South Carolina’s seasonally adjusted unemployment rate was 10.7 percent in June, a drop of 0.4 of a percentage point from the previous month and 1.2 percentage points below the June 2009 rate.
This marks the fifth straight month of decline in the unemployment rate. But Department of Employment and Workforce analyst Steve McLaughlin says in reality, that has been largely driven, not by more people getting jobs, but by the unemployed dropping out of the labor force–for the fourth straight month.
AUDIO: McLaughlin on job stats (1:16)
Over the month, there was a decrease in the labor force of 9,618 to 2,149,605. That includes the number of employed persons, which dropped 1,009 (or 0.1 percent), and the number of unemployed, which decreased 8,609 (or 3.6 percent).
Nationally, June’s unemployment rate decreased 0.2 of a percentage point to 9.5 percent. The national civilian labor force also declined.
McLaughlin says census takers help to gather information from the public which gives labor officials a more accurate picture of the labor force.
Executive Director of the Department of Employment and Workforce John Finan says the state has a long way to go in increasing consumer confidence, which would lead to increased demand and more job growth. McLaughlin adds that there is no way of really knowing when that is going to change.
The private sector experienced a modest gain of 7,300 jobs in June. The leisure and hospitality industry added 6,200 jobs reflecting increases in tourist activity.
McLaughlin says retail jumped 1,800 jobs, construction grew by 900 jobs and manufacturing edged up by 500.
The overall job count was 14,100 above the year-ago level, but still almost 100,000 below pre-recession levels.
