The R.I. Department of Labor and Training announced Friday that Rhode Island’s seasonally adjusted unemployment rate for January was 4.7 percent, the lowest since November 2001. The January jobless rate is down 0.4 of a percentage point from December’s revised rate of 5.1 percent.
The number of employed Rhode Island residents grew by 2,300 over the month to an all-time high, while the number of unemployed fell by 2,200 to 27,200.
A year ago January, the jobless level was 28,300 and the unemployment rate stood at 5.0 percent. Nationally, the unemployment rate for January declined 0.2 of a percentage point to 4.7 percent. Compared to a year ago, the national jobless rate is down half a percentage point. Rhode Island’s unemployment rate for January was tied with the national average.
“Our unemployment rate dropped to its lowest level in more than four years, and the number of Rhode Island residents working reached a record high in January,” said R.I. Department of Labor Director Adelita S.Orefice. “While we did see a drop in the number of jobs at Rhode Island businesses in January, we believe this is a ‘bump in the road.’ We expect that the job situation will improve over the next few months.”
The Rhode Island job count (seasonally adjusted) was down 2,300 (0.5 percent) in January, the second consecutive month to show a decrease in employment, bringing the January job total to 490,700.
Over-the-month employment losses were reflected in educational and health services (-700); leisure and hospitality (-600); trade, transportation and utilities (-300); other services (-300); manufacturing (-200); and financial activities (-100).
A monthly gain of 100 jobs was noted in professional and business services. Construction and government remained unchanged over the month.
Educational and health services lost 700 workers, reflecting a drop in both sectors. The decline in education is primarily attributed to additional student workers breaking for the winter recess. A larger-than-usual drop in the state’s health and social assistance facilities contributed to the decline in health services. The drop in leisure and hospitality is due to cutbacks in hotels and restaurant employment.
Employment in Rhode Island was up 1,200 (+0.2%) from the 489,500 jobs reported in January 2005. The largest employment growth noted during this period occurred in the educational and health services (+1,800); professional and business services (+1,800); construction (+1,200); and financial activities (+1,100) sectors, offsetting over-the-year losses in manufacturing (-2,300); trade, transportation and utilities (-900); other services (-800); leisure and hospitality (-600); and government (-200).
In January, the $13.31 average hourly wage earned by the manufacturing sector’s production workers represented a monthly gain of 1 cent per hour and an over-the-year gain of 26 cents per hour. Manufacturing employees worked an average of 38.1 hours per week in January, up 0.2 of an hour over the month and also 0.2 of an hour since January 2005.
