Cedar Rapids, Iowa City unemployment rates rise in June

June was not a good month for employment in the Cedar Rapids-Iowa City Corridor with fewer jobs and the unemployment rate rising from the previous month.

Total non-farm employment in the Cedar Rapids metropolitan statistical area shed 700 jobs from May, ending June with 141,700 positions. That sent the unemployment rate up to 4.9 percent from 4.6 percent in May, according to Iowa Workforce Development.

Cedar Rapids employment remains 1,000 above a year ago. The jobless rate is 0.5 percent below the 5.4 percent recorded in June 2012.

A seasonal reduction of 1,400 jobs in local government employment represented the majority of the overall decline in Cedar Rapids. The only other industry with a job loss was educational and health services with an expected seasonal drop of 300 jobs.

Leisure and hospitality led the way in offsetting other seasonal losses with a gain of 400 jobs.

Manufacturing has shed 300 jobs over the year, mostly in durable goods manufacturing, and other services pared 100 jobs. Trade, transportation and warehousing gained 800 jobs.

Non-farm employment in the Iowa City metropolitan statistical area shed 2,100 jobs in June from the previous month. Although the unemployment rate ticked up to 3.8 percent in June from 3.1 percent in May, it remains 0.4 percent below the 4.2 percent recorded in June 2012.

Iowa City employment remains 800 above a year ago and is at its highest level for the month of June in the past 20 years.

All the job losses in the Iowa City MSA were in state government and seasonal in nature. Before June's loss, there were four consecutive months of gains.

Professional and business services added 200 jobs and trade and transportation added 100 jobs.

Iowa's seasonally adjusted unemployment rate remained at 4.6 percent in June, but was down from the June 2012 rate of 5.3 percent.

The statewide estimate of unemployed persons increased slightly to 76,500 in June from 76,400 in May.  The current level compares with 87,300 for June 2012.

The total number of working Iowans rose to 1,577,200 in June from 1,576,700 in May.  Total employment stood at 1,550,300 a year ago.

"The Iowa economy posted solid job gains in June, which helped to accelerate job growth for the first half of the year,"  said Teresa Wahlert, director of Iowa Workforce Development. "Over the past few months, hiring has occurred in a wider range of industries."