department of labor | Rochester Business Journal

Area organizations to receive workforce development grants

Some 75 businesses, schools and community-based organizations statewide have been awarded nearly $9.5 million as part of the state’s Workforce Development Initiative, including five in the Rochester and Finger Lakes Region.

“The economic impact of COVID-19 has completely upended the traditional workplace and we need a job training strategy that reflects the changing environment,” said state Lt. Gov. Kathy Hochul in a statement. “As chair of New York State’s Regional Economic Development Councils, I am proud that our Workforce Development Initiative will continue to keep our state ahead of the curve and create a more inclusive post-pandemic future where opportunity is accessible to all New Yorkers.”

Funding and incentives for the program are being provided by the state Department of Labor, Empire State Development and the state Energy Research and Development Authority. The program will support critical job training and employment opportunities in high-demand industries for nearly 5,000 New Yorkers statewide.

“As we move forward from the devastating impacts COVID-19 has had on New York’s labor force, we need to create opportunities for workers to succeed in this competitive job market and address the long-term job training needs of growing industries. For many, that means providing workers with access to the skills necessary to compete,” said Assemblyman Harry Bronson. “This funding is crucial for ensuring that New Yorkers emerge strong and more resilient than ever before as we rebuild the New York State economy.”

In the Finger Lakes region grants were awarded to Lifetime Assistance; Rochester Institute of Technology; Rochester Rehabilitation Center Inc.; Seneca Cayuga Yates Counties Chapter NYSARC Inc., dba Mozaic; and Turner Underground Installations.

New York’s Regional Economic Development Councils play a key role in recommending applications for funding, based on regional economic needs and opportunities.

“As New York continues to advance Gov. Cuomo’s bold green energy goals, strategic investment in workforce development and training is essential for attracting workers to the clean energy industry, and preparing new and existing clean energy employees for rewarding and well-paying jobs,” said NYSERDA Acting President and CEO Doreen Harris. “In recent years, New York’s clean energy employment grew at a rate close to three-times the national clean energy job growth and upskilling the existing workforce while creating a pipeline of new talent for future green job opportunities is key to New York’s success as we transition to a carbon neutral economy.”

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

DOL Lost Wages Assistance begins next week

The New York State Department of Labor this week said that payments for the Lost Wages Assistance (LWA) program, which provides an additional $300 in weekly benefits to unemployed New Yorkers, will begin next week. Up to 2.4 million New Yorkers will be eligible for the program, including 435,000 who must submit an additional certification to qualify.

During the COVID-19 emergency, New York has paid $43.7 billion in unemployment benefits to 3.5 million New Yorkers, representing more than 20 typical years’ worth of benefits paid in just six months, organization officials said.

“Throughout this crisis, states’ unemployment systems have been pushed to the limit and constantly-changing federal guidance — including this haphazard Presidential executive order — have only delayed our efforts to get benefits to New Yorkers in need. But we have worked day and night to stand up this program, and millions of New Yorkers will see payments next week,” DOL Commissioner Roberta Reardon said in a statement this week. “We are emailing all New Yorkers who are receiving benefits to inform them of their status and, if needed, provide information about certifying for the Lost Wages Assistance program. All New Yorkers should keep an eye out for these messages and, if an additional certification is required, respond immediately.”

The Federal Emergency Management Agency (FEMA) has released funding for the first three weeks of LWA benefits to New York State, covering the benefit weeks ending Aug. 2, Aug. 9, and Aug. 16. The DOL estimates that up to 2.4 million New Yorkers may be eligible for the benefits from those weeks, including recipients of both traditional unemployment insurance and Pandemic Unemployment Assistance. Roughly 2 million New Yorkers are pre-qualified and will receive payments starting next week. The remainder — roughly 435,000 New Yorkers — must submit an additional certification to qualify.

According to FEMA, funding for the LWA program will continue until any of the following occur:
• The federal Disaster Relief Fund balance falls below $25 billion;
• The $44 billion set aside for the LWA program is depleted;
• Congress enacts a replacement unemployment relief program; OR
• If none of the above scenarios occur before Dec. 27, 2020, funding will terminate on that date.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Reports: New York distributes $3 billion in unemployment funds as private-sector jobs tank

New York state in March recorded the largest month-over-month drop in private-sector jobs since the Great Recession, data from the U.S. Department of Labor shows.

Preliminary results from the DOL’s business and household surveys for March show that the number of private-sector jobs in New York fell by 42,900, or 0.5 percent, to 8.32 million. It was the state’s steepest employment drop since April 2009. But the state Department of Labor cautioned that while the data broadly reflects the impact of the pandemic, the March reference periods for the surveys occurred before many businesses were ordered to close.

The leisure and hospitality sector took the biggest hit in March, registering a loss of 23,300 jobs.

The number of private-sector jobs in the state is based on a payroll survey of 18,000 New York businesses conducted by the U.S. Department of Labor’s Bureau of Labor Statistics. The federal government calculates the state’s unemployment rate based partly upon the results of the current population survey, which contacts roughly 3,100 households in New York each month.

In March 2020, the state’s seasonally adjusted unemployment rate rose from 3.7 percent to 4.5 percent. It was the state’s largest recorded monthly increase in five decades. Additionally, the number of unemployed New Yorkers rose by 73,900, while labor force levels dropped by 132,300, both monthly records.

Locally, the six-county Rochester region lost 1,300 nonfarm jobs from March 2019 to March 2020, while the private sector, which does not include government jobs, lost 1,200 jobs. Rochester’s unemployment rate rose from 4.3 percent a year ago to 4.7 percent in March 2020.

Elsewhere, Buffalo’s jobless rate rose to 5.2 percent from 4.6 percent a year ago, while Syracuse’s unemployment rate rose to 4.9 percent from 4.6 percent in March 2019.

