Unemployment in the Northwest Arkansas metro area remained at 3.9 percent in November, unchanged from October, but down significantly from a year ago, according to the latest report from the federal Bureau of Labor Standards.
"That's a good number, it's nice to see the unemployment rate staying so low," said Kathy Deck, director of the Center for Business and Economic Research at the University of Arkansas. "It was 5 percent last year so we've made substantial progress in unemployment. There are 2,600 fewer people unemployed and we're back down to 2008 levels in terms of the number of people unemployed."
At A Glance
Unemployment
The unemployment rate was 3.9 percent in the Northwest Arkansas metro area in November. Here’s how other metros in the state fared:
• Jonesboro: 4.8 percent.
• Little Rock: 4.8 percent.
• Fort Smith: 5.5 percent.
• Hot Springs: 5.8 percent.
• Pine Bluff: 6.8 percent.
Source: U.S. Bureau of Labor Statistics
Northwest Arkansas' unemployment hit its lowest mark at 2.2 percent in October 2001.
The number of people employed was a record 225,500 in November, up slightly from 224,400 in October. The civilian labor force was 234,800, up slightly from 233,600 in October and the number of people unemployed was 9,200, up slightly from 9,100 in October.
Deck said the civilian labor force is a combination of all the people employed and those looking for work.
"It looks like it was about 60 percent employment and about 40 percent people just leaving the labor force, and that's a continuation of what we've been seeing all year," Deck said.
Deck is concerned about a trend she's seeing in the trade, transportation and utilities sector, which represents slightly more than one of every five jobs in the region.
"The thing that really sticks, and the thing that's holding us back from being even more spectacular, is that core sector was down, year-over-year, and, in fact, it was down in retail trade, it was down in wholesale trade and it was down in transportation," Deck said. "Even if that had just been flat we'd be seeing some spectacular growth rates."
Trade, transportation and utilities jobs increased from 46,200 in October to 47,500 in November but that was down from 49,300 jobs a year ago.
"What you've gotta hope is happening is that our core companies are re-trenching and positioning themselves for good growth in 2015," Deck said. "But, it's still a little worrying that we were so weak in that category."
Professional and business services, which includes occupations such as lawyers, accountants and architects, showed good year-over-year growth, Deck said. That sector went from 41,900 jobs in October to 41,700 in November but is up some 2 percent from a year ago when the number was 40,900.
Financial activities, which includes banking, insurance and real estate, and the construction sector showed overall improvement, Deck said. The two are related and typically move in tandem.
Financial activities accounted for 7,000 jobs in November, up from 6,900 in October and 6,700 a year ago.
The number of people employed in construction, mining and logging went from 8,800 in October to 8,700 in November. That number stood at 8,200 jobs a year ago. Many of those jobs are related to highway, trails and infrastructure projects going on across the region.
"We've certainly been at it. It's been a nice, steady addition of both field staff and office staff, our challenge is to find the people to fill those positions," said Greg Fogle, president of midwest operations for Nabholz Construction. "We've gotten a steady stream of projects this year, it's better than 2013 and that was better than 2012."
Neither financial nor construction has recovered to pre-recession levels, but they both are making good strides, Deck said.
"They look a lot less bubbly but are recovering slowly," Deck said.
Deck said jobs were added over last year in leisure and hospitality, mostly restaurant jobs. Manufacturing remained steady, month-to-month, at 26,200 jobs. Manufacturing has been in long-term decline and Deck said she expects to see that trend reflected in the coming year because of several companies closing.
In other sectors:
• Information, which includes journalism, remained unchanged in November from October at 1,800 jobs.
• Health services jobs increased slightly, from 25,400 in October to 25,500 in November.
• Other services, a catch-all category, remained steady in November at 6,300 jobs.
• Government jobs, which includes teachers, increased slightly in November to 33,800 from 33,600 in October.
The Metropolitan Statistical Area includes Fayetteville, Springdale, Rogers, Bentonville and McDonald County, Mo.
NW News on 12/31/2014