WASHINGTON: Buoyed by an improving economy, Orange County job seekers poured into the labor force in June, boosting the county’s unemployment rate. Last month, 12,100 local residents began looking for work, more than the usual number at this time of year when many high school and college graduates enter the job market.
Since not all new job seekers find work right away, the county’s unemployment rate spiked to 4.4 percent from 3.6 percent in May, according to the state’s Employment Development Department. The hefty rise can be seen as “good news,” said Cal State Fullerton economist Mira Farka, as it indicates the county’s labor force, which consists of those who are working as well as those seeking jobs, is recovering steadily from the recession. “People are feeling more comfortable about looking for work,” she added. However, monthly unemployment and labor force numbers are based on a small U.S. Census survey of 5,500 Californians, and are often revised at the end of the year.
Chapman University economist Raymond Sfeir predicted this month’s unemployment jump, which he called “ridiculously high,” would be reduced in the state’s eventual benchmarking revisions. A year ago, Orange County’s jobless rate stood at 4.5 percent, only a tenth of a percentage point higher. More significant, the economists said, is that Orange County continues to outpace the state and the nation in employment growth.
Local employers created 5,700 new positions last month, for a year-over-year rise of 3.2 percent, boosting payrolls to a total of 1,589,800 workers. Year-over year, the county added 49,400 jobs. “That’s fantastic,” Farka said. “It’s stellar.” The job numbers are based on a survey of 58,000 California businesses, which economists see as a better indicator of prosperity than the unemployment rate. Statewide, the number of jobs also grew at a robust pace, 2.9 percent year over year. Unemployment ticked up to 5.4 percent from 5.2 percent, as the number of seasonal job seekers also spiked.
