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Unemployment up in Bell Co.
by Stephen Woodward
2 years ago | 1385 views | 0 0 comments | 8 8 recommendations | email to a friend | print
MIDDLESBORO — Employment took a turn for the worse across the state in May, according to estimates by the Kentucky Department of Workforce and Training. Not only did jobless rates in Kentucky hike from 9.7 percent in April to 10.5 percent in May, but the Cumberland Valley region saw significant jumps across the board.

Bell County rose from 10.9 percent in April to 12.3 percent in May; Harlan County rose from 9.8 percent to 11.1 percent; Clay County rose from 12.8 percent to 14.1 percent; Jackson County rose from 15.9 percent to 17.4 percent; Knox County rose from 10.7 percent to 11.8 percent; Laurel County rose from 9.3 percent to 10.2 percent; Rockcastle County rose from 13 percent to 14.3 percent; and Whitley County rose from 10.2 percent to 11.7 percent.

According to Cathy Owens, Manager of the Middlesboro Office of Employment and Training, these numbers are not good for the area.

“To me that’s a very significant number,” said Owens. “Especially in a county this small, with coal being the biggest resource.”

Owens said local coal mining lay-offs have likely had the biggest impact on the unemployment increases, locally. State-wide, she said cuts in the auto parts manufacturing sector have had a huge impact on employment as new car purchases continue to decrease.

However, across the state, coal did seem to fare better. According to statistics from the Office of Employment and Training, the mining and logging sector had 100 more jobs in May 2009. The sector has added 2,300 jobs since May 2008 because of hiring in the coal mining industry.

But Owens said she doesn’t expect it to get better.

“The people I’ve talked to don’t see any signs of improvement at this time,” she said.

Commenting on the way the unemployment statistics are measured, Owens said the measurements don’t take into account people who’ve just quit searching for jobs or who’ve exhausted unemployment benefits.

“I’d say the rate is higher than it actually states that it is.”

According to Dr. Justine Detzel, the Office of Employment and Training’s chief labor market analyst, the state saw a huge monthly increase in job losses.

“In May 2009, Kentucky’s economy continued to lose traction by suffering a 0.7 percentage point increase in the unemployment rate, the second largest monthly increase on records dating to January 1976. The trade, transportation and utilities sector led the employment decline as retailers, wholesalers and transportation companies cut back amid weak demand for products,” said Detzel.

Unemployment statistics are based on estimates and are compiled to measure trends rather than actually to count people working.

Stephen Woodward is a Staff Writer for the Daily News. He may be contacted at swoodward@middlesborodailynews.com.
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