State jobless rate soars after attack

Monday, Nov. 19, 2001 | 10:54 a.m.

CARSON CITY -- Unemployment in Nevada shot up to 6.3 percent in October, the first month of measurement after the Sept. 11 terrorist attack, the state reported today.

The state Department of Employment, Training and Rehabilitation said the October rate compared with 4.8 percent one year ago and indicates the initial reaction to the economic downturn. But the department said the full impact won't be known for at least several months. The rate exceeds the national rate of 5.4 percent and California's 5.7 percent rate.

There were an estimated 64,700 people out of work during the month, or 14,000 more than October 1990.

Department Director Myla Florence said it is important to take into consideration the fact that the national economy was showing signs of weakening before Sept. 11.

Total employment in the state fell by 11,300 jobs during the month, mostly in Southern Nevada. Hotels and gaming nearly accounted for the full measure of the decline. There was minimal employment change in other industries although Nevada's pattern of consistent growth was temporarily halted, Florence said.

The department said the jobless rate in the Las Vegas metropolitan statistical area that includes Clark and Nye counties in Nevada and Mohave County in Arizona, rose to 6.7 percent, or 2.3 percentage points higher than a year ago. There were an estimated 55,100 people out of work in the area.

Washoe County reported unemployment at 3.7 percent, up one percentage point from a year ago. There were an estimated 7,000 people jobless.

Total employment statewide fell to 1,065,300, down from 1,076,600 in September.

The Las Vegas area reported employment dropped to 781,600, down from 791,100 in September. Construction fell from 72,700 in September to 71,800 in October. Manufacturing declined by about 100 workers to 24,900; trade increased 100 workers to 174,000 in October; the service industries dropped to 343,100, down from 353,200 in the previous month and government employment grew from 82,800 to 85,100 in October.