October 19, 2018
Conrad Buckler
Economist
Economic Information & Analytics Division
(804) 786-8264 or (804) 786-7496
Virginia’s Seasonally Adjusted Unemployment Rate Was Down 0.1 Percentage Point in September to 2.9 Percent
~ Seasonally adjusted nonfarm employment was up 5,600 jobs between August 2018 and September 2018 ~
RICHMOND—Virginia’s seasonally adjusted unemployment rate decreased by 0.1 percentage point in September to 2.9 percent, which is the third consecutive monthly decline. The September 2018 seasonally adjusted unemployment rate for Virginia was down 0.7 percentage point from a year ago and is the lowest rate since the June 2007 rate of 2.9 percent. In September, the labor force contracted by 3,574, or -0.1 percent, as the number of unemployed dropped by 3,482 and household employment fell by a slight 92. Virginia’s seasonally adjusted unemployment rate continues to be below the national rate, which was down by 0.2 percentage point to 3.7 percent.
Virginia’s seasonally adjusted nonfarm employment increased by 5,600 jobs in September to 4,025,200, which was the ninth consecutive monthly increase and a new record high. August’s initially reported gain of 4,800 jobs was revised upward by 8,900 jobs to an over-the-month gain of 13,700 jobs. Large upward revisions occurred in private education and health services, trade and transportation, professional and business services, information, and miscellaneous services. In September, private sector employment increased by 7,700 jobs to 3,324,000, while public sector payrolls decreased by 2,100 jobs to 701,200.
From August 2018 to September 2018, seasonally adjusted employment increased in seven major industry divisions and decreased in the other four. The largest job gain during September occurred in the leisure and hospitality sector, which increased by 4,700 jobs to 415,800. The second largest over-the-month gain occurred in private education and health services, with a gain of 3,000 jobs to 545,400. The job gains occurred in both health care and social assistance (+1,800 jobs) and private education (+1,200 jobs). Other employment gains were: 1,700 jobs in trade and transportation to 674,600; 900 jobs in manufacturing to 243,000; 800 jobs in miscellaneous services to 207,100; 700 jobs in finance to 212,300; and 100 jobs in mining to 8,400. The largest loss during September occurred in professional and business services. Employment in this sector decreased by 3,800 jobs to 748,100, after increasing the previous three months. In September, losses were experienced in all subsectors: professional, scientific, and technical services (-2,200 jobs); administrative and support services (-1,300 jobs); and management of companies (-300 jobs). The next largest over-the-month loss occurred in total government, which declined by 2,100 jobs to 701,200. For total government, losses occurred at all levels: local government (-1,500 jobs), federal government (-500 jobs), and state government (-100 jobs). Other employment losses were 300 jobs in construction to 201,900 and 100 jobs in information to 67,400.
Nonfarm Employment in Virginia*
Seasonally Adjusted
Industry | Employment | August 2018 to | September 2017 to | ||||
September | August | September | Change | % Change | Change | % Change | |
Total Nonfarm | 4,025,200 | 4,019,600 | 3,956,800 | +5,600 | +0.1% | +68,400 | +1.7% |
Total Private Sector | 3,324,000 | 3,316,300 | 3,238,500 | +7,700 | +0.2% | +85,500 | +2.6% |
Goods-Producing | 453,300 | 452,600 | 435,600 | +700 | +0.2% | +17,700 | +4.1% |
Mining | 8,400 | 8,300 | 8,000 | +100 | +1.2% | +400 | +5.0% |
Construction | 201,900 | 202,200 | 193,900 | -300 | -0.1% | +8,000 | +4.1% |
Manufacturing | 243,000 | 242,100 | 233,700 | +900 | +0.4% | +9,300 | +4.0% |
Service-Providing | 3,571,900 | 3,567,000 | 3,521,200 | +4,900 | +0.1% | +50,700 | +1.4% |
Private Service-Providing | 2,870,700 | 2,863,700 | 2,802,900 | +7,000 | +0.2% | +67,800 | +2.4% |
Trade, Transportation, and Utilities | 674,600 | 672,900 | 663,500 | +1,700 | +0.3% | +11,100 | +1.7% |
Information | 67,400 | 67,500 | 67,500 | -100 | -0.1% | -100 | -0.1% |
Finance | 212,300 | 211,600 | 206,600 | +700 | +0.3% | +5,700 | +2.8% |
Professional and Business Services | 748,100 | 751,900 | 731,900 | -3,800 | -0.5% | +16,200 | +2.2% |
Education and Health Services | 545,400 | 542,400 | 528,500 | +3,000 | +0.6% | +16,900 | +3.2% |
Leisure and Hospitality Services | 415,800 | 411,100 | 402,200 | +4,700 | +1.1% | +13,600 | +3.4% |
Miscellaneous Services | 207,100 | 206,300 | 202,700 | +800 | +0.4% | +4,400 | +2.2% |
Government | 701,200 | 703,300 | 718,300 | -2,100 | -0.3% | -17,100 | -2.4% |
Federal Government | 176,300 | 176,800 | 177,700 | -500 | -0.3% | -1,400 | -0.8% |
State Government | 160,000 | 160,100 | 159,300 | -100 | -0.1% | +700 | +0.4% |
Local Government | 364,900 | 366,400 | 381,300 | -1,500 | -0.4% | -16,400 | -4.3% |
*Current month's estimates are preliminary.
From September 2017 to September 2018, Virginia’s seasonally adjusted total nonfarm employment was up 68,400 jobs, or 1.7 percent. Over-the-year employment growth in Virginia has been positive for 54 consecutive months and has continued to strengthen over the last several months. For August and September, Virginia’s over-the-year growth was the same as the national rate where in previous months it had not been as strong as the national rate. In September, the private sector recorded an over-the-year gain of 85,500 jobs, while employment in the public sector declined by 17,100 jobs.
