Increase in Iowa's Unemployment Rate in November Notwithstanding Job Growth
In November, Iowa reported a slight increase in unemployment rate, as shared by Iowa Workforce Development. The unemployment rate rose to 3.3%, an increase of 0.1% from October and 0.2% from the previous year. Despite this, the state currently has more job vacancies than unemployed workers. Over 62,000 job openings were posted on the IWD’s website, compared to 57,200 unemployed Iowans.
In terms of employment, November witnessed an overall addition of 4,700 jobs. Over the past year, the job market has expanded by over 10,000 jobs. Some losses were noted, with 6,700 jobs lost, yet overall employment is still 8,100 higher than in November 2022.
Health care sector notably gained 1,000 jobs in November, pointing towards a recovery since the outset of COVID-19. This sector has added a total of 8,500 jobs in 2023. Total statewide employment reached 1.67 million by November – a decrease from October but an increase from the year before.
The labour force participation rate slipped from 68.4% in October to 68.1% in November, a slight drop from 68.2% the year before. Nevertheless, it still surpasses the national rate of 62.8%. Largest job gains were seen in trade and construction, while losses were mainly in professional and business services.
Unemployment claims rose to 9,617 in November, corresponding to $14.8 million in benefits. By comparison, 8,270 claimants in October received a total of $11.7 million. The slight increase in unemployment and claims does not overshadow the ongoing job growth, particularly in sectors such as health care.