JOB RESOURCE FOR TUCSON ARIZONA MAJOR EMPLOYERS OF SOUTHERN ARIZONA
TUCSON'S UNEMPLOYMENT RATE DROPS TO 3.7 PERCENT EVEN AS ECONOMY SHRINKS BY 7,200 NONFARM JOBS Outlook- August 2004
Arizona's unemployment rate declined from 5.1 percent in May to 4.7 percent in June. Tucson, as it has all year, had far lower unemployment figures, declining from 4.1 in May to 3.7% in June.
Unemployment levels typically spike upward in June, but this phenomenon did not occure this year. As a result, far fewer people than seasonally expected showed up in the survey as being unemployed. Meanwhile, the seasonally adusted unemployment rate for the nation remained at 5.6 percent. But while the national economy has averaged 5.6 percent for the first half of 2004, Arizona has averaged 5.1 percent, and Tucson has averaged 4.0 percent.
As expected, Tucson's economy showed a loss of mostly seasonal-related jobs in June. According to the survey of businesses, Tucson shed 7,200 jobs in June. The greatest influence on monthly change in June came from education, as state and local public education declined by 7,300 jobs. As mentioned, most of these were seasonal jobs and are expected to return when schools re-open.
Leisure and hospitality (-900 jobs) also experienced seasonal related declines in June. Smaller losses were widespread among other sectors as well. Trade showed a decline of 100 jobs. Wholesale trade showed not losses, while retail lost 100 jobs.
Health care and social assistance jobs continued to expand in Tucson, adding 200 jobs in June. THis sector accounts for nearly 9.5 percent of all jobs in Arizona's economy and has grown by 4 percent since June 2003.
While the service-providing industries (-7,700 jobs) experienced mostly seasonal related losses in June, the goods producing industries (+500) expanded, and also experienced and increase in construction (+400). Construction has contributed nearly one-third (or 16,300 jobs) of all nonfarm jobs added to Arizona's economy since June 2003.
In conclusion, June figures showed that Tucson's economy was dominated by the effects of seasonal losses in education and tourism-related trade and services industries. Most of these jobs and more are expected to return as educational institutions re-open and the tourism industries grow during the second half of 2004 as the national economy continues to strengthen.