On Monday, the state DOL reported it has distributed $3.1 billion in unemployment benefits to New Yorkers since the coronavirus pandemic started impacting businesses in early March. In total, more than 1.4 million individuals statewide have submitted completed applications for unemployment benefits since the crisis began, officials said, including traditional unemployment and Pandemic Unemployment Assistance.

“Every state is facing major challenges when it comes to unemployment, but in New York, we are upgrading our systems in real-time while delivering benefits to New Yorkers faster and more aggressively than any other state,” said DOL Commissioner Roberta Reardon in a statement. “I’ve been unemployed myself — I know that losing your job is one of the most trying situations someone can face — and while there is more work to do, we have connected over 1 million New Yorkers with billions of dollars in benefits in just six weeks. We will keep working around the clock, seven days a week to ensure every single New Yorker gets every single dollar they deserve.”

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Initial unemployment claims soar to historic high

Stunning. Breathtaking. Unprecedented.

Words usually associated with a movie, a work of art, an NFL upset are now being used by economists to describe unemployment claims. When the U.S. Department of Labor on Thursday released its weekly number of new unemployment insurance claims it was expected to be unparalleled. Congress’ Joint Economic Committee warned that numbers could range from 2.25 million, Goldman Sachs’ prediction, to 3.4 million, the Economic Policy Institute’s prediction.

In the week ending March 21, seasonally adjusted initial claims were 3.28 million nationwide, the highest level of seasonally adjusted initial claims in the history of the series. The previous high was 695,000 in October 1982, the Labor Department noted. States cited service industries as most affected by initial unemployment claims, followed by increases in health care, social assistance, arts, entertainment and recreation, transportation, and warehousing and manufacturing industries.

“I have been a labor economist for a very long time and have never seen anything like this,” said EPI’s Heidi Shierholz in a statement. “We just got the first piece of government labor market data that really shows—in a breathtaking manner—the impact the coronavirus shock is having on the labor market.”

Initial unemployment claims jumped from 211,000 nationwide three weeks ago to 282,000 two weeks ago to nearly 3.3 million last week, a 15-fold increase in two weeks.

“This shows why the economic rescue package that the Senate passed is so important to try to help people get through this period as best they can,” said Erika Rosenberg, president and CEO of the Center for Governmental Research Inc. “With the tremendous economic slowdown, there’s going to be a lot of people really struggling to meet their basic needs. I think one of the most troubling things about the economic impact is that it’s going to hit low-wage workers harder. People who are working in retail, people who are working in restaurants, people who are doing gig jobs, those are the things that are at a complete standstill now.”

EPI estimates that some 14 million workers will lose their jobs due to the COVID-19 pandemic by summer, with significant losses in every state.

Congress’ Joint Economic Committee in a statement ahead of Thursday’s DOL release said if the number of new claims is as high as predicted and if it remains high in the coming weeks, unemployment will skyrocket.

“For example, if 3 million new claims are reported Thursday, it would mean a 1.8 percentage point spike in unemployment—in just one week,” said committee Vice-Chair U.S. Congressman Don Beyer, D-Va., in the statement.

At that rate, unemployment would more than triple in less than a month and would “quickly exceed the 10 percent peak in 2009 during the Great Recession,” Beyer said.

Bloomberg this week reported that Federal Reserve Bank of St. Louis President James Bullard predicts the unemployment rate could reach 30 percent in the second quarter of this year, higher even than the 24.9 percent unemployment at the height of the Great Depression.

Some 80,000 people in New York state filed initial claims for unemployment insurance during the week ended March 21, compared with about 14,000 the week before. Estimates from Pennsylvania are that nearly 380,000 people filed claims last week, up from roughly 15,500 the previous week, and California reported that 564,000 workers filed for initial unemployment benefits last week.

The congressional economic committee suggested that the unemployment claims report understates the severity of the problem

“The jobless numbers only reflect the number of claims that are actually filed and do not include workers who intended to file claims but were unable to due to jammed offices and phone lines; or websites that were unable to process their claims,” Beyer said in the statement. “Others are out of work, but not eligible to file. In addition, there are 1.1 million workers who were already long-term unemployed before the coronavirus crisis began.”

To address those issues locally, the County of Monroe has opened an online job portal through RochesterWorks for essential businesses that are looking for workers and individuals looking for jobs to connect. The effort is being conducted in cooperation with the Greater Rochester Chamber of Commerce Inc. and Greater Rochester Enterprise Inc.

“RochesterWorks is proud to work with our primary partner, the County of Monroe and the county executive, to provide our local employers the opportunity to pose very efficiently their current employment openings, especially those in response to COVID-19,” RochesterWorks Executive Director Peter Pecor said in a statement Wednesday. “We have a local talent pool ready and able to fill those positions identified and connected through our online tools.”

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Area businesses, colleges to share $3.4 million in workforce development funds

More than five dozen businesses, community colleges and organizations will share $3.4 million in funding for workforce development this year as part of the state’s historic $175 million Workforce Development Initiative.

Funding is provided by the state Department of Labor, New York State Energy Research and Development Authority (NYSERDA) and the State University of New York. Since launching in May 2019, nearly $6.5 million has been awarded.

More than one-third of the 61 organizations awarded funds this year are in the Finger Lakes region, including:

Berry Global
Bonduelle Americas
Clifton Springs Hospital and Clinic
Creative Food Ingredients
Cutco Corp.
Harbec
Lifetime Assistance
Markin Tubing
McAlpin Industries
Newark-Wayne Community Hospital
O-AT-KA Milk Products Cooperative
Optimax
Orolia
Ortho Clinical Diagnostics
Park Ridge Nursing Home
Pfisterer Lapp
Prestolite Electric
Rochester General Hospital
Rochester General Long Term Care
Spectracom
University of Rochester Medical Center
Unity Hospital

“These awards will help ensure that thousands of workers across the state are not only prepared for the jobs of today, but are ready to take on the jobs of tomorrow,” Gov. Andrew Cuomo said in a news release. “New York’s workforce must adapt to the rapidly changing, modern economy and the Workforce Development Initiative will give our workers the edge they need to stay competitive.”

