Alabama’s January 2016 Unemployment Rate is 6.2%

Civilian Labor Force Employment at Seven Year High

MONTGOMERY – Governor Robert Bentley on Monday announced that Alabama’s preliminary, seasonally adjusted January 2016 unemployment rate is 6.2%

“We remain committed to lowering Alabama’s unemployment rate, but we are even more committed to making sure that every Alabamian who wants a job has the opportunity to have one,” said Governor Robert Bentley. “We are making significant progress towards that goal.  This month’s jobs numbers are showing some of the best growth we have seen in years, and we are encouraged by the momentum.  We will not stop in our mission to bring quality jobs to Alabama, and help our existing businesses become even more successful.”

“January’s rate contains some interesting and positive data,” Alabama Department of Labor Commissioner Fitzgerald Washington said.  “There is almost no change in the rate, mainly due to the fact that there were more people in the labor force and more people were employed.  These are both good signs, because it means that people are continuing to display confidence in the economy and that they are able to find work. In fact, the number of people counted as employed in January is higher than it has been since October 2008.”

The Civilian Labor Force (CLF) increased in January by 8,183 to 2,154,061.  The number of persons employed increased in January by 8,178 to 2,019,653. The last time this number was at or above this number was in October 2008, when it was 2,021,511.

“Wage and salary employment, which is the measure we use to track job growth, is also showing strides over the year,” Washington added. “It increased by nearly 19,000 jobs, proving to be the strongest January we’ve experienced since 2008, and the fourth strongest January over the last 12 years.”

Wage and salary employment measured 1,930,300 in January 2016. The last time wage and salary employment was at or above this level was in January 2008, when it measured 1,986,000, the strongest January since 2004.  January 2007 and 2006, respectively, took the second and third slots.

Over the year, wage and salary employment increased 18,800, with gains in the education and health services sector (+5,700), the trade, transportation, and utilities sector (+5,400), and the professional and business services sector (+4,600), among others.

Counties with the lowest unemployment rates are: ShelbyCounty at 4.5%, Elmore County and Lee County at 5.3%, and Autauga County and St. Clair County at 5.4%.

Unemployment Rate by County, January 2016

January 2016 Map

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“Seasonal adjustment” refers to BLS’s practice of anticipating certain trends in the labor force, such as hiring during the holidays or the surge in the labor force when students graduate in the spring, and removing their effects to the civilian labor force.  

The Current Population (CPS), or the household survey, is conducted by the Census Bureau and identifies members of the work force and measures how many people are working or looking for work.

The establishment survey, which is conducted by the Bureau of Labor Statistics (BLS), a division of the U.S. Department of Labor, surveys employers to measure how many jobs are in the economy.  This is also referred to as wage and salary employment.