Unemployment Rate Falls to Historic Low in August

Unemployment Rate Falls to Historic Low in August

The Illinois Department of Employment Security (IDES) recently announced that the unemployment rate was 4.0 percent in August, down 0.2 percentage point from the prior month, based on preliminary data provided by the U.S. Bureau of Labor Statistics (BLS) and released by IDES. Th e August unemployment rate was the lowest monthly unemployment rate for the state on record. Nonfarm payrolls were stable compared to the prior month, down -1,400 jobs. The July monthly change in payrolls was revised from the preliminary report (from -400 to +1,300 jobs).

The state’s unemployment rate is +0.3 percentage points higher than the national unemployment rate reported for August 2019, which was 3.7 percent and unchanged from the previous month. Th e Illinois unemployment rate was down -0.2 percentage point from a year ago when it was 4.2 percent.

Illinois payroll employment has shown variability since the beginning of the year, as have national payrolls. Average payroll employment growth in Illinois during the June to August three-month period, which provides a more stable measure of payroll employment change, was +2,500 jobs, with the largest gains in Educational and Health Services (+900), Government (+900) and Financial Activities (+700).

“We are pleased that Illinois’ unemployment rate is at its lowest level ever and will continue to focus on making sure that our economy works for everyone,” said Deputy Governor Dan Hynes. “Th is administration prioritized creating an environment where Illinois could create more good jobs that raise wages for working people in this state. Th at’s why we raised the minimum wage, balanced the budget, invested heavily in education and passed a bipartisan capital bill that rebuilds our roads and bridges and lays the foundation for long term economic growth – and are attracting good jobs to the state.”

“During his fi rst few months in offi ce, Governor Pritzker passed a balanced budget and a capital bill that has allowed the state’s business community to thrive. Major companies like Amazon and J-Power have doubled down on their commitment to Illinois, creating hundreds of new earning opportunities for Illinoisans across the state and proving that Illinois is a top destination for businesses and workers alike,” said Erin Guthrie, acting director of the Department of Commerce and Economic Opportunity.

Compared to a year ago, nonfarm payroll employment increased by +65,500 jobs with the largest gains in these industry sectors in August: Educational and Health Services (+17,900), Leisure and Hospitality (+14,300) and Trade, Transportation and Utilities (+10,300). Th e industry sectors with declines compared to last year were: Information (-4,000) and Mining (-500). Illinois nonfarm payrolls were up +1.1 percent over-the-year as compared to the nation’s +1.4 percent over-the-year gain in August.

Th e number of unemployed workers decreased from the prior month, -3.7 percent to 262,500, a record low, and was down -4.0 percent over the same month for the prior year. Th e labor force was up +0.1 percentage point over-the-month and +0.7 percentage point over-the-year. Th e unemployment rate identifies those individuals who are out of work and are seeking employment.

An individual who exhausts or is ineligible for benefits is still reflected in the unemployment rate if they actively seek work. To help connect jobseekers to employers who are hiring, IDES’ maintains the state’s largest job search engine, IllinoisJoblink.com (IJL), which recently showed 60,592 posted resumes with 98,752 jobs available.

Visit the Department’s website at www.ides.illinois.

gov for more information. You can also follow IDES on Twitter and Facebook.

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