The professional training projects are supported by SUNY community colleges across the state, including Adirondack, Broome, Corning, Dutchess, Fashion Institute of Technology, Genesee, Jamestown, Monroe, Nassau, North Country, Tompkins Cortland and Westchester. Projects funded through the state DOL include sites in the Finger Lakes, Long Island and New York City. Projects funded through NYSERDA are all located in New York City.

“Developing a strong workforce pipeline is a significant issue facing communities all across New York State,” said DOL Commissioner Roberta Reardon. “This initiative helps address that by ensuring that industry leaders are engaged with the education and training providers from early on in the process, resulting in the creation of meaningful training programs that will have a real impact on the problem.”

The state’s Workforce Development Initiative was announced last May and is designed to support strategic regional efforts that meet businesses’ short-term workforce needs, improve regional talent pipelines, enhance the flexibility and adaptability of local workforce entities, expand apprenticeships and address the long-term needs of growing industries.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester economy boosted in December

Rochester ended the year on a high note, with more jobs and a lower unemployment rate, the state Department of Labor reported this week.

Rochester gained 2,700 nonfarm jobs from December 2017 to December 2018, or 0.5 percent, not seasonally adjusted. Private-sector job gains were 2,500. Rochester’s jobless rate fell from 5 percent a year ago to 3.8 percent in December, not seasonally adjusted.

Seasonally adjusted data reflect seasonal influences such as holiday and summer hires. This type of data is most useful when comparing month-to-month, while non-seasonally adjusted data is most valid in comparisons of year-to-year data.

The Labor Department uses two different data sets to determine unemployment rates and job counts; the state’s private-sector job count is based on a payroll survey of 18,000 New York employees, while the federal government calculates the state’s jobless rates based in part on the results of the current population survey of 3,100 households statewide.

From December 2017 to December 2018, the state’s unemployment rate dropped from 4.4 percent to 3.9 percent, the lowest level since recordkeeping began in 1976. Meanwhile, the state’s private sector job count reached a record high in December at 8.244 million.

New York State added 123,100 nonfarm jobs from December 2017 to December 2018, while the private sector gained 120,600 jobs. Nonfarm jobs include private sector and government jobs.

“New York State’s labor market continued to expand in December 2018 as it reached a new, all-time high private-sector job count, while the statewide unemployment rate remained at its lowest level on record and the labor force reached a new high for the state as well,” said Bohdan Wynnyk, director of the state Department of labor’s Division of Research and Statistics.

The majority of job gains statewide were in the educational and health services sector. The information sector was the only industry with job losses in December.

A December report from the Federal Reserve Bank of New York suggests that while it is no surprise that New York City and other downstate regions have seen a tightening in their labor forces, Upstate New York metro area labor forces also have tightened. Officials said that tightening is a result of changes in both labor demand and labor supply. In upstate, a decline in the labor force has reduced the pool of available workers.

Manufacturing employment was up in New York, as well as nationwide, in December. A report from the Center for Economic and Policy Research noted that manufacturing employment under the Trump administration has risen by 3.8 percent, but growth remains below that which occurred prior to the Great Recession.

Separately, CEPR noted a modest advance in wage growth in December, with year-over-year growth in the average hourly wage of 3.2 percent. Additionally, the share of unemployment due to voluntary quits grew to 13.3 percent from 11.6 percent in November, a near-high for the economic recovery.

An annual report from Challenger, Gray & Christmas Inc. shows that U.S.-based companies announced plans to cut 43,884 workers in December, putting the full-year total some 29 percent higher than 2017 announced job cuts.

“We’ve seen a number of companies responding to changing consumer behavior this year, and with tax, savings and a strong economy, making staffing decisions ahead of a potential downturn next year,” said Andrew Challenger, vice president of the global outplacement and executive coaching firm.

Some 82,210 jobs, or roughly 15 percent, of the 538,659 announced cuts in 2018 were in New York, the firm reported.

Locally, despite some recent business closures, the unemployment rate continued to decline in December. The Department of Labor reported the following jobless rates for December:

• Genesee County—4.1 percent, down from 5.3 percent in December 2017;
• Livingston County—3.8 percent, compared with 5.1 percent in December 2017;
• Monroe County—3.8 percent, down from 5 percent a year ago;
• Ontario County—3.7 percent, compared with 4.7 percent a year ago;
• Orleans County—4.6 percent, compared with 6.2 percent in December 2017;
• Wayne County—3.9 percent, down from 5.2 percent a year ago; and
• Yates County—3.6 percent, compared with 4.8 percent a year ago.

Buffalo’s unemployment rate last month dropped to 4.1 percent from 5.5 percent a year ago, while the jobless rate in Syracuse dropped to 4 percent from 5.2 percent a year ago.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester continues to add jobs as unemployment rate falls

Rochester’s economy remained strong in September, with growth in private sector jobs and another dip in the unemployment rate, the state Department of Labor reported recently.

Rochester’s six-county metro region gained 6,900 nonfarm jobs, or 1.3 percent, from September 2017 to September 2018, with the private sector contributing 6,600 of those jobs, not seasonally adjusted. Nonfarm jobs include private sector and government positions.

The jobless rate in Rochester fell to 3.7 percent last month from 4.8 percent a year ago. It was the sixth consecutive drop in unemployment here this year.

From September 2017 to September 2018, the state’s seasonally adjusted unemployment rate fell from 4.7 percent to 4.1 percent, its lowest level since June 1988, the Department of Labor reported.

The state’s seasonally adjusted private sector job count rose by 6,300 from August to September, and added 109,500 private sector jobs year-over-year.

“New York State’s labor market continued to strengthen in September 2018,” said Bohdan Wynnyk, director of the state Department of Labor’s Division of Research and Statistics. “The statewide unemployment rate dropped to its lowest level in more than 30 years, while New York City’s rate reached an all-time low last month.”

