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Web posted Sunday, February 6, 2005

Unemployment up in December

By the Alaska Journal of Commerce

Alaska's unemployment rate rose six-tenths of a percentage point in December to 7.6 percent, according the Alaska Department of Labor and Workforce Development.

The rise in the unemployment rate is typical of this time of year when seafood-processing employment drops to its low point for the year. Employment in the construction industry also fell by 1,200 jobs in December, following expected seasonal patterns that generally result in further declines through January or February, the state labor department reported.

Preliminary December estimates of payroll employment show a monthly decline of 2,300 jobs, with nearly all of the losses coming in seafood processing and construction. Most other sectors saw small increases or little change.

Anchorage's unemployment rate rose by two-tenths of a percentage point to match the national rate of 5.1 percent. Fairbanks and Juneau saw greater increases of six-tenths of a percentage point to 6.2 and 6.4 percent, respectively.

The Wade Hampton area recorded the state's highest December unemployment rate at 25 percent, a 1.3 percent increase over November.

The state had 2,700 more payroll jobs in December 2004 than it did in December 2003, an over-the-year growth rate of nearly 1 percent. Health care and construction were the two strongest performers, adding a combined 2,300 new jobs statewide.

Alaska's seasonally adjusted employment rate was 7.3 percent for December while the nation's seasonally adjusted rate was 5.4 percent.

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