Georgia’s unemployment rate fell to 5.3 percent in May, the lowest rate since early 2008, but it wasn’t a strong month for hiring, the state labor department said this morning.
The state’s economy added just a few jobs during the month, while the labor force was also growing slowly.
That contrasts somewhat with the national report for the month in which a large number of people dropped out of the labor force. That is not generally seen as a good reason for a falling unemployment rate if it means many people have become too discouraged to keep looking for work.
The national report sparked debate among experts about whether the economy is slowing.
But it’s only one month and the data can be erratic, so no one will know for sure until there’s a few months more of information. And the longer term trend has positive – especially in Georgia.
And in Georgia, the labor force grew.
Here are six things to know about what’s what is going on:
— The Georgia unemployment rate has come down from 5.9 percent in May of last year – mostly on the strength of job creation.
Georgia’s rate has been above the national average nearly every month since the economy slipped into recession in late 2007. The national rate is currently 4.7 percent.
— Over the past year, the state has added 124,600 jobs.
That is good, but a slight deceleration over the past several months.
— It was a weaker than average May for job growth.
From April to May, the number of jobs in the state rose just 200 to total 4,370,500. The average May during the previous three years has seen job growth of 8,700.
— The sectors that added employees during the month included education and health, financial activities and construction.
— Sectors with job losses included manufacturing, professional and business services — the corporate sector, that is — and government, as well as leisure and hospitality.
— Employers laid off more people.
There were 15 percent more new claims for unemployment insurance in May than in April. Some of that is a seasonal trend, but it was also up 8.5 percent from a year ago.
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