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September 19, 2014

Today, the California Employment Development Department (EDD) reported a decline in unemployment and an increase in employment numbers for San Diego from July 2014 to August 2014. Highlights from the report include:

• San Diego’s unemployment rate dropped 0.4 percent

• Civilian labor force increased by 5,500

• Civilian employment increased by 12,000

• Civilian unemployment decreased by 6,600

• 3,500 nonfarm jobs were added to the region

• The industry with the largest month-over employment loss was Leisure and Hospitality with -2,700 jobs

San Diego’s unemployment rate dropped from 6.6 percent in July 2014 to 6.2 percent in August 2014, 1.5 percent higher than it was 10 years ago during this time. San Diego’s unemployment rate consistently remains lower than California as a whole. 

This 0.4 percent decrease in San Diego’s unemployment rate resulted from an increase of 12,000 in civilian employment and a decline of 6,600 in civilian unemployment.  

Additionally, the civilian labor force increased by 5,500 workers between July and August. When the number of people participating in labor force increases, the unemployment rate typically increases. However, the large increase in employment in the past month countered the effects and contributed to the drop in civilian unemployment.

The industry with the largest month-over employment gains was Professional and Business Services (2,400 jobs added). However, there were two industries that experienced loss between July 2014 and August 2014. The industry with the greatest month-over-month loss was Leisure and Hospitality with 2,700 jobs lost. 

Compared to last year, Professional and Business Services added 8,400 jobs in the past 12 months. Construction as well as Educational and Health Services each added 6,800 jobs in the past year. 

San Diego County is showing a steady path to recovery. The decrease in Leisure and Hospitality employment may be due to the summer months coming to an end. Many of the jobs in that industry were seasonal, as the tourism industry was in full swing for the summer in San Diego. The increase in civilian labor force and civilian employment shows that workers are more encouraged to search for work again, and they are succeeding.

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