Job gains statewide primarily were centered in the private educational and health services sector. In the last year, no major industry sector in New York lost jobs, the Department of Labor reported.

Nationally, 121,000 jobs were added from August to September, and the jobless rate fell to 3.7 percent from 3.9 percent in August and 4.2 percent a year ago. Some 18,000 manufacturing jobs were gained in September, the 14th consecutive month with job gains in the sector, the Center for Economic Policy Research pointed out.

Indiana and New York are the only states in the “Rust Belt” that have lost blue collar sector jobs over the last year. Manufacturing employment in both states dropped by 1,100 or 0.2 percent, continuing a trend of manufacturing as a declining share of total nonfarm employment, CEPR noted.

Elsewhere, Challenger, Gray & Christmas Inc. said that changes in consumer finance led to a 44 percent surge in job cut announcements in September, as U.S.-based employers planned to cut more than 55,000 from their payrolls. Industrial goods manufacturers announced the third highest number of job cuts in September, the firm said.

The global outplacement and executive coaching firm said that nearly half of those cuts come from Wells Fargo’s announcement that it will cut between 5 and 10 percent of its workforce over the next three years.

“As the job market remains near full employment and companies struggle to find workers, large-scale job cut announcements like the one from Wells Fargo will actually provide the workers necessary for companies to gain momentum and sustain growth,” said Challenger CEO John Challenger. “With the exception of Wells Fargo, low job cut announcements indicate employers are holding on to their staff in a period of expansion.”

In New York, some 19,829 layoffs have been announced this year, including more than 1,400 in September.

The Economic Policy Institute this week noted in a state-by-state breakdown of unemployment rates by race and ethnicity for the third quarter of 2018 that while there have been nationwide improvements in prospects for black and Hispanic workers, their jobless rates remain high relative to white workers in every state.

Among the states for which data are available, New York has the fifth-highest African-American unemployment rate at 7 percent. The Hispanic unemployment rate in New York State in the third quarter was 5.1 percent, a 2 percent drop over the last decade, EPI data shows.

Within the Rochester region, overall jobless rates in September were:

Genesee County—3.3 percent, down from 4.3 percent a year ago;
Livingston County—3.5 percent, compared with 4.6 percent a year ago;
Monroe County—3.8 percent, compared with 5 percent in September 2017;
Ontario County—3.3 percent, down from 4.2 percent a year ago;
Orleans County—3.7 percent, compared with 5.2 percent in September 2017;
Wayne County—3.4 percent, compared with 4.6 percent last year; and
Yates County—3.1 percent, down from 4.1 percent in September 2017.

Buffalo’s jobless rate in September was 3.8 percent, down from 5 percent a year ago, while in Syracuse the unemployment rate last month was 3.7 percent, down from 5 percent in September 2017.

[email protected] / 585-653-4021

Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester economy booming

Rochester’s economy continues to thrive, with an uptick in jobs and a decrease in the unemployment rate, the state Department of Labor reported this week.

The Rochester metro area gained 6,300, or 1.2 percent, nonfarm jobs and 6,000, or 1.3 percent, private-sector jobs in August, not seasonally adjusted. Nonfarm jobs include private sector and government jobs.

Rochester’s jobless rate fell to 4.2 percent in August, from 5 percent a year ago, not seasonally adjusted.

Seasonally adjusted data reflect seasonal influences such as holiday and summer hires. Data of this type is most useful when comparing month-to-month, while non-seasonally adjusted data is most valid in comparisons of year-to-year data.

From August 2017 to August 2018, the state’s private sector job count rose by 8,900, or 0.1 percent, to 8.181 million, preliminary figures show. Statewide, the unemployment rate fell from 4.3 percent a year ago to 4.2 percent last month, its lowest level since before the Great Recession.

Job gains primarily were centered in the educational & health services sector, which added 50,400 jobs statewide in August. The information sector led the industries with jobs losses, having shed 7,400 jobs last month.

Nationally, some 201,000 jobs were added from July to August. The unemployment rate was 3.9 percent in August, unchanged from July, but down from 4.4 percent a year ago.

Glassdoor Economic Research noted that August’s jobs report marked the 95th consecutive month of job gains, extending the nation’s longest streak since the federal government began collecting job surveys in the 1930s.

Average hourly wages in August rose by 2.9 percent nationally. Glassdoor reported it also is seeing a similar trend.

The Center for Economic and Policy Research noted that job gains were not especially strong in areas where employers have been complaining about labor shortages, such as construction, manufacturing and leisure and hospitality.

“The overall picture in the August jobs report is overwhelmingly positive,” CEPR Senior Economist Dean Baker wrote in the August Jobs Byte. “The economy continues to create jobs at a very healthy pace, and there is some modest evidence that wage growth may be accelerating so that wages at least slightly outpace the rate of inflation.”

Despite the positive economic developments, the nation’s labor force participation rate edged down by 0.2 percentage points to 62.7. That’s likely due to Baby Boomers leaving the workforce, Glassdoor suggests. Some 6.6 million jobs remain open in the U.S.

A report from Challenger, Gray & Christmas Inc., an outplacement company that tracks job gains and losses, shows that the pace of downsizing in August rose to the third-highest total for the year, as U.S.-based employers announced plans to cut more than 38,000 jobs.

Manufacturers took a hit in August.

“Manufacturers are grappling with rising costs, weak demand and competition on a global scale,” company CEO John Challenger said. “We may see additional job cuts as the full ramifications of imposed tariffs are felt.”

In New York last month, some 2,126 job cuts were announced, with a year-to-date total of 18,428.

CEPR reported that blue collar jobs grew by 26,000 from July to August, and by 789,200 from last year, although 18 states experienced a loss in jobs in the blue collar sectors.

Locally, the economy continues to improve. Area unemployment rates in August were:
• Genesee County—3.5 percent, down from 4.2 percent in August 2017;
• Livingston County—3.8 percent, compared with 4.7 percent in August 2017;
• Monroe County—4.4 percent, compared with 5.2 percent a year ago;
• Ontario County—3.5 percent, down from 4.1 percent a year ago;
• Orleans County—4.7 percent, compared with 6 percent a year ago;
• Wayne County—3.7 percent, down from 4.7 percent in August 2017; and
• Yates County—3.2 percent, compared with 4.1 percent a year ago.

The jobless rate in Buffalo last month was 4.3 percent, compared with 5.4 percent a year ago, while in Syracuse the unemployment rate was 4.1 percent, down from 5 percent in August 2017. Both regions gained private-sector jobs last month.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester economy continued to climb in July

Rochester’s economy continued its growth spurt in July, with a drop in the jobless rate and soaring private sector job gains.

The Rochester region ranked near the top among the 15 metro areas statewide for its percentage growth in jobs last month. The region—which includes Livingston, Monroe, Ontario, Orleans, Wayne and Yates counties—gained 9,800 nonfarm jobs, or 1.9 percent, while the private sector added 9,400 jobs, or 2.1 percent, not seasonally adjusted.

Nonfarm jobs include private sector and government jobs.

Rochester’s unemployment rate fell to 4.3 percent in July from 5.1 percent a year ago, not seasonally adjusted, the state Department of Labor reported this week.

Seasonally adjusted data reflects seasonal influences such as holiday and summer hires. Data of this type is most useful when comparing month-to-month, while non-seasonally adjusted data is most valid in comparisons of year-to-year data.

From July 2017 to July 2018, the state’s private sector job count rose by 7,900, or 0.1 percent, to 8.19 million, an all-time employment high. The seasonally adjusted unemployment rate statewide fell from 4.5 percent last year to 4.3 percent last month, matching the state’s lowest level since March 2007.

Job gains statewide continued to primarily be in educational & health services, while the manufacturing sector lost 4,800 jobs from July 2017 to July 2018, the Department of Labor reported.

Nationwide, some 157,000 jobs were added in July, according to the Bureau of Labor Statistics. The unemployment rate edged down to 3.9 percent. The employment-to-population ratio rose to a new, post-recession high of 60.5 percent.

Glassdoor Economic Research, which had predicted July’s job growth to be 188,000, has forecasted job gains of about 154,000 jobs per month through next June, although the firm cautions that the forecasts are at the whim of other external factors.

Despite the good news, the Center for Economic and Policy Research reports that there is little evidence of accelerating wage growth. In the last year, the average hourly wage has risen by 2.7 percent.

CEPR reports that the number of involuntary part-time workers fell by 176,000 in July, while the percentage of unemployment due to voluntary quits rose to 13.5 percent. The jobless rate for Hispanic workers nationwide fell to 4.5 percent, a new record low.

CEPR also reported that blue collar employment grew by 0.3 percent in July as the nation added 52,000 jobs in construction, manufacturing and mining and logging. Over the last three months, blue collar jobs added an average of 53,000 jobs per month.

Challenger, Gray & Christmas Inc., an outplacement company that tracks job gains and losses, reported that year-over-year teen hiring rose 62 percent in July. Some 307,000 workers aged 16 to 19 found jobs in July, bringing the summer’s total to 1.39 million teen job gains.

“Some retailers announced they were beginning to hire for the holiday season early, a boon to teen workers who want employment,” said Challenger, Gray & Christmas Vice President Andrew Challenger. “While the participation rate among teenagers has averaged under 40 percent per year since the recession years, teens can certainly benefit from the tight labor market, especially as employers struggle to fill positions.”

Challenger, Gray & Christmas’ July Job Cuts also showed marked improvement. The pace of downsizing nationwide fell to the lowest level of the year, as U.S.-based employers announced plans to cut 27,122 workers from payrolls during the month.

“The economy is at near-full employment,” said CEO John Challenger. “Nearly 90 percent of companies recently polled by Challenger are either actively hiring or in retention mode. Companies are not letting go of their workforces right now.”

Despite holiday hiring, retailers continue to lead the pack when it comes to job cuts. Nearly 76,000 layoffs were announced in the retail sector in July.

“Retail cuts have been inching up the last four years, as online shopping causes disruptions to business as usual,” Challenger’s CEO said. “We’re starting to see layoffs in this sector that rival recession years.”

Nationwide, more than 272,000 layoffs have been announced this year, with more than 16,000 in New York State. In July, nearly 2,000 job cuts were announced statewide.

Locally, the economy has improved significantly the last couple of months. Each county in the Rochester metro area saw significant declines in unemployment rates in July:
• Genesee County—down to 3.7 percent from 4.3 percent in July 2017;
• Livingston County—4.1 percent, compared with 4.9 percent in July 2017;
• Monroe County—4.4 percent, down from 5.2 percent a year ago;
• Ontario County—3.5 percent, compared with 4.1 percent a year ago;
• Orleans County—4.9 percent, compared with 6 percent in July 2017;
• Wayne County—3.8 percent, down from 4.7 percent a year ago; and
• Yates County—3.3 percent, down from 4.1 percent in July 2017.

The Syracuse area jobless rate last month fell to 4.3 percent from 5.1 percent the previous year, while in Buffalo the unemployment rate was 4.5 percent, compared with 5.4 percent in July 2017. Both areas experienced a growth in nonfarm and private sector jobs last month.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester economy improves in June

The Rochester metro area continued to thrive economically in June as job growth improved and unemployment dipped.

Rochester’s jobless rate dropped to 4.3 percent in June, mirroring a statewide trend, the state Department of Labor reported. The area added 8,800, or 1.6 percent, nonfarm jobs, while the private sector job count increased by 8,100, or 1.8 percent, not seasonally adjusted. Nonfarm employment includes private sector and government jobs.

Binghamton, Elmira and Utica-Rome were the only regions statewide to lose jobs in June.

From June 2017 to June 2018, the state’s private sector gained 132,400 jobs. The number of private sector jobs in New York in June was 8.19 million. The state’s seasonally adjusted unemployment rate remained unchanged in June at 4.5 percent, matching the state’s lowest level since May 2007.

“In June 2018, New York’s labor market continued to grow as the state added 15,000 private sector jobs to reach a new, all-time high employment count,” said Bohdan Wynnyk, director of the state Department of Labor’s Division of Research and Statistics. “In addition, the statewide unemployment rate remained at its lowest level since before the recession.”

Job gains statewide in June were highest in the educational & health services sector, while manufacturing lost 3,400 jobs, the Labor Department reported.

The Bureau of Labor Statistics reported a total nonfarm job increase of 213,000 in June and an unemployment rate of 4 percent. The jobless rates among teenagers (12.6 percent) and African-Americans (6.5 percent) were the highest among the major work groups, BLS reported.

The Center for Economic and Policy Research noted that in spite of strong job gains and employer complaints about worker shortages, wage growth does not appear to be accelerating. The average hourly wage nationwide has increased by 2.7 percent in the last year, and that appears to be slowing.

CEPR also noted that the share of workers nationwide with multiple jobs remained stable over the last year at 4.8 percent. The overall picture is one of a strengthening labor market, but one that is still not tight enough to produce substantial wage growth, CEPR’s Senior Economist Dean Baker concluded.

CEPR’s monthly Blue Collar Jobs Tracker shows that employment in the states formerly known as the industrial belt, which includes New York, continues to trail the national trend. Compared with last year, blue collar employment in the nine-state region was up by 2.1 percent, or 122,900 jobs, compared with a 3.1 percent increase nationwide.

June’s nationwide jobs report marks the economy’s 93rd consecutive month of positive job gains, the longest streak on record, Glassdoor Economic Research noted. That historic wave of job creation has fueled a nine-year economic expansion, the second longest in U.S. history since the 1850s, the organization said.

Among the 84 job titles Glassdoor tracks each month, bank tellers show the fastest growth in median base pay for full-time workers from one year ago in June. Truck drivers and warehouse associates rounded out the top three.

Challenger, Gray & Christmas Inc. in its June Job Cuts report said job cuts announced by U.S.-based employers rose 18 percent, from 31,517 in May to 37,202 in June, and June’s job cuts were up 19.6 percent from a year ago.

“In a tight labor market it’s no surprise employers are hanging on to their current workforces, as four months of this year have seen job cut totals under 40,000,” said CEO John Challenger. “However, in the wake of announced tariffs, we may be entering a period of increased cuts going forward.”

In New York State, employers announced 3,129 job cuts in June, for a total of 14,348 in the first half of the year.

The state Department of Labor reported the following June unemployment rates in the Rochester area:

• Monroe County—4.3 percent, down from 5 percent a year ago;
• Genesee County—3.9 percent, compared with 4.3 percent in June 2017;
• Livingston County—4.3 percent, down from 5 percent in June 2017;
• Ontario County—3.9 percent, compared with 4.3 percent a year ago;
• Orleans County—4.8 percent, down from 5.7 percent a year ago;
• Wayne County—4.1 percent, compared with 4.7 percent in June 2017; and
• Yates County—3.6 percent, down from 4.2 percent a year ago.

The Buffalo area jobless rate in June was 4.5 percent, down from 5.2 percent in June 2017, while Syracuse’s unemployment rate fell to 4.4 percent from 5 percent a year ago.

[email protected] / 585-653-4021

Follow Velvet Spicer on Twitter: @Velvet_Spicer

Jobs situation improves in May here

The Rochester-area economy improved significantly in May with a steep drop in the unemployment rate and the third largest increase statewide in the number of private sector jobs, the state Department of Labor reported this week.

Rochester’s jobless rate last month dropped to 4 percent from 4.7 percent a year ago, not seasonally adjusted. The Rochester metro area also added 10,700 nonfarm jobs, or 2 percent, while the private sector added 10,000 jobs, or 2.2 percent, compared with May 2017. Nonfarm employment includes private sector and government jobs.

Binghamton, Elmira, Utica-Rome and Watertown-Fort Drum were the only metro areas statewide to lose jobs in May, the Labor Department reported.

From May 2017 to May 2018, the state added 110,500 nonfarm jobs and 109,600 private sector jobs. New York’s private sector job count rose by 13,500 from April to May, reaching a new employment high of 8.17 million.

The state’s unemployment rate decreased from 4.7 percent in May 2017 to 4.5 percent last month, its lowest in more than a decade. Preliminary data for the nation shows a jobless rate of 3.8 percent, down from 4.3 percent a year ago.

Job gains nationwide in May were spread across a number of sectors including construction, retail and health care. Manufacturing added 18,000 jobs in May, its weakest month since September 2017.

Those benefiting from the low nationwide unemployment rate likely have been disadvantaged minorities and less-educated workers, the Center for Economic and Policy Research noted in its monthly Jobs Byte, an in-depth analysis of the employment data released by the Bureau of Labor Statistics.

CEPR also reported that the jobless rate for African Americans in May fell to 5.9 percent, an all-time low. The number of involuntary part-time workers also dipped last month, while the share of unemployment due to voluntary quits hit a new high of 13.8 percent.

Glassdoor Economic Research noted that average hourly wages rose 2.7 percent in May, and the organization is beginning to see rising wage pressures in its Local Pay Reports.

“Today’s strong labor market is putting many job seekers in the driver’s seat, and that’s starting to translate into pay gains,” said Glassdoor’s Chief Economist Andrew Chamberlain in a post. “As of May, the economy has steadily added jobs to payrolls for 92 consecutive months, the longest streak since the federal government started collecting payroll data in the 1930s.”

Challenger, Gray & Christmas Inc. in its monthly job cuts report said job cuts announced by U.S.-based employers fell 12.6 percent last month, from 36,081 in April to 31,517 in May. The global outplacement and executive coaching firm reported that job cuts were down 4.8 percent from 33,092 in May 2017.

