Peninsula unemployment rates still rising despite tourist season, state agency says

North Olympic Peninsula unemployment inched up last month despite an increase of 170 service-providing jobs.

Clallam County’s jobless rate went from 9.9 percent in May to 10.2 percent in June, the state Employment Security Department reported Tuesday.

Jefferson County’s unemployment rate went from 9.4 percent to 9.8 percent last month.

The state added 3,600 new jobs but saw its unemployment rate rise from a revised 9.1 percent in May to a preliminary 9.2 percent in June.

“The bottom line is we’re not producing jobs fast enough,” said Elizabeth Scott, regional economist for Employment Security.

For the state to return to 2008 levels, it needs to create about 6,000 new jobs per month, Scott said.

“We’re just nowhere near those numbers,” she said.

“Things are not moving fast enough.”

Clallam County added 180 private-sector jobs but lost 90 in the public sector last month.

There were 70 new service-providing jobs, 60 new natural resources and mining jobs, and a loss of 40 manufacturing jobs, Employment Security said.

Meanwhile, Jefferson County added 100 service-providing jobs and gained 20 government jobs.

Scott said the increase in service jobs can be attributed to the tourist season.

“Basically, things were really, really flat in Jefferson,” Scott said.

The rise in Peninsula unemployment despite the overall job gains can be explained by commuters who work elsewhere, Scott said.

If someone who lives in Clallam County gets laid off in Kitsap County, for example, that person is counted in the Clallam County unemployment rate.

“A big part of unemployment in Clallam was government,” Scott said.

Most of the government jobs that Clallam County lost were state jobs, she said.

“In both counties together, we’re seeing federal and state jobs feeling the cutbacks because of revenue shortages,” Scott said.

About a third of the jobs on the Peninsula are federal, state and local government jobs, Scott said.

Clallam County had 80 more government jobs in June 2010. Jefferson County had 30 more government jobs last summer.

Unemployment rates in both counties were lower in June 2010 — at 9.6 percent in Clallam County and 8.9 percent in Jefferson County.

Unemployment peaked in both counties in February 2010, when the jobless rates were 12.3 percent in Clallam County and

11.4 percent in Jefferson County.

For Employment Security’s June situation report, visit http://tinyurl.com/ycr6t5x.

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Reporter Rob Ollikainen can be reached at 360-417-3537 or at rob.ollikainen@peninsuladailynews.com.

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