FRANKFORT, Ky. (Aug. 18, 2022) —Kentucky’s seasonally adjusted preliminary July 2022
unemployment rate was 3.7%, according to the Kentucky Center for Statistics
(KYSTATS), an agency within the Kentucky Education and Labor Cabinet (KELC).
The preliminary July 2022 jobless
rate was unchanged from June 2022 but was down 1.1 percentage points from the
4.8% recorded for the state one year ago.
The U.S. seasonally adjusted
jobless rate for July 2022 was 3.5%, which was down from the 3.6% recorded in
June 2022, according to the U.S. Department of Labor.
Labor force statistics, including
the unemployment rate, are based upon estimates from the Current Population
Survey of households. The survey is designed to measure trends in the number of
people working and includes jobs in agriculture and individuals who are
self-employed.
Kentucky’s civilian labor force was
2,063,503 in July 2022, a decrease of 725 individuals from June 2022. The
number of people employed in July decreased by 391 to 1,986,514 while the
number of unemployed fell by 334 to 76,989.
“Kentucky’s unemployment rate held
steady at 3.7% in July,” said University of Kentucky’s Center for Business and
Economic Research (CBER) Director Mike Clark, Ph.D. “While estimates of the
number of people employed and in the labor force decreased slightly in July,
these numbers were not statistically significant different from the June
estimates.”
In a separate federal survey of
business establishments that excludes jobs in agriculture and people who are
self-employed, Kentucky’s seasonally adjusted nonfarm employment fell by 11,400
jobs in July 2022 compared to June 2022. Kentucky’s nonfarm employment was up
45,400 jobs or 2.4% compared to July 2021.
“The estimate of Kentucky’s private
sector employment increased in July,” said Clark. “However, these employment
gains were offset by a large decrease in the preliminary estimate for local
government employment.”
Nonfarm data is provided by the
Bureau of Labor Statistics’ Current Employment Statistics
program. According to the survey, employment increased for six of
Kentucky’s major nonfarm North American Industry Classification System (NAICS)
job sectors in July 2022 and decreased for five.
Kentucky’s educational and health
services sector added 2,300 positions in July 2022. Employment in the
educational services subsector increased by 100 jobs from June to July. The
health care and social assistance subsector added 2,200 jobs in July. Since
last July, this sector has grown by 7,900 jobs or 2.8%.
The trade, transportation and
utilities sector gained 1,800 positions from June 2022 to July 2022. Employment
increased by 1,600 jobs in the retail trade subsector; rose by 1,000 jobs in
the wholesale subsector; and decreased by 800 jobs in the transportation,
warehousing, and utilities subsector. Since July 2021, employment in this
sector has increased by 13,100 jobs or 3.2%.
Construction employment jumped by
1,100 jobs in July 2022 or 1.4% from June. The construction sector was down 700
positions or 0.9% from one year ago.
“After declining during the first
four months of the year, employment in Kentucky’s construction sector picked up
over the past three months,” said Clark.
Employment in Kentucky’s
professional and business services sector increased by 800 jobs or 0.3% in July
2022. Employment fell by 200 jobs in the professional, scientific, and
technical services subsector. The administrative, support, and waste management
subsector gained 900 jobs, and the management of companies subsector added 100
jobs. Employment in this sector was up by 13,700 jobs or 6.2% since July 2021.
Kentucky’s leisure and hospitality
sector was up by 500 positions from June 2022 to July 2022, a gain of 0.3%.
This sector expanded by 17,300 jobs or 9.5% compared to July 2021. Employment
in the arts, entertainment, and recreation subsector decreased by 200 jobs from
June to July. The accommodations and food services subsector added 700 positions
in July.
Employment in Kentucky’s mining and
logging sector increased by 100 jobs from June 2022 to July 2022, and was
up 100 positions from one year ago.
The information services sector was
down 100 jobs in July. The industries in this sector include traditional
publishing as well as software publishing; motion pictures and broadcasting;
and telecommunications. The number of jobs in this sector was up by 800
positions or 3.8% from one year ago.
The financial activities sector
lost 300 positions in July 2022. These losses occurred in the finance and
insurance subsector, which was down 300 jobs from June to July. Employment in
the real estate, rental, and leasing subsector did not change from June to
July. The sector was up 1,000 jobs compared to last July.
Employment in the other services
sector was down 300 jobs in July 2022. This sector has declined by 1,200
positions since July 2021. The other services sector includes repairs and
maintenance, personal care services and religious organizations.
Employment in Kentucky’s
manufacturing sector fell by 2,600 positions from June 2022 to July 2022, a
loss of 1.1%. The jobs losses occurred among the durable goods manufacturers,
which were down 2,700 jobs in July. Employment among the non-durable goods
manufacturers was up 100 jobs. Kentucky’s manufacturing employment was down
3,000 positions or 1.2% since July 2021.
In the government sector,
employment dropped by 14,700 jobs from June 2022 to July 2022. Employment was
up 200 jobs in the federal government and unchanged in state government. Local
government employment decreased by 14,900 positions. Employment in the total
government sector fell by 3,600 positions or 1.3% compared to July 2021.
“The July estimates suggest that
Kentucky’s local government might have fallen back to levels similar to the
first summer of the pandemic,” said Clark. “However, the estimates are
preliminary and might be revised as more information becomes available.
Estimates for August and September will provide a clearer indication of how
local government, which includes local school districts, has changed.”
Civilian labor force statistics
include nonmilitary workers and unemployed Kentuckians who are actively seeking
work. They do not include unemployed Kentuckians who have not looked for
employment within the past four weeks.
Kentucky’s statewide unemployment
rate and employment levels are seasonally adjusted. Employment statistics
undergo sharp fluctuations due to seasonal events, such as weather changes,
harvests, holidays, and school openings and closings. Seasonal adjustments
eliminate these influences and make it easier to observe statistical trends.
However, due to the small sample size, county unemployment rates are not
seasonally adjusted.