CONTACT: David Cooke, Economist
Oregon Employment Department
(503) 947-1272
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Oregon's Employment Situation: February 2010

Oregon's seasonally adjusted unemployment rate was essentially unchanged at 10.5 percent in February compared with 10.7 percent in January. The rate has been essentially unchanged for the most recent four months. Oregon's unemployment rate was 10.6 percent in February 2009.

The U.S. seasonally adjusted unemployment rate was 9.7 percent in January and in February.

In February, Oregon's seasonally adjusted nonfarm payroll employment dropped by 1,200 jobs, following a gain of 1,200 (as revised) in January.

Industry Payroll Employment (Establishment Survey Data)
In February, most of the major industries performed near their normal pattern. Construction was the only major industry showing a seasonally adjusted job change of more than 1,000; it lost 1,800 such jobs for the month.

Construction continued its rapid decline, cutting 1,800 jobs when no employment change is the normal seasonal pattern for February. The industry has been shrinking steadily for more than two years. Its peak seasonally adjusted employment was near 105,000 during most of 2007. By February 2010, its employment had fallen to 64,500, its lowest level since November 1994.

In February, job losses were concentrated in residential building construction (-300 jobs), building foundation and exterior contractors (-600) and building equipment contractors (-600).

Government continued to show a steady employment pattern. Seasonally adjusted employment in this category has remained close to 300,000 since the summer of 2008.

Federal government employed 28,500 in February. The U.S. Census recently provided figures indicating that a maximum of approximately 10,000 Oregonians will be employed to help conduct the decennial census within the next few months. Consequently, it is likely that the published federal government employment figures will balloon this spring.

State government has trended upward over the past several months. Several agencies such as the Department of Human Services and the Employment Department have faced substantial increases in workload associated with a rapid run-up in Oregonians needing assistance provided by these agencies. Since February 2009, state government has added 900 jobs.

Professional and business services has held its seasonally adjusted employment total close to 175,000 for the past seven months. This flat trend followed a steep decline during the prior 15 months.

Within the broader industry category, several unique trends have been shown by the component industries. The closely watched “employment services" industry gained 400 jobs in February, but is still down 1,200 jobs from its year-ago figure. Temporary help supply companies nationally have been adding workers on a seasonally adjusted basis at a rapid pace since October. Employment services tends to expand its workforce about four months before the overall private sector.

Services to buildings and dwellings is an industry that seemed to have been immune to the recession in 2001, having steadily and rapidly increased employment from 1990 to 2007. But the recession of 2008-2009 resulted in declines in this industry as well. Its February 2010 employment was 17,400, which was down 800 from its year-ago figure.

Legal services has been essentially flat at close to 12,100 jobs since late 2008.

Architectural and engineering services has mirrored the downtrend in construction, shedding jobs rapidly and consistently for more than two years now. It employed 11,800 in February, which was down 1,900 jobs over the year and down from 15,600 reached in late 2007.

Leisure and hospitality employment is still close to 162,000 on a seasonally adjusted basis. It has been close to 162,000 since the spring of last year. There are initial signs of an uptrend as recent months have brought it to 162,900 in February.

There still hasn't been an appreciable pickup in the restaurant sector. The industry known as “food services and drinking places" added only 300 jobs in February and is down 1,000 over the past year. Full-service restaurants took a big hit from the economy in late 2008, and held relatively steady over the past year. Meanwhile, limited-service eating places continues to trend downward, having lost 1,400 jobs since February 2009.

Accommodation hasn't shown any uptrend recently; in fact, it is down 800 jobs over the past 12 months. Longer term, the industry has been very stable from one year to the next, as its annual average employment has been close to 21,000 since 1998.

Financial activities continued to decline, shedding 200 jobs when a gain of 700 is the normal seasonal pattern. Job losses have moderated over the past six months following steep job declines throughout the recession. Employment in financial activities was 93,300, the industry's lowest reading since the winter of 2001.

Trade, transportation, and utilities has been trending upward on a seasonally adjusted basis since August, consistent with its seasonally adjusted job gain of 800 in February. The reason is that retail has been gaining ground modestly over the past few months. National retail sales data show sales growing at a slow pace over recent months. It is likely that many Oregon retailers are also seeing modest sales increases.

Over the past six months, seasonally adjusted wholesale trade employment has been relatively stable, as has been the same metric in transportation, warehousing and utilities.

Manufacturing dropped by 1,100 jobs in February, which was a steeper decline than the typical seasonal decline of 300 for the month. Computer and electronic product manufacturing cut 1,000 jobs in February and is down 1,700 over the past 12 months. Food manufacturing was the bright spot, rising 500 jobs and up 2,100 since February 2009.

Unemployment (Household Survey Data)
In February, Oregon's seasonally adjusted unemployment rate was 10.5 percent, essentially unchanged from January's 10.7 percent.

In February, 220,932 Oregonians were unemployed. In February 2009, 232,225 Oregonians were unemployed.

The Oregon Employment Department plans to release the February county and metropolitan area unemployment rates on Tuesday, March 23rd and the statewide unemployment rate and employment survey data for March on April 13th.

For the complete version of the news release, including tables and graphs, visit: www.QualityInfo.org/pressrelease.

For help finding jobs and training resources, visit one of the state's WorkSource Oregon Centers or go to: www.WorkSourceOregon.org.

Equal Opportunity program has auxiliary aids and services available upon request to individuals with disabilities.