Annual job growth in the state at 1.1 percent

With Missouri’s unemployment rate at its lowest level in four years, employment (unadjusted) in September increased in the state’s seven metropolitan areas, the state announced this week.

In St. Louis, employment increased by 11,200 jobs, Kansas City employment grew by 8,700 jobs; Springfield added 3,300 jobs, Columbia employment grew by 2,100 jobs, Joplin added 1,800 jobs while non-farm payrolls were up by 700 jobs in Jefferson City and 300 jobs in St. Joseph.

Columbia had the lowest unemployment rate among metropolitan areas at 3 percent while Kansas City topped the list at 5.1 percent. Unemployment was 3.5 percent in Jefferson City, 4.1 percent in Joplin, 4.7 percent in St. Joseph, 4.8 percent in St. Louis and 3.6 percent in Springfield.

In St. Louis, local government (including public schools) added 15,900 jobs, while private educational services increased by 1,400. These gains were partly offset by losses in natural resources and construction (1,100), retail trade (1,000) and leisure and hospitality (3,600).

There is some seasonal component of these decreases, but the retail trade and leisure and hospitality declines may reflect the effects of gasoline prices that spiked above $3 per gallon during the September reference week.

The principal job gains in Kansas City were due primarily to the 11,000-job increase in local government. Leisure and hospitality employment was down by 1,800 due in part because of high fuel prices. Employment in natural resources and construction was down by 800.

Springfield’s gains included 1,600 new jobs in local government, 1,300 in state government and 500 in private educational services while Columbia’s large increase was due primarily to the 1,700 jobs created in state government while Joplin’s gain included 1,400 jobs in local government.

Over the past year, employment increased most rapidly in the Springfield Metropolitan Statistical Area at a rate of 2.3 percent or 4,300 jobs. The most significant gains were in educational and health services (1,300) and state and local government (1,500 combined).

Kansas City employment grew by 1.2 percent over the year as trade, transportation and utilities added 4,100 jobs, while natural resources and construction grew by 2,700 positions. Financial activities added 1,200 jobs, health care and social assistance 1,000; professional, scientific and technical services 1,000; and accommodation and food services 1,500. In the government sector, local government increases of 3,000 more than offset decreases in federal and state government.

St. Louis MSA employment grew by 9,700 jobs or 0.7 percent over the past 12 months. Manufacturing added 1,200 jobs, as growth in various industries more than offset the 1,200-job decrease in the motor vehicles sector that followed from reduced demand for large vehicles. Employment in professional and business services grew by 5,300, including 2,300 in administrative support. Health care and social assistance added 3,300 jobs, while food services and drinking places added 2,100. Transportation, warehousing and utilities employment is down by 1,900 jobs over the year, while the recent decreases in retail trade contributed to an over-the-year drop of 1,600.

In the public sector, state government employment has shed 1,000 jobs over the past year while local government employment is down by 1,800.

The Columbia metropolitan area has added 1,000 jobs over the past year, representing 1.1 percent growth, primarily in the private service-providing sector. Jefferson City and Joplin employment were little changed over the past year. Jefferson City has added 400 jobs (0.5 percent), while Joplin’s employment is about the same as in September 2004. In St. Joseph, a local government employment decrease of 400 more than offset the 200-job increase in the private sector, resulting in an overall decrease of 200 jobs, or 0.4 percent.

Since the beginning of the year, more than 38,000 new jobs have been created in Missouri. Over the past year, Missouri employment has grown by 29,500 jobs or 1.1 percent.

Missouri’s unemployment rates edged up slightly in September and most areas of the state felt the effects. Among metropolitan areas, the changes ranged from a 0.3 percent increase in the Missouri portion of the Kansas City MSA to a 0.3 percent decrease in Jefferson City. The range was a bit larger in the micropolitan areas. The Farmington and West Plains micropolitan areas saw unemployment increase by 0.4 points while unemployment in Moberly dropped by 0.8 points. In counties not in metropolitan or micropolitan areas, the change ranged from 0.8 point increases in Linn and Oregon Counties to a 0.7 point drop in Maries County.

Micropolitan area unemployment ranged from 2.9 percent in Maryville to 6.5 percent in Kennett. Unemployment rates in counties varied from lows of 2.8 percent in Scotland and 2.9 percent in Knox to a high of 8.9 percent in Linn.

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