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N.C. unemployment rate climbs to 11.1 percent

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Comments (7)

Friday, June 19, 2009

(Updated 1:50 pm)

By
Associated Press

RALEIGH (AP) — North Carolina's unemployment rate climbed to 11.1 percent in May — hitting a new peak since the state started such measurements more than three decades ago, the state Employment Security Commission said today.

The number of unemployed North Carolinians topped 500,000 — an all-time high. The state's jobless rate a year ago was 5.9 percent.

Just six states had higher unemployment rates in May, with Michigan leading the country at 14.1 percent in May and South Carolina fourth at 12.1 percent. Forty-eight states and Washington, D.C., recorded unemployment rate increases in May compared to April.

"While we continue to have job announcements in areas across North Carolina, we are still experiencing some job losses in many job sectors, this also being seen across the country," ESC Chairman Moses Carey said.

After a long run in which government employment had some of the best job security, the sector shed 4,000 employees in May. Manufacturing continued to suffer as companies cut 3,800 workers.

Since the start of the recession in December 2007, North Carolina's manufacturing companies have cut nearly 16 percent of their work force.

Hotels, amusement parks and other companies in the leisure and hospitality sector added 2,900 jobs in the buildup to summer.

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Gator

June 19, 2009 - 10:09 am EDT

Purdue signs a bill to KILL the tobacco industry, one of the few profitable industries in North Carolina. 1 out of 10 people you know are unemployed. Jimmy Carter would be proud. The state is already borrowing money from the Federal Government to pay unemployment.
Does anyone see the outlook getting better? All the companies are leaving the state! Oh wait, I did get an email they opened up a new Burger King in Burlington. And Purdue wants to raise taxes on the already over taxed citizens.

Andrew Brod

June 19, 2009 - 3:39 pm EDT

Of course this is dumb. Tobacco farming was killed years ago when the federal government got rid of price supports (known as quotas). And tobacco manufacturing accounts for only 0.3% of North Carolina jobs, which means it's no longer a big deal for the state economy. Of course it's a big deal to those who work in that industry, but it's not like anything that cripples tobacco will hurt the state economy any more. And the new tobacco tax won't cripple that industry anyway. That's the nice thing about selling an addictive product--people are dying to get it! Whether selling at their current prices or at higher tax-augmented prices, the tobacco companies will be just fine.

As for the economic outlook, it actually is getting a bit better. We're in the process of bottoming out (which you have to do before things can get better). Unfortunately, you can't see that by looking only at the unemployment rate, which is a lagging indicator of the end of a recession. So we'll be out of the recession before unemployment starts falling. One employment measure that's a leading indicator is hours per week. When business starts revving up, employers ask more of their existing workers before they hire new people. So when that starts picking up, it's a good bet that things will get better soon.

Finally, in case Gator hasn't noticed, the entire country is in a recession, so it's not like "all the companies are leaving the state" and setting up shop elsewhere. Companies are going out of business everywhere.

Gator

June 19, 2009 - 4:04 pm EDT

Andrew put down the Obama juice, it's clouding your judgment to make a rational statement. I love it when you libtards make outrageous claims “Its Bottom out" .. If you had a slight clue on the bottom I’m sure you would be on Warren Buffett staff. You were probably saying things would get better under Obama. They haven’t and your new governor isn’t doing anything besides the old TAX it up on the working class.
By the way : Tobacco employs 65,000 in North Carolina. And that is not including the companies that support Tobacco companies. You better get out a more reliable source otherwise learn your facts before trying to outsmart a GURU.

Gator

June 19, 2009 - 4:12 pm EDT

Oh and here is more encouraging news, North Carolina is 7th in the nation for unemployment. And 1 of 15 states receiving Federal Money to pay our unemployment benefits.

No worries folks Andrew say we are at the bottom.

Andrew Brod

June 20, 2009 - 11:40 am EDT

If Gator were to give this a little thought (and I realize that this might be tough), he/she might realize that bottoming out doesn't mean that things are good. It means we're at the bottom, and that's bad. In fact, in this recession, it's more accurate to say it's horrible. This is the longest and deepest recession since the Great Depression. The only good news about being at the bottom is that things might soon start getting better.

Moreover, I don't think we're quite at the bottom yet. Things will probably continue to get worse for a few more months. Much of the "good" news we're seeing is that things are getting worse at a slower rate than they did for a number of months.

Other than correcting Gator about the tobacco industry, my only points were (a) there actually is a teeny bit of light at the end of the tunnel, and (b) you can't see it by focusing solely on the unemployment rate. None of what I said is liberal or conservative--it's just data, and reasonable people understand that. Others, such as Gator, will drink whatever juice they drink.

Gator

June 21, 2009 - 12:01 pm EDT

Andrew, are you one of those people who ask what is is? Come on man, stop wasting space and say something with TRUTH. Are we at the Bottom? You don’t have a clue but yet you spew comments around like libtard at a Obama convention. Needless to say you just contradicted your statements from before. I’m finished with you its apparent you are naive as you are incompetent. Find some link to back up your garbage or quit posting.

Gator

June 19, 2009 - 2:28 pm EDT

33,000 jobs lost in the last year alone in the triad and Perdue smiles as she signs laws against Tobacco.
People wake up...She should sign laws against MC'd's and Pepsi. Have you not seen the amount of Fat people in this state.