Compared to a year ago, on a seasonally adjusted basis, nine of the eleven major industry divisions experienced employment gains, while the other two experienced employment losses. The largest over-the-year job gain occurred in private education and health services, up 16,900 jobs (+3.2 percent). The next largest over-the-year job gain occurred in professional and business services, up 16,200 jobs (+2.2 percent). Leisure and hospitality experienced the third largest over-the-year job gain, up 13,600 jobs (+3.4 percent). Other gains were in trade and transportation, up 11,100 jobs (+1.7 percent); manufacturing, up 9,300 jobs (+4.0 percent); construction, up 8,000 jobs (+4.1 percent); finance, up 5,700 jobs (+2.8 percent); miscellaneous services, up 4,400 jobs (+2.2 percent); and mining, up 400 jobs (+5.0 percent). Compared to a-year-ago September, total government fell by 17,100 jobs (-2.4 percent), with the losses in local (-16,400 jobs) and federal (-1,400 jobs) government employment outweighing the gain in state government employment (+700 jobs). In addition, employment in information was down 100 jobs (-0.1 percent).
Total Nonfarm Employment in Virginia*
Seasonally Adjusted
Area | Employment | August 2018 to | September 2017 to | ||||
September | August | September | Change | % Change | Change | % Change | |
Virginia | 4,025,200 | 4,019,600 | 3,956,800 | +5,600 | +0.1% | +68,400 | +1.7% |
Blacksburg-Christiansburg- | 76,900 | 78,400 | 76,600 | -1,500 | -1.9% | +300 | +0.4% |
Charlottesville MSA | 122,500 | 122,400 | 117,200 | +100 | +0.1% | +5,300 | +4.5% |
Harrisonburg MSA | 68,000 | 67,800 | 67,400 | +200 | +0.3% | +600 | +0.9% |
Lynchburg MSA | 105,600 | 106,400 | 104,000 | -800 | -0.8% | +1,600 | +1.5% |
Northern Virginia MSA | 1,488,700 | 1,481,900 | 1,461,600 | +6,800 | +0.5% | +27,100 | +1.9% |
Richmond MSA | 684,300 | 684,800 | 675,400 | -500 | -0.1% | +8,900 | +1.3% |
Roanoke MSA | 162,400 | 161,900 | 160,100 | +500 | +0.3% | +2,300 | +1.4% |
Staunton-Waynesboro MSA | 51,000 | 50,800 | 49,800 | +200 | +0.4% | +1,200 | +2.4% |
Virginia Beach-Norfolk- | 785,400 | 786,300 | 780,700 | -900 | -0.1% | +4,700 | +0.6% |
Winchester, | 65,900 | 65,500 | 63,700 | +400 | +0.6% | +2,200 | +3.5% |
*Current month's estimates are preliminary.
Seasonally adjusted total nonfarm employment data is produced for ten metropolitan areas. In September, six metropolitan areas experienced over-the-month job gains while four experienced losses. The largest absolute job gain occurred in Northern Virginia, with a gain of 6,800 jobs. The other metropolitan areas that experienced gains were: Roanoke (+500 jobs); Winchester (+400 jobs); Harrisonburg and Staunton-Waynesboro (+200 jobs each); and Charlottesville (+100 jobs). The largest absolute job loss occurred in Blacksburg-Christiansburg-Radford, with a loss of 1,500 jobs. The other metropolitan areas that experienced losses were Virginia Beach-Norfolk-Newport News (-900 jobs); Lynchburg (-800 jobs); and Richmond (-500 jobs).
Over the year, seasonally adjusted total nonfarm employment increased in all metropolitan areas. The Northern Virginia metropolitan area experienced the largest absolute job gain, up 27,100 jobs (+1.9 percent). Richmond was ranked second, with a gain of 8,900 jobs (+1.3 percent), and Charlottesville was ranked third, with a gain of 5,300 jobs (+4.5 percent). The other over-the-year job gains occurred in: Virginia Beach-Norfolk-Newport News (+4,700 jobs); Roanoke (+2,300 jobs); Winchester (+2,200 jobs); Lynchburg (+1,600 jobs); Staunton-Waynesboro (+1,200 jobs); Harrisonburg (+600 jobs); and Blacksburg-Christiansburg-Radford (+300 jobs).
Not Seasonally Adjusted Data
Virginia’s unadjusted unemployment rate was down 0.3 percentage point in September to 2.8 percent and was down 0.8 percentage point from a year ago. Compared to a year ago, the number of unemployed decreased by 36,341, household employment increased by 32,337, and as a result, the labor force fell by 4,004. Virginia’s not seasonally adjusted unemployment rate continues to be below the national unadjusted rate, which was down 0.3 percentage point in September to 3.6 percent.
Compared to last month, the September unadjusted workweek for Virginia’s 172,100 manufacturing production workers decreased by 0.2 hour to 40.7 hours, average hourly earnings decreased by $0.03 to $19.37, and average weekly earnings decreased by $5.10 to $788.36. Compared to last September, the unadjusted workweek decreased by 0.4 hour, average hourly earnings increased by $0.02, and average weekly earnings were lower by $6.93.
The statistical reference week for the household survey this month was the week of September 9-15, 2018.
The Virginia Employment Commission plans to release the September local area unemployment rates on Tuesday, November 6, 2018. The data will be available on our website, www.VirginiaLMI.com.
The October statewide unemployment rate and employment data for both the state and metropolitan areas are scheduled to be released on Friday, November 16, 2018.Files detailing September's unemployment numbers are available below:
