FRANKFORT, Ky. (July 21, 2022) — Kentucky’s seasonally adjusted preliminary June 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 June 2022 jobless rate was down 0.1 percentage points from the 3.8% reported in May 2022 and down 1.1% from the 4.8% recorded for the state one year ago.

The U.S. seasonally adjusted jobless rate for June 2022 was 3.6%, which was unchanged from May 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 2,064,102 in June 2022, a decrease of 726 individuals from May 2022. The number of people employed in June increased by 1,085 to 1,986,909 while the number of unemployed decreased by 1,811 to 77,193.

“Demand for workers remained strong in June,” said University of Kentucky’s Center for Business and Economic Research (CBER) Director Mike Clark, Ph.D. “More people reported having a job last month. This increase, coupled with a slight decline in the number of people participating in the labor force, pushed the state’s unemployment rate for June down to 3.7%.”

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 jumped by 10,000 jobs in June 2022 compared to May 2022. Kentucky’s nonfarm employment was up 57,900 jobs or 3.1% compared to June 2021.

“While robust hiring among Kentucky’s leisure and hospitality businesses drove much of June’s job gains, the gains were broad-based,” said Clark. “Eight of the 11 major sectors reported higher levels of employment.”

Nonfarm data is provided by the Bureau of Labor Statistics’ Current Employment Statistics program. According to the survey, employment increased for eight of Kentucky’s major nonfarm North American Industry Classification System (NAICS) job sectors in June 2022, decreased for one, and remained unchanged in two.

Employment in Kentucky’s leisure and hospitality sector was up by 3,900 positions from May 2022 to June 2022, a gain of 2%. This sector was up 19,200 jobs or 10.7% compared to June 2021. Employment in the arts, entertainment and recreation subsector increased by 300 jobs from May to June. The accommodations and food services subsector gained 3,600 jobs in June.

Employment in Kentucky’s manufacturing sector rose by 3,000 positions from May 2022 to June 2022, a gain of 1.2%. Durable goods manufacturers added 2,400 jobs in June and non-durable goods manufacturers added 600 jobs. Kentucky’s manufacturing employment was up 2,000 positions or 0.8% since June 2021.

“Kentucky’s manufacturing employment has been volatile for several months as firms wrestle with lingering supply-chain issues and changing consumer-spending patterns,” said Clark. “While non-durable goods manufacturers have generally increased employment, payrolls at durable goods manufacturers have fluctuated. Kentucky’s manufacturing sector has recovered many of the jobs lost during the pandemic, but employment has leveled off in recent months.”

Employment in Kentucky’s professional and business services sector increased by 1,000 jobs or 0.4% in June 2022. Employment rose by 400 jobs in the professional, scientific and technical services subsector. The administrative, support and waste management subsector gained 500 jobs, and the management of companies subsector added 100 jobs. Employment in this sector was up 12,700 or 5.8% since June 2021.

The trade, transportation and utilities sector added 1,000 positions from May 2022 to June 2022. Employment increased by 1,700 jobs in the retail trade subsector and 700 jobs in the wholesale subsector. These gains were partially offset by a loss of 1,400 jobs in the transportation, warehousing and utilities subsector. Since June 2021, employment in this sector has increased by 12,500 jobs or 3.1%.

Kentucky’s educational and health services sector added 500 positions in June 2022. Employment in the educational services subsector decreased by 200 jobs from May to June. The health care and social assistance subsector added 700 jobs in June. Since last June, this sector has grown by 6,600 jobs or 2.3%.

In the government sector, employment was up by 500 jobs from May 2022 to June 2022. Federal government employment fell by 200 jobs. Employment was up by 500 jobs in state government and 200 in local government. The total government sector added 5,100 positions or 1.7% compared to June 2021.

The financial activities sector gained 300 positions in June 2022. Employment in the finance and insurance subsector was up 500 jobs from May to June, while real estate, rental and leasing subsector was down 200 jobs. The financial activities sector was up 1,300 jobs compared to last June.

Construction employment rose by 100 jobs in June 2022 or 0.1% from May. The construction sector was down 2,200 positions or 2.8% from one year ago.

The information services sector was unchanged in June. 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 1,100 or 5.3% from one year ago.

Employment in Kentucky’s mining and logging sector did not change from May 2022 to June 2022. Employment in this sector for June 2022 was down 100 positions from one year ago.

Employment in the other services sector was down 300 jobs in June 2022. This sector has declined by  300 positions since June 2021. The other services sector includes repairs and maintenance, personal care services, and religious organizations.

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.

To learn more about Kentucky labor market information, visit http://kystats.ky.gov/KYLMI.