D.C. unemployment rate reaches 12%
More unemployment figures are out today, and they show an increase in the District, Maryland and Virginia in January, despite a decrease in the U.S. jobless rate that month.
Unemployment in the District increased to 12 percent in January from 11.9 percent the previous month. Maryland’s rate climbed to 7.5 percent from 7.4 percent. And in Virginia it rose to 6.9 percent from 6.8 percent. At the same time, the U.S. rate dropped to 9.7 percent from 10 percent.
The rising jobless rate in D.C., Maryland and Virginia is actually good news, according to some economists, and the declining U.S. rate is bad news.
What? Economists explain it this way: The rising unemployment rate is a sign that long-term jobless people who stopped looking for work have re-entered the labor force and have resumed their search. They are looking for jobs because, possibly, they’ve seen evidence that the area’s economy is improving and that employers are beginning to look for workers. The declining national rate indicates that so-called discouraged workers have remained out of the labor force because they aren’t seeing any reason to look for work.
“Maryland, Virginia and the District are where the labor market is advanced in terms of recovery. Many people are beginning their job search, and as they begin, that rate gets higher,” said Anirban Basu, chairman and chief executive of Sage Policy Group, a Baltimore economic and policy consulting firm.
The Bureau of Labor Statistics bases the rates on a household survey of unemployed people. They are counted in the labor force only if they are actively looking for work.
“Nationally, many people will begin their job search and as they begin the job search that rate is set to rise,” he added.
-- V. Dion Haynes
March 10, 2010; 11:59 AM ET
Categories: Data | Tags: local unemployment, regional unemployment, unemployment
Save & Share: Previous: In New York, another runaway Prius
Next: Mildly positive numbers on new unemployment claims, foreclosures; stocks open down
Posted by: countrycarl | March 10, 2010 1:28 PM | Report abuse
Posted by: tossnokia | March 10, 2010 2:27 PM | Report abuse
Posted by: Jim110 | March 10, 2010 3:29 PM | Report abuse
Posted by: zjazz | March 10, 2010 4:25 PM | Report abuse
Posted by: jcrawford1 | March 10, 2010 5:32 PM | Report abuse
Posted by: Jumpy66 | March 11, 2010 10:35 AM | Report abuse
The comments to this entry are closed.