'One step forward and one step back' -- County jobless rate rises

Yakima County's employment situation is showing mixed signals these days.

The number of jobless in Yakima County jumped over the 10,000 mark last month, the first time that's occurred for the month of August since 2003.

However, the Valley had 1,400 more agricultural jobs in last month than it did during the same month in 2007, showing slightly more robust job growth than the state, according to preliminary figures from the state Employment Security Department.

"It's really one step forward and one step back for the local job market," said Don Meseck, regional economy for Employment Security.

Likewise, the state also showed mixed indicators. The unemployment rate increased upward to 6.0 percent, the highest for the state in four years. The rate was seasonally adjusted, which accounts for fluctuations such as holiday hiring.

But the state also gained 42,200 jobs, a 1.4 percent increase from August 2007.

Over the past few months, the national economy has spiraled downward as the financial industry crashed from its involvement in subprime lending and energy prices jumped to record levels.

The national unemployment rate jumped to 6.1 percent last month, compared with 4.7 percent in August 2007, according to the U.S. Bureau of Labor Statistics.

The latest indicators from the state and Yakima County show that the area is not immune to such economic trends but is faring much better than other parts of the country, said Marilyn Watkins, acting executive director of the Economic Opportunity Institute, a Seattle-based public policy research center.

"There are some sectors where people are already experiencing layoffs," she said. "But other sectors are ticking along pretty well."

For the Yakima Valley, the clear culprit for the increase in agricultural jobless.

The top two occupations showing the highest increase in the number of unemployment claims last month were in agriculture, according to figures calculated by Meseck. That is likely related to a smaller cherry crop caused by a cold snap earlier this year.

The 8.0 percent unemployment rate for Yakima County in August, was well above the 5.7 percent rate it reported for the same month in 2007.

Not seasonally adjusted, the statewide rate was 5.8 percent last month compared with 4.3 percent for the same period in 2007.

The county reports only rates that are not seasonally adjusted.

Meanwhile, Yakima County fared better in nonagricultural jobs. The county had 79,800 nonagricultural jobs last month, compared with 78,400 jobs the county had in August 2007. That equals a 1.8 percent job growth rate, compared with the 1.4 percent growth rate statewide.

Health services continued to lead in the number of new jobs, at 500. Other industries showing gains include leisure and hospitality with 300 jobs, local government with 200 jobs and state government and transportation warehousing and utilities with 100 jobs each.

However, the county saw declines in industries tied to agriculture.

Wholesale trade, which includes jobs with fruit packing houses, lost 400 jobs and nondurable goods, which include food processing jobs, lost 200 jobs. Other industries that reported losses include construction and federal government with 100 jobs each.

"I won't say it's robust growth, but it's respectable job growth," Meseck said.

* Mai Hoang can be reached at 577-7685 or mhoang@yakimaherald.com.

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