LA County Loses 36,000 Jobs in July

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LA County Loses 36,000 Jobs in July

Los Angeles County lost nearly 36,000 jobs in July, primarily due to the seasonal end of the academic year, but also reflecting the first job losses from the twin strikes in the entertainment sector, according to state figures released on Aug. 18.

Despite these jobs losses, the county’s unemployment rate remained unchanged in July from June’s 4.9%, according to the figures from the state Employment Development Department. The rate has hovered at or just below 5% for most of this year.

On the jobs front, the county posted a total of 4.61 million nonfarm payroll jobs in July, down 35,900 from June’s total. The county’s education sector (including both public and private schools) actually exceeded the countywide loss, registering a net loss of 37,000 jobs in July. While most teachers and administrators have full-time contracts, part-time/substitute teachers and other part-time employees typically see their jobs end with the academic year in June.

The state agency takes all this into account by also releasing a seasonally adjusted jobs figure. This adjusted figure showed a net gain of 11,100 jobs in July from June to just over 4.65 million.

Besides education, the motion picture and sound recording industry posted a net loss of 4,000 jobs in July, reflecting the first job losses due to the Writers Guild of America and Screen Actors Guild/American Federation of Television and Radio Artists strikes that began in May and July, respectively. The workers on strike are not counted toward these job loss totals, so these figures reflect ancillary workers, such as production crews, that have had to be let go as film and television production came to a halt.

On the plus side, the health care/social service sector saw the largest net gain in jobs in July, rising by 6,400. Next came the wholesale/retail trade sector, which had a net gain of 4,500 jobs.

For the 12-month period ending in July, employer payrolls in the county increased by 104,300, or 2.3%. Health care/social assistance was the biggest gainer, posting a net gain of 45,000 jobs. Accommodation/food services was next, rising by 24,600 jobs.

The motion picture/sound recording industry saw the biggest net drop of 15,700 jobs over the 12-month period ending in July, followed by construction, with a drop of 2,100.

Turning to the unemployment picture, there was relatively little movement in July. The labor force increased by a mere 2,000 to 5.02 million. The number of county residents reporting they had jobs rose by 4,000 to 4.78 million, while the number of those reporting they were unemployed declined by 2,000.

The county’s 4.9% unemployment rate was higher than the statewide July average of 4.6%, and much higher than the 3.5% nationwide rate. And it was higher than July of last year, when it stood at 4.3%.

The state agency also releases a breakout of unemployment rates by city and community within the county. The two largest cities – Los Angeles and Long Beach – reported unemployment rates of 5.7% and 5.2%, respectively.

Among other cities with labor forces exceeding 10,000, Burbank had the highest unemployment rate at 7.8%, while Lomita had the lowest at 2.2%.

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