One caveat, though, is that job cuts typically decline in May and June as employers tend to make their staffing moves at the beginning of the year or in the fourth quarter, said John Challenger, the firm’s CEO. In fact, so far this year, employers have announced 207,977 job cuts nationwide, a 6.2 percent increase from the 195,895 announced in the first five months of 2017.

In New York last month, employers announced 1,404 job cuts, for a total of 11,219 year-to-date.

The state Department of Labor this week reported the following local unemployment rates:
• Genesee County—3.8 percent, down from 4.4 percent in May 2017;
• Livingston County—4.2 percent, compared with 4.7 percent in May 2017;
• Monroe County—4.1 percent, down from 4.7 percent a year ago;
• Ontario County—3.6 percent, compared with 4.1 percent a year ago;
• Orleans County—4.4 percent, down from 5.4 percent in May 2017;
• Wayne County—3.8 percent, down from 4.7 percent a year ago; and
• Yates County—3.4 percent, compared with 3.9 percent in May 2017.

Buffalo’s unemployment rate fell to 4.3 percent last month from 5 percent in May 2017, while the Syracuse area jobless rate was 4.1 percent, down from 4.8 percent a year ago.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester adds third highest number of jobs upstate in January

Rochester’s economy showed some improvement in January, adding the third highest number of jobs among upstate regions, the state Department of Labor reported this week.

Following several months of private-sector job losses, the Rochester metropolitan region—which includes Livingston, Monroe, Ontario, Orleans, Wayne and Yates counties—gained 3,400 nonfarm jobs, or 0.7 percent, while private-sector jobs increased by 2,800, or 0.6 percent. Nonfarm jobs include both private sector and government jobs.

Elmira, Glens Falls, Syracuse and Utica-Rome reported a loss in jobs from January 2017 to January 2018, not seasonally adjusted.

Preliminary data shows a slight increase in the jobless rate in Rochester in January, from 5.5 percent a year ago to 5.6 percent this year, not seasonally adjusted.

From January 2017 to January 2018, the state’s private sector job count increased by 91,600. January’s private-sector job county was 8.12 million.

Separately, Challenger, Gray & Christmas Inc. reported that the nation’s employers announced plans to cut 44,653 jobs in January, up nearly 38 percent from cuts announced in December. While cuts were up from December, they were down 2.8 percent from January 2017.

In New York, 2,811 layoffs were announced in January.

The retail industry continued to be hit hard by job cuts in January, representing more than one-third of the layoffs announced. However, the 15,378 retail layoffs announced were far fewer than the 22,491 announced a year ago.

“Many companies are enjoying relative financial health and a strong economy right now,” Challenger, Gray & Christmas Inc. Chief Executive John Challenger said in a statement. “The good news for those who are finding themselves separated from their previous companies is that employers are scrambling to find talent.”

Glassdoor—a job review site that offers salary and economic research—reported that one particular bright spot in the January jobs report is wages. Average hourly earnings rose 2.9 percent from a year ago, the fastest pace of overall U.S. wage growth since June 2009.

“As the labor market teeters on the edge of full employment today, employers in many sectors are struggling to fill open roles,” Glassdoor’s chief economist Andrew Chamberlain said in a statement. “Today’s strong wage gains suggest that’s beginning to translate into sustained pay growth for more American workers in key in-demand fields.”

Those fields include e-commerce, health care, tech and some low-skilled roles.

The Center for Economic and Policy Research (CEPR) reported that nonfarm jobs in the Rust Belt—which includes New York State—were up 20,100, while the number of blue collar jobs in the region rose by 0.1 percent, adding 3,400 jobs.

The blue collar share of nonfarm Rust Belt employment has never recovered from its dive during the Great Recession. Jobs in construction, manufacturing and mining and logging industries accounted for 14.7 percent of total nonfarm jobs in the region in January, down from nearly 17 percent before the recession.

A large jump in the African American unemployment rate has brought it back nearly to what it was a year ago, CEPR reported. At 7.7 percent, the African American jobless rate is just shy of the 7.8 percent it was in January 2017.

“This is disappointing since the 6.8 percent rate in December was the lowest on record,” CEPR’s senior economist Dean Baker said in a statement. “The data for African Americans are highly erratic and it is likely that much of this change is driven by measurement error, but it is nonetheless discouraging to see this reported jump.”

The state Department of Labor this week reported the following area jobless rates:
• Genesee County—6.4 percent, up from 6.2 percent in January 2017;
• Livingston County—6.2 percent, up from 6.1 percent a year ago;
• Monroe County—5.4 percent, compared with 5.3 percent a year ago;
• Ontario County—5.6 percent, unchanged from January 2017;
• Orleans County—7.2 percent, compared with 7.1 percent a year ago;
• Wayne County—5.9 percent, down from 6.2 percent in January 2017; and
• Yates County—5.6 percent, compared with 5.5 percent in January 2017.

In Buffalo, the unemployment rate was unchanged in January at 6.2 percent. The metro area gained the most nonfarm jobs among upstate areas in January at 7,600. Syracuse’s jobless rate increased to 6 percent from 5.8 percent a year ago, and the region lost 500 nonfarm jobs.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Jobless rate rises upstate in December

The upstate economy took a hit in December, with nearly all counties across New York experiencing at least a slight uptick in the unemployment rate, preliminary data from the state Department of Labor shows.

The Rochester metro area—which includes Livingston, Monroe, Ontario, Orleans, Wayne and Yates counties—saw an increase in the jobless rate to 5 percent from 4.7 percent in December 2016.

Rochester was one of three metropolitan statistical areas statewide to report a year-over-year decline in jobs. The region lost 3,500 nonfarm jobs, or 0.6 percent, while the private sector lost 2,800 jobs, or 0.6 percent, not seasonally adjusted. Nonfarm jobs include both private sector and government jobs.

