October 22, 2021
Benjamin Alpern
Economist
Economic Information & Analytics Division
(804) 486-2408 or (804) 786-8264
The Virginia unemployment rate fell to 3.8 percent in September while total nonfarm payroll employment increased by 2,700
~ Changes in these measures since April 2020 primarily reflect the effects of the coronavirus (COVID-19) pandemic and efforts to contain it ~
RICHMOND— Virginia’s seasonally adjusted unemployment rate fell 0.2 percentage points in September to 3.8 percent, which is 2.8 percentage points below the rate from a year ago. According to household survey data in September, the labor force decreased by 3,859 to 4,244,196, as the number of unemployed residents decreased by 8,606 to 159,786. The number of employed residents rose by 4,747 to 4,084,410. Virginia’s seasonally adjusted unemployment rate continues to be below the national rate, which fell 0.4 percentage points from 5.2 to 4.8 percent.
Virginia nonagricultural wage and salary employment, from the monthly establishment survey, rose by 2,700 jobs in September to 3,929,000. August’s preliminary estimate was revised upward by 13,100, adding to that month’s job gain. In September, private sector employment increased by 7,500 jobs to 3,216,000, while public sector payrolls decreased by 4,800 jobs to 713,000. The loss of jobs within that sector occurred mainly in local government (-7,500 jobs), with employment increasing for both state government (+2,100 jobs) and federal government (+600 jobs).
Employment fell in six of eleven major industry sectors, increased in four, and was unchanged in one. The largest job gain during September occurred in in professional and business services with an increase of 9,900 jobs to 781,000. The second largest increase occurred in education and health services (+2,900 jobs) to 534,600. Manufacturing gained 2,000 jobs, rising to 239,000 and information gained 300 jobs to 65,700. The largest job loss during September occurred in government with a decrease of 4,800 jobs to 713,000. The second largest decrease occurred in miscellaneous services (-3,700 jobs) to 181,500. Other decreases included leisure and hospitality services (-2,000 jobs) to 344,900; trade, transportation, and utilities (-1,100 jobs) to 653,500; finance (-600 jobs) to 203,200 and construction (-200 jobs) to 204,900. Mining was the only sector to see no change in employment compared to the previous month.
Nonfarm Employment in Virginia*
Seasonally Adjusted
Industry | Employment | August 2021 to | September 2020 to | ||||
September | August | September | Change | % Change | Change | % Change | |
Total Nonfarm | 3,929,000 | 3,926,300 | 3,856,000 | 2,700 | 0.1% | 73,000 | 1.9% |
Total Private Sector | 3,216,000 | 3,208,500 | 3,146,700 | 7,500 | 0.2% | 69,300 | 2.2% |
Goods-Producing | 451,600 | 449,800 | 441,000 | 1,800 | 0.4% | 10,600 | 2.4% |
Mining | 7,700 | 7,700 | 6,800 | 0 | 0.0% | 900 | 13.2% |
Construction | 204,900 | 205,100 | 201,200 | -200 | -0.1% | 3,700 | 1.8% |
Manufacturing | 239,000 | 237,000 | 233,000 | 2,000 | 0.8% | 6,000 | 2.6% |
Service-Providing | 3,477,400 | 3,476,500 | 3,415,000 | 900 | 0.0% | 62,400 | 1.8% |
Private Service-Providing | 2,764,400 | 2,758,700 | 2,705,700 | 5,700 | 0.2% | 58,700 | 2.2% |
Trade, Transportation, and Utilities | 653,500 | 654,600 | 643,000 | -1,100 | -0.2% | 10,500 | 1.6% |
Information | 65,700 | 65,400 | 65,900 | 300 | 0.5% | -200 | -0.3% |
Finance | 203,200 | 203,800 | 208,900 | -600 | -0.3% | -5,700 | -2.7% |
Professional and Business Services | 781,000 | 771,100 | 757,200 | 9,900 | 1.3% | 23,800 | 3.1% |
Education and Health Services | 534,600 | 531,700 | 524,700 | 2,900 | 0.5% | 9,900 | 1.9% |
Leisure and Hospitality Services | 344,900 | 346,900 | 325,600 | -2,000 | -0.6% | 19,300 | 5.9% |
Miscellaneous Services | 181,500 | 185,200 | 180,400 | -3,700 | -2.0% | 1,100 | 0.6% |
Government | 713,000 | 717,800 | 709,300 | -4,800 | -0.7% | 3,700 | 0.5% |
Federal Government | 186,700 | 186,100 | 192,000 | 600 | 0.3% | -5,300 | -2.8% |
State Government | 152,300 | 150,200 | 153,800 | 2,100 | 1.4% | -1,500 | -1.0% |
Local Government | 374,000 | 381,500 | 363,500 | -7,500 | -2.0% | 10,500 | 2.9% |
*Current month's estimates are preliminary.
From September 2020 to September 2021, the VEC estimates that establishments in Virginia gained 73,000 jobs, an increase of 1.9%. In September, the private sector recorded an over-the-year gain of 69,300 jobs, while employment in the public sector gained 3,700 jobs.
Compared to a year ago, on a seasonally adjusted basis, nine of eleven major industry divisions experienced employment increases. The largest over-the-year job gain occurred in professional and business services, up 23,800 jobs (+3.1%). The next largest over-the-year job gain occurred in leisure and hospitality, up 19,300 jobs (+5.9%). Trade and transportation experienced the third largest over-the-year job gain of 10,500 jobs (+1.6%). Education and health services employment rose by 9,900 jobs (+1.9%), manufacturing added 6,000 jobs (+2.6%), and construction added 3,700 jobs (+1.8%). Employment in government also increased, up 3,700 jobs (+0.5%). Within government, only local government saw an over-the-year increase in jobs, up 10,500 jobs. Both federal and state government employment decreased over-the-year, losing 5,300 and 1,500 jobs respectively. Other increases occurred in miscellaneous services, up 1,100 jobs (+0.6%) and mining, up 900 jobs (13.2%). Finance saw the largest job loss over-the-year, declining by 5,700 jobs (-2.7%). Information was the other industry which saw employment decline, losing 200 jobs (-0.3%).
