State's unemployment rate down to 10 percent in August

The Illinois seasonally adjusted statewide unemployment rate decreased 0.4 points to 10 percent in August, according to figures released today by the Illinois Department of Employment Security.

Slight increases and decreases in the rate are to be expected in a recession. The three-month moving average remained at 10.2 percent, its highest level since 1983.

"For many months, we have encouraged people to be optimistic and realistic. These numbers likely reflect the fluctuation that happens in every recession," Director Maureen O'Donnell said in a statement. "We encourage people to use our services to compare their skill sets to the changing job market and take advantage of training opportunities that are available."

Illinois payroll employment declined by 19,200 jobs in August. Although the pace of job loss has slowed, it has been in the 15,000 to 20,000 range for four consecutive months.

Manufacturing posted its first gain (2,100 jobs) in 19 months and its largest gain in 38 months, part of which could be attributed to the cash for clunkers program. Construction (up 500 jobs) and Information (up 900 jobs) sectors reported small increases following 11 straight months of losses.

Employment in the Trade and Transportation sector dropped 6,200 jobs in August, its biggest loss in eight months. Payroll jobs in Professional and Business Services decreased 5,400.

Nationally, the August unemployment rate increased 0.3 to 9.7 percent, its highest level in 26 years. Total non-farm payroll fell for the 20th consecutive month (down 216,000), bringing total national job loss to 6.9 million since the onset of the recession in December 2007.

The unemployment rate is not the same measurement as the one used to determine the number of people collecting unemployment insurance. The unemployment rate is determined through a statistical calculation based on a national sample survey. In contrast, the number of people collecting unemployment insurance is an actual count of those persons who seek benefits and remain eligible to receive those benefits.