Buffalo and Elmira also showed a loss of jobs in December.

From December 2016 to December 2017, the state’s private sector job count increased by 111,700. Last month the number of private sector jobs statewide was 8.1 million, the Labor Department reported.

Separately, Challenger, Gray & Christmas Inc. reported that U.S.-based employers announced more than 32,000 job cuts in December, bringing the year-end total to 418,770, the lowest annual total since 1990. In New York, nearly 2,000 job cuts were announced in December, for a total of 27,481 for the year.

The retail industry was the hardest hit last year, Challenger, Gray & Christmas reported, with a total of more than 76,000 layoffs.

“The retail pivot that caused thousands of store closures and job cuts was not seen in any other industry this year,” CEO John Challenger said in a statement. “The tight labor market, coupled with uncertainty surrounding health care and tax legislation, possibly kept employers from making any long-term staffing decisions this year.”

This year could be different, however, as companies realign with consumer demand, he added.

Using data from the U.S. Bureau of Labor Statistics, the Center for Economic and Policy Research noted that nationwide, the unemployment rate for African-Americans dropped to 6.8 percent in December, the lowest since 1972 when data collection began.

The black unemployment rate averages close to twice the white unemployment rate, CEPR noted, but the ratio has been reduced somewhat as the labor market tightens. The jobless rate for whites in December was 3.7 percent.

CEPR noted that less-educated workers continue to be the biggest gainers from the economy’s continuing expansion. The employment-to-population ratio for workers with just a high school degree has risen by 0.6 percentage points over the last year. For workers with a college degree, EPOP has not changed.

Wage growth has stagnated, CEPR’s analysis shows, with the weakest growth in manufacturing. Wages in the manufacturing sector have risen just 1.6 percent over the last year.

The state Department of Labor reported the following area unemployment rates for December, not seasonally adjusted:
• Genesee County—5.3 percent, up from 4.9 percent a year ago;
• Livingston County—5.1 percent, compared with 5 percent a year ago;
• Monroe County—5 percent, up from 4.6 percent in December 2016;
• Ontario County—4.8 percent, compared with 4.5 percent a year ago;
• Orleans County—6.2 percent, up from 5.9 percent a year ago;
• Wayne County—5.2 percent, unchanged from December 2016; and
• Yates County—4.8 percent, compared with 4.6 percent in December 2016.

Buffalo’s jobless rate last month climbed to 5.5 percent from 5.1 percent a year ago, while the unemployment rate in Syracuse rose slightly to 5.1 percent from 5 percent the previous year.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Rochester region continues to shed jobs

Rochester was one of three metropolitan areas statewide last month to lose private-sector jobs, and one of five with an increase in the unemployment rate, the state Department of Labor reported this week.

The Rochester area—which includes Livingston, Monroe, Ontario, Orleans, Wayne and Yates counties—lost 3,200 private sector jobs, or 0.7 percent, while non-farm jobs fell by 3,500, or 0.6 percent, not seasonally adjusted. Non-farm jobs include both private sector and government jobs.

Buffalo and Elmira also saw a decline in year-over-year job counts.

Rochester’s non-seasonally adjusted jobless rate increased to 4.6 percent from 4.5 percent in October 2016.

From October 2016 to October 2017, New York’s private-sector job count rose by 98,200, or 1.2 percent, but from September to October of this year, the private sector lost 11,900 jobs, the Department of Labor reported.

Separately, job cuts announced by U.S.-based employers in October fell to their lowest level since 1997, and the year-to-date total was down 25 percent from last year, global outplacement consultant Challenger, Gray & Christmas Inc. reported.

“Companies are currently holding on to their workforces, but this may be the calm before the storm,” said John Challenger, company CEO.

Another downturn could be on the horizon for early to mid-2018, Challenger noted, and with it, large-scale layoffs.

“Adding to this is the possibility that global factors, including Brexit, could usher in a recession,” Challenger said.

October’s job cut announcements were led by the health care sector, but retail remains the leader in job cuts for the year, with nearly 73,000 cuts announced through last month. In New York last month, more than 3,000 layoffs were announced, bringing the total for the year to 23,350.

The Center for Economic and Policy Research this week reported a slight decrease in blue collar jobs within the rust belt since January, but a rise from September to October. Since January, New York has an 11,400 decline in blue collar jobs.

While construction jobs in New York climbed in October, the state continued to shed manufacturing jobs.

In October, New York’s seasonally-adjusted unemployment rate fell to 4.8 percent from 4.9 percent in September and a year ago.

Area jobless rates last month were:
• Genesee County—4.3 percent, unchanged from a year ago;
• Livingston County—4.5 percent, unchanged from a year ago;
• Monroe County—4.7 percent, up from 4.6 percent in October 2016;
• Ontario County—4.1 percent, up from 3.9 percent a year ago;
• Orleans County—5.2 percent, compared with 5.1 percent a year ago;
• Wayne County—4.4 percent, down from 4.5 percent in October 2016; and
• Yates County—3.8 percent, compared with 4 percent a year ago.

Buffalo’s jobless rate last month fell to 4.8 percent from 4.9 percent a year ago, while Syracuse’s unemployment rate was unchanged at 4.6 percent.

[email protected] / 585-653-4021
Follow Velvet Spicer on Twitter: @Velvet_Spicer

Select Region or Brand

Upcoming Event

Tag: department of labor

Area organizations to receive workforce development grants

DOL Lost Wages Assistance begins next week

Reports: New York distributes $3 billion in unemployment funds as private-sector jobs tank

Initial unemployment claims soar to historic high

Area businesses, colleges to share $3.4 million in workforce development funds

Rochester economy boosted in December

Rochester continues to add jobs as unemployment rate falls

Rochester economy booming

Rochester economy continued to climb in July

Rochester economy improves in June

Jobs situation improves in May here

Rochester adds third highest number of jobs upstate in January

Jobless rate rises upstate in December

Rochester region continues to shed jobs