Unemployment in Benton County has now hit levels not seen since the Ford administration, according to the latest data from the state Employment Department.
The county's jobless rate was 7.7 percent in January, the department reported Tuesday, up from a revised estimate of 6.1 percent in January. That's the highest since January 1976, when unemployment was at 9.4 percent, according to Pat O'Connor, a regional economist with the department.
Previous high points - all in January - were 10 percent in 1975, also under Gerald Ford; 8 percent in 1974 and 8.5 percent in 1971, during the Nixon years; and 7.7 percent in 1958, the last month of Eisenhower's first term and the first month unemployment data were kept for Benton County.
The numbers are even worse now than during the early 1980s, the last time a severe recession hit the region.
"Even back in January '83, which was pretty much as bad as it got, Benton County was only at 7.2 (percent)," O'Connor said. "This may be as bad as Benton County's seen in our recent history."
An estimated 3,329 Benton County residents were out of work in January, from a civilian labor force of 43,415. Total nonfarm employment was 37,620, down 540 jobs from January 2008, when the jobless rate was 4.2 percent.
Private sector industries adding jobs over the previous 12 months included education and health services (up 60 jobs), leisure and hospitality (up 40), other services (up 20) and information (up 20).
Durable goods manufacturing, a sector dominated by Hewlett-Packard, slashed 490 jobs during that same 12-month period. Natural resources, mining and construction cut 190 jobs, professional and business services chopped 130 and financial activities axed 120.
The situation was even worse in Linn County, where unemployment hit 13.3 percent in January, with an estimated 7,569 residents out of a job from a civilian labor force of 56,819.
The national and state unemployment rates also grew in January. Adjusted for seasonal fluctuations, the U.S. average was 7.6 percent, up from 7.2 percent in December, while the Oregon average was 9.9 percent, up from 8.3 percent in December.
O'Connor expects mid-valley jobless rates to keep climbing over the next several months as the local economy digests the latest round of job cuts at Hewlett-Packard. The high-tech company reportedly laid off another 250 workers last week at its Corvallis campus, which employs around 2,000 workers.
"It's tough when you know more bad news is coming," O'Connor said.
Bennett Hall can be reached at 758-9529 or bennett.hall @lee.net.
AT A GLANCE
UNEMPLOYED: 3,329 of 43,415 civilian workers (7.7 percent)
NONFARM EMPLOYMENT: 37,620, -540 from Jan. 2008
ADDING JOBS: Education/health services, +60; leisure/hospitality +40; information +20; other services +20
losing jobs: Durable goods manufacturing -490; natural resources/mining/construction -190; professional/business services -130; financial services -120
IN LINN COUNTY: 13.3 percent unemployment rate
Posted in Local on Wednesday, March 4, 2009 12:00 am Updated: 10:35 pm.
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