State unemployment falls below national rate

Tuesday, Aug. 20, 2002 | 11:12 a.m.

CARSON CITY -- Nevada's unemployment inched down to 5.4 percent in July, falling lower than both the national rate and California's rate.

But a report issued Monday by the state Department of Employment, Training and Rehabilitation shows the continued softness of the casino industry, which had fewer people on the job this July than a year ago.

The department estimated that statewide there were 58,500 people out of work, about 2,600 fewer than in June. The rate dropped from 5.5 percent in June to 5.4 percent in July with the national rate at 5.9 percent and California at 6.3 percent.

"Nevada's labor market continues to demonstrate strength simply by holding steady," Gov. Kenny Guinn said. "The statewide unemployment rate has remained almost static since April.

"I'm encouraged by this trend and hope it continues, which is a sign that our economy is recovering."

Last week Guinn ordered state government budgets cut by 3 percent because of the continued slump in tax revenues.

Monday's report said hotels, casinos and recreation facilities statewide had 240,800 employees in July, 6,700 less than a year ago or a drop of 2.7 percent.

The jobless rate in the Las Vegas metropolitan area declined from 6 percent in June to 5.8 percent in July with 48,300 people out of work. Employment in the hotels, gaming and recreation business fell 2.8 percent to 189,500 in comparison to July 2001.

Myla Florence, director of the department, said the state was holding its own in most areas.

"Nevada is showing strength," Florence said. "Many states are faring far worse economically and from an employment-unemployment standpoint."

Statewide there were 1,067,400 employed, a gain of 1.3 percent from a year ago in July. Mining jobs fell 9.9 percent but construction employment increased by 2.7 percent to 94,800 working.

The department said statewide, manufacturing was off 0.6 percent to 46,300; trade gained 2.6 percent to 227,4000; and government workers increased 2.9 percent to 122,3000.

The Las Vegas metropolitan statistical area that includes Clark and Nye counties in Nevada and Mojave County in Arizona reported total employment at 788,400 for July, up 1.7 percent from a year ago.

Construction jobs rose 2.2 percent to 74,900; manufacturing was up 1.6 percent to 26,000 jobs; trade gained 2.9 percent to 171,600; and government employment jumped 4.2 percent to 80,000.

Washoe County reported a 4.4 percent jobless rate, down from 4.8 percent in June. There were an estimated 8,400 people out of work. Total employment reached 199,1000, up 0.6 percent from a year ago.

The department said the Carson City area that includes Carson City, Douglas, Lyon and Storey counties registered a 5.2 percent jobless rate, down from 5.9 percent in June. There were an estimated 3,160 out of work in this area. Total employment was up 1.6 percent to 57,210 compared to last year.

Elko and Eureka counties reported unemployment declined from 5.4 percent in June to 4.8 percent in July with 990 people out of work. Total employment was 19,550, down 0.7 percent from a year ago.