Iowa’s seasonally adjusted unemployment rate decreased to 2.9% in March, down from a revised February rate of 3%, according to a report issued April 18 by Iowa Workforce Development.
The report also indicated that the state’s labor force participation rate fell to 67% in March from 67.2% in February, despite solid job growth.
The U.S. unemployment rate fell to 3.8% in March.
“March employment figures indicate steady progress across Iowa’s economy,” said Beth Townsend, executive director of Iowa Workforce Development, in a release. “Construction expanded for the fifth straight month, while Iowa employers added more than 4,000 jobs in March. This month’s increase followed a historically large increase last month of over 11,000 added jobs and was fueled by private service industries ramping up payrolls. With more than 60,000 jobs currently posted on IowaWORKS.gov, it is clear that employers continue to look for Iowa workers.”
According to the report, the number of unemployed Iowans decreased to 48,700 in March, down from 50,200 in February.
The total number of working Iowans fell to 1,648,200 in March – 2,500 lower than February and 17,400 lower than one year ago.
Iowa establishments added 4,400 jobs in March, lifting total nonfarm employment to 1,612,500 jobs. The March increase, followed an historically large increase in February, was fueled by private service industries ramping up payrolls.
Private service industries gained 3,100 jobs in March, while goods-producing firms added 700 jobs. Government, a sector that includes workers at hospitals and schools as well as federal, state, and local government agencies, increased slightly in February (+600) and is up 5,200 jobs compared to last year.
Professional and business services gained the most jobs in March (+2,200). Administrative support and waste management businesses were responsible for most of the jobs added (+1,400).
Hiring was most evident in employment and landscaping services. Professional, scientific, and technical services also added staff in March (+600). Much of this gain could be attributed to consulting and other technical services.
Trade, transportation, and utilities increased by 1,800 jobs. Wholesale trade added 1,200 jobs, following little change in February. This increase helped offset a slight drop in retail trade (-400).
Construction added 900 jobs, marking the fifth consecutive gain for the sector, which now has risen by 6,100 jobs since October.
The only other major increase was rooted in arts, entertainment, and recreation, which added 800 jobs.
Alternatively, health care and social assistance shed 600 jobs to lead all sectors. This loss was the first since September for this industry.
Other services also shed jobs in March (-500), mostly related to religious, grantmaking, and similar professional organizations.
Over the past 12 months, the education and health care industries have added the most jobs (+6,400). Health care and social assistance have been responsible for most of the jobs gained (+5,300).
Leisure and hospitality are markedly up over the past 12 months (+5,400), with accommodations and food services fueling all the growth.
Conversely, the trade, transportation, and utilities industries have shed the most jobs (-3,100). Those losses were the result of cutbacks in retail and transportation and warehousing, according to the Iowa Workforce Development report.
