Activities lost 4,600 (-2.1%) jobs.
Government lost 13,600 (-3.2%) jobs over the month. Over the year, Government lost 49,900 (-10.9%) jobs.
Labor Force Overview
The June estimates show 3,033,600 Massachusetts residents were employed and 638,100 were unemployed, for a total labor force of 3,671,700. The unemployment rate at 17.4 percent was up by eight-tenths of a percentage point from the revised May estimate of 16.6 percent. The June labor force increased by 130,800 from 3,540,900 in May, as 79,200 more residents were employed and 51,600 more residents were unemployed over the month. The labor force participation rate, the share of working age population employed and unemployed, was up 2.3 percentage points over the month at 64.9 percent. The labor force was down at 134,800 from the 3,806,500 June 2019 estimate, with 662,100 fewer residents employed and 527,300 more residents unemployed.
The unemployment rate is based on a monthly sample of households. The job estimates are derived from a monthly sample survey of employers. As a result, the two statistics may exhibit different monthly trends. The Bureau of Labor Statistics implemented the Current Population Survey level-shift outliers into the estimation models to incorporate the state claims and CES inputs starting with the revised March estimates. These level shifts preserved movements in published estimates that the models otherwise would have discounted as sampling error.
NOTES: The labor force is the sum of the numbers of employed residents and those unemployed, that is residents not working but actively seeking work in the last four weeks. Estimates may not add up to the total labor force due to rounding. For further information on seasonal adjustment methodology, please refer to the Bureau of Labor Statistics website https://www.bls.gov.
Comments are closed.