Jobless rate pinches region's employers
(LOREN BENOIT/Hagadone News Network) Trevyn Colvin with Coeur d’Alene Building Supply removes siding from a flatbed truck Friday afternoon in Coeur d’Alene. Labor economists state in-migration is driving demand for housing and a strong year for construction and real estate are expected. The unemployment rate of 4.4 percent is also causing problems for some employers to fill positions.
POST FALLS — The region’s employment picture is like a reflector toy from a Cracker Jack box. Depending on how you look at it, it shows something different.
Kootenai County's jobless rate in February was 4.4 percent — unchanged from January, according to an Idaho Department of Labor report released recently. The rate is sandwiched between the state's number of 3.6 percent and the nation's rate of 4.7.
Sam Wolkenhauer, Labor's regional economist, said the local statistic is a mixed bag, depending on who you ask.
"The labor market is quite healthy right now and seems to have used up most of the excess available labor," he said. "This is reflected in the fact that our employment has been creeping upward slowly and absorbing people who are entering the labor force."
Wolkenhauer said the rate is reflective of what Labor calls "full employment," which means most people who are willing and able to work are employed.
But, from an employer's viewpoint, that poses problems of filling positions.
"I've gotten feedback from numerous employers about the shrinking pool of applicants," Wolkenhauer said. "Besides these personal anecdotes, we definitely are seeing signs that filling open positions is getting harder. Positions are staying open longer, and wages are rising because employers are competing for a smaller pool of available labor."
He said manufacturing and construction, especially the skilled trades in those sectors, are among the industries having issues filling jobs.
"We monitor the length of time that their positions remain vacant and currently those vacancies are at 10-year highs," Wolkenhauer said.
He said he expects employment will grow later this spring and summer.
Wolkenhauer said the fastest-growing industries have included health care, accommodation and food services, and manufacturing.
"Growth has been steady, incremental and broad, indicating that the underlying strength of the local economy is improving rather than simply having a single industry that's booming," he said.
Idaho continues to lead the nation in year-over-year job growth for the sixth consecutive month, the Labor report states.
An additional 2,100 people were added to Idaho’s labor force — the largest January-to-February increase since 2005. The state’s labor force growth was exceeded by February’s employment growth of 2,200, leading to an overall decline of more than 100 people counted as unemployed.
Year over year, Idaho’s nonfarm payroll jobs increased 3.6 percent (24,000 from last February), which was the fastest in the nation. Those additional jobs in Idaho’s economy were spread among most of Idaho’s industry sectors with the largest gains of 10.4 percent in construction and 6.3 percent in financial activities. Manufacturing, along with trade, transportation and utilities, saw the smallest year-over-year growth at 1.2 percent each.