FRANKFORT, Ky. (June. 16, 2022) —Kentucky’s seasonally adjusted preliminary May 2022 unemployment
rate was 3.8%, according to the Kentucky Center for Statistics (KYSTATS), an
agency within the Education and Workforce Development Cabinet (EWDC).
The preliminary May 2022 jobless
rate was down 0.1 percentage points from the 3.9% reported in April 2022 and
down 0.9 percentage points from the 4.7% recorded for the state one year ago.
The U.S. seasonally adjusted
jobless rate for May 2022 was 3.6%, which was unchanged from April 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
2,064,679 in May 2022, an increase of 1,830 individuals from April 2022. The
number of people employed in May increased by 2,799 to 1,985,786 while the
number of unemployed decreased by 969 to 78,893.
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 5,500
jobs in May 2022 compared to April 2022. Kentucky’s nonfarm employment was up
48,100 jobs or 2.5% compared to May 2021.
“The two surveys that measure
employment in Kentucky provided mixed signals on the commonwealth’s labor
market in May,” said University of Kentucky’s Center for Business and Economic
Research (CBER) Director Mike Clark, Ph.D. “The household survey indicated that
Kentucky’s unemployment rate fell to a new low of 3.8% as people found jobs at
a faster rate than they entered the labor market. However, despite strong
growth in the professional and business services and health services, the
survey of employers indicated that Kentucky’s total nonfarm employment fell in
May. Declines in durable goods manufacturing, retail trade and state government
pulled total employment down for the month.”
Nonfarm data is provided by the
Bureau of Labor Statistics’ Current Employment Statistics
program. According to the survey, employment increased for five of
Kentucky’s major nonfarm North American Industry Classification System (NAICS)
job sectors in May 2022 while employment declined in six.
Employment in Kentucky’s
professional and business services sector increased by 2,800 jobs or 1.2% in
May 2022. Employment rose by 2,100 jobs in the professional, scientific, and
technical services subsector. The administrative and support and waste
management subsector gained 700 jobs, while the management of companies
subsector was unchanged. Employment in this sector was up 11,300 or 5.1% since
May 2021.
“Employment in Kentucky’s
professional and business services sector was up 5.9% over pre-pandemic levels
and has shown particularly strong growth over the past few months,” said Clark.
“While some of this job growth likely comes from increased use of temporary
employees, much of it appears to be coming from new jobs in the professional,
scientific and technical services subsector, which includes jobs in areas such
as computer system design, accounting and consulting services.”
Kentucky’s educational and health
services sector added 1,600 positions in May 2022. Employment in the
educational services subsector increased by 300 jobs from April to May. The
health care and social assistance subsector added 1,300 jobs in May. Since last
May, this sector has grown by 6,000 jobs or 2.1%.
Employment in the other services
sector was up 1,200 jobs in May 2022. This sector was up 600 positions since
May 2021. The other services sector includes repairs and maintenance, personal
care services, and religious organizations.
The information services sector
gained 500 positions from April to May. 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 1,300 or 6.3% from one year ago.
Construction employment rose by 300
jobs in May 2022, or 0.4% from April. The construction sector was down 2,300
positions or 2.9% from one year ago.
Kentucky’s mining and logging
sector fell by 100 jobs from April 2022 to May 2022. Employment in this sector
for May 2022 was down 300 positions from one year ago.
Kentucky’s leisure and hospitality
sector reduced employment by 600 positions from April 2022 to May 2022, a loss
of 0.3%. This sector was up 19,000 jobs or 10.7% compared to May 2021.
Employment in the arts, entertainment and recreation subsector did not change
from April to May. The accommodations and food services subsector lost 600 jobs
in May.
Employment in the financial
activities sector contracted by 1,100 positions in May 2022. Employment in the
finance and insurance subsector was down 1,400 jobs from April to May, while
real estate, rental and leasing subsector was up 300 jobs. The financial
activities sector was up 400 jobs compared to last May.
Employment in Kentucky’s
manufacturing sector lost 2,800 positions from April to May, a decline of 1.2%.
Durable goods manufacturers lost 3,200 jobs in May, while non-durable goods
manufacturers gained 400 jobs. Kentucky’s manufacturing employment was down
2,400 positions or 1% since May 2021.
“Kentucky’s manufacturing
employment continues to be volatile from month to month,” said Clark.
In the government sector,
employment was down by 3,500 jobs from April 2022 to May 2022. Most of the
decline occurred in state government, which was down 3,700 positions in May.
Federal government fell by 100 jobs and local government employment was up 300
jobs. The total government sector added 4,000 positions or 1.4% compared to May
2021.
The trade, transportation and
utilities sector lost 3,800 positions from April 2022 to May 2022. All of the
jobs losses occurred in retail trade, which was down 4,300 jobs in May.
Wholesale trade employment increased by 400 jobs. Transportation, warehousing
and utilities added 100 jobs. Since May 2021, employment in this sector has
increased by 10,500 jobs or 2.6%.
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.