By William Hamilton
PBN Staff Writer
CRANSTON – Rhode Island’s unemployment rate last month reached heights not seen in more than 15 years, rising 0.7 percentage points from July’s level to 8.5 percent, in the eighth consecutive month of jobless-rate increases, the R.I. Department of Labor and Training said today in its August jobs report.
The rate is at the highest level since January 1993.
Meanwhile, the unemployment rate nationwide climbed 0.4 percent in August to 6.1 percent. The unemployment rate in neighboring Massachusetts was 5.3 percent last month.
Nonfarm payrolls statewide shrank to 479,600 – from July’s revised employment level of 480,800, the DLT said. The number of Rhode Islanders on the unemployment rolls last month increased by 4,300 to 48,800. On a year-over-year basis, that’s an increase of 19,600.
The state’s resident employment – the number of Rhode Islanders with jobs anywhere in the country – totaled 522,200 in August, dropping 6,800 from the previous month. Year over year, that number has declined by 23,600.
Rhode Island’s largest job losses last month were in manufacturing and financial activities, both of which lost 400 jobs each. DLT said the loss of manufacturing jobs can be attributed to declines in durable and nondurable goods, while job losses in financial services are attributed to job reductions in banking, finance and insurance companies.
The professional and business services sector lost 300 jobs, while wholesale trade and the accommodation and food services sector reported losses of 200 jobs each.
Offsetting those losses were gains of 200 jobs each in transportation and utilities and the health care and social assistance, while construction and education services picked up 100 jobs each.
Compared to August 2007, the number of jobs on Rhode Island payrolls dropped by 12,800 – or 2.6 percent – the DLT said. The largest year-over-year losses were in manufacturing (-3,100), professional and business services (-1,900), retail trade (-1,800), government (-1,800), financial activities (-1,500), “other services” (-1,000) and construction (-700).
Two sectors experienced year-over-year gains: information- and educational-services sectors each witnessed an increase of 400 jobs since August 2007.
Manufacturing-production workers in Rhode Island earned an average hourly wage of $13.91 last month, up 2 cents from July but a decline of 3 cents from a year ago. Their average workweek in August was 38.4 hours, up 0.5 hours from July but 1.1 hours shorter than a year ago.
To learn more about the services, programs and grant opportunities available through the R.I. Department of Labor and Training through its Employer Service Unit, or to meet with an employer service representative, call 1-888-616-JOBS or visit www.dlt.ri.gov.
