Arkansas Jobless Rate Rises For Fourth Straight Month

Arkansas’ August unemployment rate rose to 8.3% – the fourth straight month of an increase and another 24-year high – as the number of those without jobs continues to rise.

In August, another 1,200 Arkansans joined the jobless rolls, according to the Arkansas Department of Workforce Services. For the month, there were 1,235,800 in the state’s civilian labor force, while an estimated 112,000 were unemployed.

“Arkansas’ unemployment rate rose one-tenth of a percentage point in August, as the civilian labor force and the number of employed continued to decline," said DWS Communications Director Kimberly Friedman.

Arkansas’ jobless rate has moved from its year low of 7.7% in April 2011 to its current rate of 8.3%.

One year ago, unemployment stood a full half-percent lower at 7.8%. In July 2011, unemployment was 8.2%. The U.S. jobless rate was unchanged at 9.1%.

The companion monthly survey of employers showed that key industry sectors were volatile. Construction jobs tumbled by 1,300 between July and August. Leisure and hospitality employment took a seasonal downturn of 1,000.

Employment in the education and health services rose by 1,000 and government jobs jumped by 6,700 as the teacher workforce returned from summer break.

During the last 12 months, leisure and hospitality jobs have grown by a net 6,000 new workers, while professional and business services have climbed 3,100 jobs higher.

Manufacturing employment has fallen by 5,100 workers in the last year, while construction jobs have declined by 1,600.

Rising unemployment couldn’t come at a worse time as the state and nation grapple with a variety of economic indicators and consumer confidence issues that suggest a waning recovery. Also, unemployment benefits in Arkansas have come under renewed scrutiny when a Wall Street Journal analysis of federal labor statistics showed that Arkansas may have overpaid $161 million in jobless claims during the past 3 years.