Iowa unemployment rate dips to 3.5 percent

Iowa seasonally adjusted unemployment rate fell to 3.5 percent in November, from 4.1 percent in October, despite a decline in the number of working Iowans.

Iowa Workforce Development on Friday said the total number of those working fell to 1,655,000 last month, from 1,655,200 in October. The state's civilian labor force also dropped from 1,725,600 in October to 1,720,000 last month.

Iowa employers shed 4,700 jobs in November, marking the third straight month of job losses for the state. Private sector losses accounted for 3,900 jobs and government pared 800 jobs.

Public sector employment losses primarily were within local government where 600 jobs were eliminated. The federal sector also shed 200 jobs.

The largest employment changes occurred in trade, transportation, and utilities, which experienced a decline of 2,300 jobs. The majority of the loss was incurred in retail where there was a drop of 1,400 jobs.

Iowa's manufacturing employment dropped by 1,400 jobs in November, with the losses distributed evenly between durable and nondurable goods factories. Businesses linked to agriculture, energy and international markets continue to operate at reduced employment.

Ernie Goss, director of Creighton University's Economic Forecasting Group, expects the weakness in factory employment to continue to weigh on regional economic conditions.

'Due to the heavy dependence of the region on agriculture and energy, I expect the overall regional economy to continue to underperform the national economy,” Goss said in a news release earlier this month.

Job gains were recorded last month in three private industries and led by professional and business services with 1,400 jobs and heavily fueled by hiring in administrative support and waste management services.

All other gains in November were small and included 300 positions in education and health care and 100 jobs in financial activities.

The number of initial claims for unemployment insurance surged 59.5 percent to 15,247 in November, from 9,560 in October.

l Comments: (319) 398-8366; george.ford@thegazette.com