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US Regional and State Unemployment, 2008 Annual Averages
added: 2009-03-02

Annual average unemployment rates rose in 2008 in all 4 regions and in 46 states and the District of Columbia, declined in 1 state, and were unchanged in 3 states, the Bureau of Labor Statistics of the U.S. Department of Labor reported. Employment-population ratios decreased in all 4 regions and in 45 states and the District of Columbia, increased in 3 states, and were unchanged in 2 states. The U.S. jobless rate climbed by 1.2 percentage points over the year to 5.8 percent, while the national employment-population ratio fell by 0.8 point to 62.2 percent. Most of the deterioration in the labor market occurred late in the year.

Regional Unemployment

All four regions posted statistically significant unemployment rate increases from 2007: the West (+1.5 percentage points), South (+1.2 points), and Midwest and Northeast (+1.0 point each). In 2008, the West and Midwest registered jobless rates, 6.2 and 6.1 percent, respectively, that were significantly higher than the U.S. rate (5.8 percent), while the Northeast and South both had rates that were significantly below it, 5.4 and 5.5 percent, respectively.

All nine geographic divisions reported statistically significant over-the-year unemployment rate increases in 2008: the Pacific (+1.6 percentage points), South Atlantic (+1.5 points), Mountain (+1.3 points), East South Central (+1.2 points), East North Central (+1.1 points), Middle Atlantic (+1.0 point), New England (+0.9 point), West North Central (+0.6 point), and West South Central (+0.5 point). The Pacific registered the highest unemployment rate in 2008, 6.8 percent, followed by the East North Central at 6.6 percent. The divisions with the lowest jobless rates in 2008 were the West South Central at 4.8 percent, and West North Central at 4.9 percent. Five divisions reported jobless rates that were significantly below the national rate of 5.8 percent in 2008: the Middle Atlantic, Mountain, New England, West North Central, and West South Central. Two divisions - the East North Central and Pacific - recorded rates that were significantly higher than the U.S. rate.

State Unemployment

In 2008, 39 states and the District of Columbia posted statistically significant unemployment rate increases, while the remaining 11 states recorded unemployment rates that were not appreciably different from the previous year, even though some had changes that were at least as large numerically as the significant changes. Rhode Island had the largest jump in its jobless rate (+2.6 percentage points). Florida and Nevada reported the next largest rate increases (+2.1 and +2.0 percent-age points, respectively). Twenty-one additional states and the District of Columbia recorded increases in their unemployment rates of at least 1.0 percentage point. The remaining 15 states with significant rate changes experienced increases ranging from +0.4 to +0.9 percentage point.

Michigan reported the highest unemployment rate, 8.4 percent in 2008, followed by Rhode Island and California, 7.8 and 7.2 percent, respectively. The District of Columbia recorded an unemployment rate of 7.0 percent in 2008. South Dakota posted the lowest jobless rate among the states, 3.0 percent, followed closely by Wyoming at 3.1 percent, and North Dakota at 3.2 percent. Twenty-six states had unemployment rates that were significantly lower than the U.S. rate of 5.8 percent, and 14 states and the District of Columbia recorded rates significantly above it.

Regional Employment-Population Ratios

In 2008, all four regions registered statistically significant declines in their employment-population ratios - the proportion of the civilian noninstitutional population 16 years and over with a job. The Midwest experienced the largest over-the-year decrease in its employment-population ratio (-1.1 percentage points), followed by the South (-0.9 point), West (-0.8 point), and Northeast (-0.4 point). Despite the large decline in its employment-population ratio, the Midwest continued to report the highest proportion of employed persons, 63.8 percent, while the South, at 61.1 percent, and Northeast, at 61.8 percent, recorded the lowest proportions in 2008. The West posted an employment-population ratio of 62.6 percent. The Midwest and West both had ratios that were significantly higher than the national figure of 62.2 percent, and the South had an appreciably lower ratio.

Seven of the 9 divisions registered statistically significant decreases in their employment-population ratios in 2008. The East North Central and East South Central reported the greatest declines (-1.2 percentage points each), followed closely by the South Atlantic (-1.1 points). Significant over-the-year decreases in employment population ratios also occurred in the Mountain and Pacific (-0.8 per-centage point each) and New England and West North Central (-0.7 point each). In 2008, the East South Central again recorded the lowest proportion of employed persons (57.8 percent), with the Middle Atlantic (61.0 percent), West South Central (61.7 percent), and Pacific and South Atlantic (61.8 percent each) posting the next lowest ratios. The West North Central again registered the highest employment-population ratio (67.1 percent), followed by the Mountain (64.6 percent), New England (64.1 percent), and East North Central (62.4 percent). Five of the 9 divisions reported statistically significant differences in their ratios from that of the U.S. - the Mountain, New England, and West North Central divisions recorded employment-population ratios that were measurably higher, and the East South Central and Middle Atlantic divisions had ratios that were significantly lower.

State Employment-Population Ratios

In 2008, 28 states registered statistically significant decreases in the proportion of employed persons, while the remaining 22 states and the District of Columbia did not have significant changes. Rhode Island experienced the largest over-the-year decline (-2.2 percentage points), followed by Idaho (-2.0 points). Fifteen other states reported significant decreases in their employment-population ratios from -1.0 to -1.9 percentage points, and the remaining 11 states had significant declines from -0.4 to -0.9 point.

West Virginia and Mississippi again reported the lowest ratios among the states (53.2 and 55.9 percent, respectively). Nine other states had employment-population ratios in 2008 that were below 60.0 percent. Three states in the West North entral division again recorded the highest ratios: North Dakota (71.8 percent), Nebraska (71.0 percent), and South Dakota (70.6 percent). Twenty states and the District of Columbia registered employment-population ratios that were significantly above the U.S. ratio of 62.2 percent, and 15 states had ratios that were appreciably below it. The remaining 15 states recorded ratios that were not measurably different from that of the nation.


Source: U.S. Department of Labor

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