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San Diego County unemployment rate rises to 3.3% in June despite job growth

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Posted at 9:52 PM, Jul 19, 2019

SAN DIEGO (CNS) - San Diego County's unadjusted unemployment rate rose to 3.3% in June, the first increase in the rate since March, according to data released Friday by the California Economic Development Department.

The county's unemployment rate rose from an adjusted 2.7% in May to 3.3% in June. The unemployment rate had steadily declined for much of the year's first half, save for a one-tenth increase from 3.5% in February to 3.6% in March.
3.3% in June.

Despite the unemployment rate increase, the county's total nonfarm employment increased by 7,100 jobs, from 1,510,200 in May to 1,517,300 in June. Month-over-month farm employment stayed steady at 9,000. Multiple industries
showed month-over-month job gains in the thousands, according to EDD data.

The leisure and hospitality industry added 3,400 jobs from May to June, the most of any industry in the county. Much of that increase, per the EDD, was due to businesses like casinos and hotels bulking up their staffs for the summer. The construction, government and manufacturing industries also showed month-over-month gains of more than 1,000 jobs.

Despite the month-over-month increase, the county's unemployment rate remains below last year's June rate of 3.6%. Nonfarm industries added 25,700 jobs from June 2018 to last month while farm employment dipped year-over-year from 9,700 to 9,000.

The professional and business services and educational and health services industries added 8,000 and 7,400 jobs, respectively, far and away the most in the county year-over-year. Construction, manufacturing, leisure and hospitality and government jobs each increased by 2,400 jobs or more as well. The San Diego Regional Chamber of Commerce suggested the data underscore the strength of the county's technology sector.

"The economy continues to get stronger in large part because of San Diego's continued recognition as a technology hub,'' said Sean Karafin, the chamber's vice president of policy and economic research. ``The regional leadership in tech supports other industries such as healthcare, which continues to lead the country in using advanced technologies to improve service.''

The trade, transportation and utilities, information and financial industries lost a combined 4,200 jobs year-over-year, the only industries to show negative growth. The trade, transportation and utilities industry lost the most, according to the EDD, dropping 2,800 jobs from June 2018 to last month. Statewide unemployment remained at 4.2 percent in June, unchanged from the state's rate in April and May 2019 as well as May and June 2018. Nationwide, unemployment rose to 3.7% in June, up from 3.6% in May and April and down from 4% in June 2018.