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Unemployment rate falls again, IDES not impressed

Friday, Jan 23, 2015 - Posted by Rich Miller

* After years of putting the best possible spin on the state’s unemployment rate, there’s a new governor and a new IDES director, so the spin has been abandoned for now. From IDES…

– The Illinois unemployment rate decreased 0.2 percentage points to 6.2 percent in December. Nonfarm payroll employment gained +17,100 jobs, according to preliminary data released today by the Bureau of Labor Statistics and the Illinois Department of Employment Security.

December job growth was led by Construction (+6,000); Educational and Health Services (+4,700); and Leisure and Hospitality (+4,500); gains were partly offset by declines in Government Services (-1,200) and Financial Activities (-900).

“The 0.9 percent gain in December over the year was significantly less than the national increase of 2.1 percent,” said IDES Director Jeff Mays, “indicating that Illinois employment growth remains lower than the national average.”

Over the year, nonfarm payroll employment increased by +51,600 jobs with the largest gains in Professional and Business Services (+25,700); Construction (+20,200); and Educational and Health Services (+12,700). Four sectors posted declines in December over the prior year: Trade, Transportation and Utilities (-8,700); Information Services (-2,400), Financial Activities (-1,400) and Government (-1,200).

Give it six months to a year and the old spin will likely return.

       

11 Comments
  1. - Formerly Known As... - Friday, Jan 23, 15 @ 2:21 pm:

    Seriously, IDES?

    Compared to the positively euphoric releases of recent months, this is like night and day.


  2. - Wordslinger - Friday, Jan 23, 15 @ 2:22 pm:

    LOL.

    Gasoline is $2.02 at my corner Shell. I guess that ain’t a big deal, either.

    For the record, I don’t think any governor has much to do with the unemployment rate and absolutely nothing to do with the cost of gas.


  3. - Commonsense in Illinois - Friday, Jan 23, 15 @ 2:29 pm:

    I’m not too sure the “old spin” will return. Jeff Mays has always been a straight shooter and I don’t expect anything different in his new role as IDES Director. It’s refreshing to see a more practical approach and I, for one, hopes it continues.


  4. - walker - Friday, Jan 23, 15 @ 2:41 pm:

    One week before the election, Campaign Rauner said the state was “Without Hope” and “Going down the toilet” — one week later they announced “Illinois Is Back.” Nothing had changed in the economic numbers.

    Of course the tune will change at IDES, as soon as Rauner can take any credit for better numbers.


  5. - Joe Schmoe - Friday, Jan 23, 15 @ 2:47 pm:

    The negativity is so refreshing!


  6. - Ducky LaMoore - Friday, Jan 23, 15 @ 2:52 pm:

    I’m sure the growth numbers will be astronomical as soon as the “general growth” from the big “Quinn tax cut” come to fruition.


  7. - Johnny Utah - Friday, Jan 23, 15 @ 3:02 pm:

    Walker —

    If there is a time when a new administration might have a single-month out-sized effect on job creation, it’s when they first take office. A new governor clears up “regime uncertainty” which is a major inhibitor of investment and hiring. Especially when the new policy leader talks about how the burdens on business need to be cleared out of the way.

    http://en.wikipedia.org/wiki/Policy_uncertainty#Regime_uncertainty

    Not saying that’s what happened, but if there is a single month when hiring decisions can be influenced by a new leader, it’s probably the first month.


  8. - Pot calling kettle - Friday, Jan 23, 15 @ 3:04 pm:

    ==Government (-1,200)==

    I wonder what they plan to do about that number.


  9. - JS Mill - Friday, Jan 23, 15 @ 3:04 pm:

    =“indicating that Illinois employment growth remains lower than the national average.”=

    If the state were to pay the $5 Billion (?) in unpaid bills that growth just might be a little more robust.

    All of the “cuts” will surely not invigorate jobs growth. I think we have ample examples of how tha works.


  10. - SAP - Friday, Jan 23, 15 @ 3:53 pm:

    IDES is not impressed because the gains result solely from the income tax rate decrease.


  11. - Wordslinger - Friday, Jan 23, 15 @ 4:00 pm:

    SAPs, is that a gag? The unemployment rate went down in December because the tax rate went down in January?


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