Total Nonfarm Employment in Virginia*
Area | Employment | August 2021 to | September 2020 to | ||||
September | August | September | Change | % Change | Change | % Change | |
Virginia | 3,929,000 | 3,926,300 | 3,856,000 | 2,700 | 0.1% | 73,000 | 1.9% |
Blacksburg-Christiansburg- | 77,400 | 76,700 | 73,900 | 700 | 0.9% | 3,500 | 4.7% |
Charlottesville MSA | 112,400 | 113,700 | 111,300 | -1,300 | -1.1% | 1,100 | 1.0% |
Harrisonburg MSA | 68,500 | 68,400 | 65,600 | 100 | 0.1% | 2,900 | 4.4% |
Lynchburg MSA | 100,300 | 101,200 | 100,100 | -900 | -0.9% | 200 | 0.2% |
Northern Virginia MSA | 1,490,200 | 1,488,500 | 1,444,800 | 1,700 | 0.1% | 45,400 | 3.1% |
Richmond MSA | 648,600 | 648,900 | 650,800 | -300 | 0.0% | -2,200 | -0.3% |
Roanoke MSA | 157,600 | 158,300 | 155,500 | -700 | -0.4% | 2,100 | 1.4% |
Staunton-Waynesboro MSA | 51,600 | 51,300 | 49,900 | 300 | 0.6% | 1,700 | 3.4% |
Virginia Beach- | 762,000 | 758,700 | 755,600 | 3,300 | 0.4% | 6,400 | 0.8% |
Winchester, | 67,200 | 67,700 | 65,400 | -500 | -0.7% | 1,800 | 2.8% |
*Current month's estimates are preliminary.
Seasonally adjusted total nonfarm employment data is produced for ten metropolitan areas. In September, five metropolitan areas experienced over-the-month job gains and five experienced job losses. The largest absolute job increase occurred in Virginia Beach-Norfolk-Newport News (+3,300 jobs). The next largest absolute job gain occurred in Northern Virginia (+1,700 jobs). The third largest increase occurred in Blacksburg-Christiansburg Radford (+700 jobs). Staunton-Waynesboro added 300 jobs and Harrisonburg added 100 jobs. Charlottesville experienced the largest over-the-month job decrease, losing 1,300 jobs. Lynchburg and Roanoke followed with 900 and 700 jobs lost respectively. The other areas that experienced job losses were Winchester (-500 jobs) and Richmond (-300 jobs).
Over-the-year, seasonally adjusted total nonfarm employment increased in nine of the ten metropolitan areas. The Northern Virginia metropolitan area experienced the largest absolute job gain, up 45,400 jobs (+3.1%). Virginia Beach-Norfolk-Newport News ranked second with a gain of 6,400 jobs (+0.8%). Other over-the-year job gains occurred in Blacksburg-Christiansburg-Radford (+3,500 jobs), Harrisonburg (+2,900 jobs), Roanoke (+2,100 jobs), Winchester (+1,800 jobs), Staunton-Waynesboro (+1,700 jobs), Charlottesville (+1,100 jobs), and Lynchburg (+200 jobs). The Richmond metropolitan area was the only area that experienced an over the year job loss, with employment falling by 2,200 jobs.
Not Seasonally Adjusted Data
Virginia’s unadjusted unemployment rate fell by 0.6 percentage points in September to 3.2 percent, and was down 3.2 percentage points from a year ago. Compared to a year ago, the number of unemployed decreased by 141,960, household employment increased by 60,874, and the labor force decreased by 81,086. Virginia’s not seasonally adjusted unemployment rate continues to be below the national unadjusted rate, which declined by 0.7 percentage points in September to 4.6 percent.
Compared to last month, the September unadjusted workweek for Virginia’s 154,400 manufacturing production workers decreased by 1.0 hours to 41.1 hours. Average hourly earnings of private-sector production workers decreased by $.47 to $20.54 in September and average weekly earnings decreased $40.33 to $844.19.
Technical note: Estimates of unemployment and industry employment levels are obtained from two separate monthly surveys. Resident employment and unemployment data are mainly derived from the Virginia portion of the national Current Population Survey (CPS), a household survey conducted each month by the U.S. Census Bureau under contract with BLS, which provides input to the Local Area Unemployment Statistics (LAUS) program (often referred to as the “household” survey). Industry employment data is mainly derived from the Current Employment Statistics (CES) survey, a monthly survey of approximately 18,000 Virginia businesses conducted by BLS, which provides estimates of employment, hours, and earnings data broken down by industry for the nation as a whole, all states and most major metropolitan areas (often referred to as the “establishment” survey). Both industry and household estimates are revised each month based on additional information from updated survey reports compiled by the BLS. For national figures and information on how COVID-19 affected collection of the BLS establishment and household surveys in April, refer to the BLS September 2021 Employment Situation press release for details.
The statistical reference week for the household survey this month was the week of September 12-18, 2021.
The Virginia Employment Commission plans to release the September local area unemployment rates on Wednesday, November 3, 2021. The data will be available on our website www.VirginiaWorks.com. The October statewide unemployment rate and employment data for both the state and metropolitan areas are scheduled to be released on Friday, November 19, 2021.
Files detailing September's unemployment numbers are available below:
