Technical information: (202)691-6559 USDL 06-362 http://www.bls.gov/lau/ For release: 10:00 A.M. EST Media contact: 691-5902 Wednesday, March 1, 2006 STATE AND REGIONAL UNEMPLOYMENT, 2005 ANNUAL AVERAGES Annual average unemployment rates declined from 2004 to 2005 in nearly four-fifths of the states and all four regions, while employment-popula- tion ratios rose in over two-thirds of the states and in all four regions, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. The U.S. jobless rate dropped by 0.4 percentage point to 5.1 per- cent in 2005, while the national employment-population ratio increased by 0.4 point to 62.7 percent. Regional Unemployment Among the four regions, the Northeast and South reported the lowest jobless rates in 2005, 4.8 and 5.0 percent, respectively. The unemploy- ment rate in the West was 5.2 percent in 2005, while the rate in the Midwest, 5.4 percent, was the highest among the regions for the first time in 20 years. The range between the highest and lowest regional un- employment rates (0.6 percentage point) did not change over the year; the only year the range was smaller was 1990. The West registered the largest unemployment rate decrease from 2004 to 2005 (-0.7 percentage point), followed by the Northeast (-0.5 point). Eight of the nine geographic divisions posted over-the-year unemployment rate declines. The largest decreases were reported in the Pacific (-0.9 percentage point), Middle Atlantic (-0.6 point), and Mountain (-0.5 point) divisions. The East South Central was the only division with the same rate as in 2004. The divisions with the lowest jobless rates in 2005 were the South Atlantic, 4.5 percent, Mountain and West North Central, 4.6 percent each, and New England, 4.7 percent. The divisions recording the highest unemployment rates were the East North Central and East South Central, at 5.8 and 5.6 percent, respectively. State Unemployment Annual average unemployment rates decreased from 2004 to 2005 in 39 states and the District of Columbia, rose in 9 states, and were unchanged in 2 states. The largest rate declines occurred in Alabama and Oregon (-1.2 percentage points each) and Florida and Idaho (-0.9 point each). Fifteen additional states reported over-the-year rate decreases of at least one-half percentage point. The District of Columbia's jobless rate decreased by 1.0 percentage point. The largest unemployment rate increases for 2005 were recorded by the two states most affected by Hurricane Katrina: Missis- sippi (+1.6 percentage points) and Louisiana (+1.4 points). The next largest rate increases were registered in Kentucky (+0.6 percentage point) and Georgia (+0.5 point). (See table 1.) - 2 - Hawaii again had the lowest unemployment rate among the states, 2.8 per- cent. North Dakota posted the next lowest rate, 3.4 percent, followed closely by Vermont and Virginia, 3.5 percent each, and New Hampshire and Wyoming, 3.6 percent each. Four additional states (Florida, Idaho, Nebraska, and South Dakota) reported annual average unemployment rates below 4.0 percent. Mississippi and Louisiana recorded the highest jobless rates in 2005, 7.9 and 7.1 percent, respectively. Three other states had rates above 6.5 percent-- Alaska and South Carolina, 6.8 percent each, and Michigan, 6.7 percent. The District of Columbia's rate was 6.5 percent. Overall, 31 states reported unemployment rates below the national average of 5.1 percent, 18 states and the District of Columbia registered rates above it, and 1 state had the same rate. All nine states in the Middle Atlantic and New England divisions, seven of the eight states in the Mountain, and six of the seven states in the West North Central posted rates equal to or below that of the U.S. In contrast, four of the five East North Central states, four of the five Pacific states, and three of the four East South Central states recorded rates above that of the nation. Regional Employment-Population Ratios In 2005, all four regions registered over-the-year increases in their employment-population ratios--the proportion of the civilian noninstitu- tional population 16 years of age and over that was employed. The Northeast and West posted the largest increases (+0.5 percentage point each). Relative to the 62.7-percent employment-population ratio for the U.S., the Midwest (64.5 percent) and West (63.1 percent) reported higher ratios, while the South (61.7 percent) and Northeast (61.9 percent) had lower ratios. Of the nine geographic divisions, the Middle Atlantic and Pacific recorded the largest increases in their employment-population ratios (+0.7 percentage point each). The East South Central division registered the largest decline from 2004 (-0.4 percentage point). The West North Central again reported the highest proportion of employed persons (67.8 percent), while the East South Central continued to have the lowest proportion (58.5 percent). State Employment-Population Ratios In 2005, 35 states and the District of Columbia posted increases in their proportions of employed persons from 2004, 12 states reported declines, and 3 states had no change. The largest state employment- population ratio increases occurred in Arkansas (+1.9 percentage points), Rhode Island (+1.2 points), Idaho (+1.1 points), and Hawaii (+1.0 point). Twelve additional states recorded increases of at least one-half percentage point. The District of Columbia had an increase of 1.5 percentage points. Mississippi registered the largest decrease in its employment-population ratio in 2005 (-1.1 percentage points). Three other states had declines of at least 0.5 percentage point in 2005--Tennessee (-0.8 percentage point), Nebraska (-0.6 point), and Wisconsin (-0.5 point). (See table 2.) Minnesota continued to record the highest proportion of employed persons in 2005, 71.0 percent, followed by two other West North Central states-- Nebraska and South Dakota, at 70.6 and 70.1 percent, respectively. West Virginia again had the lowest employment-population ratio among all states, 52.3 percent. Mississippi had the next lowest ratio, 56.6 percent. Seven of the eight states with employment-population ratios below 60.0 percent were located in the South. Thirty-one states and the District of Columbia recorded employment-population ratios higher than the U.S. figure of 62.7 percent, while 18 states registered lower ratios. One state had a ratio equal to that of the U.S. All states in New England and the West North Central again reported employment-population ratios above the U.S. average, while all states in the East South Central division again had ratios below it. - 3 - Note All subnational estimates presented in this release were derived from updated time-series models with monthly benchmarking to national Current Population Survey (CPS) estimates. Subnational data reflect revised population controls and model reestimation. Historical data were revised back to 2000. Data for regions, divisions, states, and the District of Columbia are available back to 1976. Error measures on annual average model-based estimates are not available. Data for Puerto Rico are derived from a monthly household survey similar to the Current Population Survey. Information in this release will be made available to sensory impaired individuals upon request. Voice phone: 202-691-5200; TDD message referral phone number: 1-800-877-8339. Table 1. Employment status of the civilian noninstitutional population 16 years of age and over by region, division, and state, 2004-05 annual averages (Numbers in thousands) Population Civilian labor Employed Unemployed Unemployment force rate Region, division, and state 2004 2005 2004 2005 2004 2005 2004 2005 2004 2005 United States ............ 223,357 226,082 147,401 149,320 139,252 141,730 8,149 7,591 5.5 5.1 Northeast...................... 42,447 42,584 27,508 27,689 26,042 26,358 1,466 1,331 5.3 4.8 New England................. 11,135 11,180 7,517 7,551 7,149 7,198 368 353 4.9 4.7 Connecticut.............. 2,697 2,714 1,803 1,817 1,714 1,728 89 89 4.9 4.9 Maine.................... 1,052 1,063 700 712 667 677 32 34 4.6 4.8 Massachusetts............ 5,025 5,027 3,375 3,364 3,199 3,203 176 162 5.2 4.8 New Hampshire............ 1,017 1,030 724 732 696 706 28 26 3.9 3.6 Rhode Island............. 845 843 562 569 533 541 29 29 5.2 5.0 Vermont.................. 499 503 353 356 340 344 13 12 3.7 3.5 Middle Atlantic............. 31,312 31,405 19,991 20,139 18,893 19,160 1,098 979 5.5 4.9 New Jersey............... 6,655 6,687 4,380 4,430 4,164 4,236 215 194 4.9 4.4 New York................. 14,964 14,971 9,362 9,416 8,820 8,944 542 472 5.8 5.0 Pennsylvania............. 9,693 9,747 6,249 6,292 5,909 5,980 341 312 5.4 5.0 Midwest........................ 50,340 50,726 34,397 34,602 32,426 32,725 1,971 1,878 5.7 5.4 East North Central.......... 35,186 35,406 23,567 23,718 22,129 22,338 1,438 1,380 6.1 5.8 Illinois................. 9,639 9,700 6,405 6,469 6,008 6,101 398 369 6.2 5.7 Indiana.................. 4,715 4,760 3,172 3,209 3,004 3,035 168 174 5.3 5.4 Michigan................. 7,738 7,771 5,073 5,097 4,717 4,754 356 344 7.0 6.7 Ohio..................... 8,820 8,859 5,875 5,900 5,512 5,550 363 350 6.2 5.9 Wisconsin................ 4,273 4,317 3,041 3,041 2,888 2,897 153 144 5.0 4.7 West North Central.......... 15,155 15,321 10,830 10,885 10,296 10,387 534 498 4.9 4.6 Iowa..................... 2,307 2,329 1,636 1,660 1,559 1,584 77 76 4.7 4.6 Kansas................... 2,068 2,089 1,469 1,476 1,387 1,401 82 75 5.6 5.1 Minnesota................ 3,939 3,985 2,942 2,947 2,807 2,829 134 119 4.6 4.0 Missouri................. 4,428 4,479 3,014 3,024 2,841 2,862 174 162 5.8 5.4 Nebraska................. 1,331 1,344 986 986 947 949 38 37 3.9 3.8 North Dakota............. 497 501 355 359 343 347 12 12 3.5 3.4 South Dakota............. 585 593 428 432 412 415 16 17 3.8 3.9 South.......................... 80,049 81,442 51,895 52,867 49,168 50,234 2,727 2,633 5.3 5.0 South Atlantic.............. 42,141 42,966 27,398 28,058 26,075 26,788 1,324 1,270 4.8 4.5 Delaware................. 641 655 429 438 412 420 17 18 4.0 4.2 District of Columbia..... 442 437 296 296 274 277 22 19 7.5 6.5 Florida.................. 13,512 13,868 8,407 8,654 8,016 8,329 391 325 4.7 3.8 Georgia.................. 6,624 6,769 4,443 4,588 4,231 4,346 212 242 4.8 5.3 Maryland................. 4,222 4,261 2,888 2,935 2,764 2,814 124 121 4.3 4.1 North Carolina........... 6,441 6,567 4,251 4,333 4,017 4,106 234 227 5.5 5.2 South Carolina........... 3,192 3,251 2,039 2,081 1,900 1,939 139 142 6.8 6.8 Virginia................. 5,616 5,704 3,855 3,934 3,713 3,798 142 136 3.7 3.5 West Virginia............ 1,450 1,456 791 800 749 761 42 40 5.3 5.0 East South Central.......... 13,395 13,559 8,353 8,407 7,889 7,932 464 475 5.6 5.6 Alabama.................. 3,481 3,521 2,145 2,155 2,034 2,069 111 86 5.2 4.0 Kentucky................. 3,189 3,222 1,976 2,000 1,867 1,878 110 121 5.5 6.1 Mississippi.............. 2,165 2,185 1,334 1,343 1,250 1,237 85 106 6.3 7.9 Tennessee................ 4,560 4,631 2,897 2,910 2,739 2,748 158 162 5.5 5.6 West South Central.......... 24,513 24,916 16,144 16,401 15,205 15,514 939 887 5.8 5.4 Arkansas................. 2,100 2,132 1,309 1,362 1,236 1,295 73 67 5.6 4.9 Louisiana................ 3,375 3,344 2,062 2,071 1,944 1,923 118 148 5.7 7.1 Oklahoma................. 2,671 2,704 1,715 1,742 1,630 1,665 84 76 4.9 4.4 Texas.................... 16,367 16,736 11,058 11,226 10,394 10,630 664 596 6.0 5.3 West........................... 50,522 51,313 33,605 34,150 31,622 32,391 1,983 1,759 5.9 5.2 Mountain.................... 14,821 15,236 10,077 10,328 9,568 9,855 510 473 5.1 4.6 Arizona.................. 4,268 4,433 2,763 2,844 2,626 2,710 137 134 5.0 4.7 Colorado................. 3,472 3,526 2,510 2,548 2,371 2,419 140 129 5.6 5.0 Idaho.................... 1,041 1,073 711 739 678 711 33 28 4.7 3.8 Montana.................. 729 741 484 493 463 474 21 20 4.3 4.0 Nevada................... 1,757 1,826 1,179 1,216 1,125 1,167 54 49 4.6 4.1 New Mexico............... 1,433 1,463 915 936 862 887 52 49 5.7 5.3 Utah..................... 1,728 1,774 1,236 1,268 1,173 1,214 62 54 5.0 4.3 Wyoming.................. 394 400 279 285 269 274 11 10 3.9 3.6 Pacific..................... 35,700 36,077 23,528 23,822 22,054 22,536 1,474 1,286 6.3 5.4 Alaska................... 466 473 336 339 311 316 25 23 7.4 6.8 California............... 26,715 26,935 17,500 17,696 16,408 16,747 1,092 949 6.2 5.4 Hawaii................... 945 958 619 635 599 617 20 18 3.3 2.8 Oregon................... 2,799 2,848 1,850 1,860 1,714 1,746 135 114 7.3 6.1 Washington............... 4,776 4,862 3,224 3,292 3,022 3,110 202 182 6.3 5.5 Puerto Rico ................... 2,938 2,957 1,371 1,410 1,226 1,250 145 160 10.6 11.3 NOTE: Data refer to place of residence. Data for Puerto Rico are derived from a monthly household survey similar to the Current Population Survey. Data for subnational areas reflect revised population controls and model reestimation. As a result, they will not add to U.S. totals. Unemployment rates are based on unrounded levels. Table 2. Employment-population ratios of persons 16 years of age and over by region, division, and state, 2004-05 annual averages (Percent) Employment-population ratio (1) Over-the- Region, division, and state year change 2004 2005 United States ............ 62.3 62.7 0.4 Northeast...................... 61.4 61.9 .5 New England................. 64.2 64.4 .2 Connecticut.............. 63.6 63.7 .1 Maine.................... 63.4 63.7 .3 Massachusetts............ 63.7 63.7 .0 New Hampshire............ 68.4 68.5 .1 Rhode Island............. 63.0 64.2 1.2 Vermont.................. 68.2 68.3 .1 Middle Atlantic............. 60.3 61.0 .7 New Jersey............... 62.6 63.3 .7 New York................. 58.9 59.7 .8 Pennsylvania............. 61.0 61.4 .4 Midwest........................ 64.4 64.5 .1 East North Central.......... 62.9 63.1 .2 Illinois................. 62.3 62.9 .6 Indiana.................. 63.7 63.8 .1 Michigan................. 61.0 61.2 .2 Ohio..................... 62.5 62.7 .2 Wisconsin................ 67.6 67.1 -.5 West North Central.......... 67.9 67.8 -.1 Iowa..................... 67.6 68.0 .4 Kansas................... 67.1 67.1 .0 Minnesota................ 71.3 71.0 -.3 Missouri................. 64.2 63.9 -.3 Nebraska................. 71.2 70.6 -.6 North Dakota............. 68.9 69.1 .2 South Dakota............. 70.4 70.1 -.3 South.......................... 61.4 61.7 .3 South Atlantic.............. 61.9 62.3 .4 Delaware................. 64.2 64.1 -.1 District of Columbia..... 61.9 63.4 1.5 Florida.................. 59.3 60.1 .8 Georgia.................. 63.9 64.2 .3 Maryland................. 65.5 66.0 .5 North Carolina........... 62.4 62.5 .1 South Carolina........... 59.5 59.6 .1 Virginia................. 66.1 66.6 .5 West Virginia............ 51.7 52.3 .6 East South Central.......... 58.9 58.5 -.4 Alabama.................. 58.4 58.8 .4 Kentucky................. 58.5 58.3 -.2 Mississippi.............. 57.7 56.6 -1.1 Tennessee................ 60.1 59.3 -.8 West South Central.......... 62.0 62.3 .3 Arkansas................. 58.9 60.8 1.9 Louisiana................ 57.6 57.5 -.1 Oklahoma................. 61.0 61.6 .6 Texas.................... 63.5 63.5 .0 West........................... 62.6 63.1 .5 Mountain.................... 64.6 64.7 .1 Arizona.................. 61.5 61.1 -.4 Colorado................. 68.3 68.6 .3 Idaho.................... 65.1 66.2 1.1 Montana.................. 63.5 63.9 .4 Nevada................... 64.0 63.9 -.1 New Mexico............... 60.2 60.6 .4 Utah..................... 67.9 68.4 .5 Wyoming.................. 68.1 68.6 .5 Pacific..................... 61.8 62.5 .7 Alaska................... 66.7 66.8 .1 California............... 61.4 62.2 .8 Hawaii................... 63.4 64.4 1.0 Oregon................... 61.2 61.3 .1 Washington............... 63.3 64.0 .7 Puerto Rico ................... 41.7 42.3 .6 1 Employment as a percent of the civilian noninstitutional popu- lation 16 years of age and over. NOTE: Data refer to place of residence. Data for Puerto Rico are derived from a monthly household survey similar to the Current Popu- lation Survey. Data for subnational areas reflect revised population controls and model reestimation. Employment-population ratios are based on unrounded levels.