Unemployment Rate Drops to 2.7%
Governor Glenn Youngkin today announced that according to BLS Local Area Unemployment Statistics (“LAUS”, or “the household survey”), Virginia’s seasonally adjusted unemployment rate continued to decline, reaching 2.7 percent in April, 0.1 percentage points below the rate from last month, and 1.3 percentage points below the national rate, which increased by 0.1 percent to 4.0 percent over the month.
“We continue to see the results of our pro-jobs strategies with Virginians joining the workforce in record numbers, having the most Virginians employed in the history of the Commonwealth and Virginia’s unemployment rates declining for the third consecutive month,” said Governor Glenn Youngkin. “The underlying strength of Virginia’s economy is clear, but with persistent inflation continuing because of federal policies, we will continue to exercise caution and remain laser-focused on fostering an environment to expand job growth, opportunities and build a workforce for the future.”
BLS’ Current Employment Statistics Survey (“CES” or “establishment survey”) reported non-farm payroll employment gains of 8,800 jobs in the month of May, totaling 242,600 jobs added since January 2022. According to BLS’ household survey, the number of Virginians working decreased this month modestly by 974 to 4,454,159, resulting in 203,000 more employed Virginians since January 2022. The labor force decreased by 5,946 to 4,578,538, and the labor force participation rate decreased to 66.3 percent, as the number of unemployed residents decreased by 4,972 to 124,379. The labor force participation rate measures the proportion of the civilian population age 16 and older that is employed or actively looking for work.
“The Commonwealth’s unemployment rate continues to decline, which is positive – but we remain focused on increasing labor force participation leading to economic mobility for even more Virginians,” said Secretary of Labor Bryan Slater.
“Our overall economy remains strong, and we continue to see elevated interest from businesses looking to grow and invest their next dollar right here in Virginia.” said Secretary of Commerce Caren Merrick. “This is demonstrated by the continued employment increases we have seen in non-farm payroll over the last several months.”
The CES survey uses payroll records of establishment employers and is designed to provide a count of jobs under which the employer pays unemployment insurance. The LAUS survey is based on household interviews conducted each month for the BLS and provides comprehensive data on the labor force, including those who are employed and unemployed. The household survey only distinguishes between whether a person is employed or unemployed, whereas CES counts each employee that is on an employer’s payroll. CES excludes business owners, self-employed persons, unpaid volunteers and private household workers, and those on unpaid leave or not working because of a labor dispute.
For more details, visit the Virginia Works LMI website at https://virginiaworks.com/