July, August, September 2007

Employment Continues to Stay Low and Job Growth Continues for the Alamo Region

Job growth in San Antonio bumped to 1.84 percent (annualized) during the third quarter of 2007, a good sign that employment opportunities will continue to stay strong. The San Antonio MSA third quarter unemployment rate registered at a low 4.23 percent, just below the Texas’ 4.43 percent during the same quarter.

San Antonio’s labor force grew by 1,636 (.49%) people from the second quarter 2007 to the third quarter 2007. For the year, the labor force growth stayed positive at 3,499 people or .38% growth. The number of individuals employed this third quarter dropped by 1,793 (.95%) people since the second quarter 2007, but the annual employment rate continued to stay strong at a positive 12,183 growth rate or 1.38%.

Comparing Large Texas Metro Areas…
During the third quarter of 2007, the San Antonio metro unemployment rate continued to be lower than other large Texas metro areas, with the exception of Ausin-Round Rock, and lower than the State as a whole.

Texas MSA Comparison: 3rd Quarter 2007

The Austin-Round Rock metro areas registered a low 3.72% unemployment during the third quarter 2007, well below the State rate of 4.42% and much lower than Texas’ other large metro areas. Contrastingly, the San Antonio metro’s unemployment rate of 4.22% remained lower than that of its counterparts (with the exception of Austin-Round Rock) and the state as a whole.

The above diagram illustrates the comparative data provided in the above table relative to Texas’ four largest MSA (Metropolitan Statistical Area) economies. The sphere representing each MSA is scaled to reflect the aggregate size of each MSA’s average total nonfarm payrolls for the third quarter 2007.

State and National Unemployment Comparison…
Texas’ unadjusted employment rate for the third quarter remained above the San Antonio rate (4.22%) at 4.42% while the national rate registered higher at 4.68%.

Unadjusted Employment Statistics: 3rd Quarter 2007

For the same period, Texas’ seasonally adjusted unemployment rate registered equally at 4.42%, while the national rate posted at 4.66%.

Seasonally Adjusted Employment Statistics: 3rd Quarter 2007

San Antonio Job Growth…
The San Antonio job market lost 1,700 jobs from payrolls during the third quarter of 2007, for a 0.2% loss during the period. Quarterly losses are typical of the time period as the Government sector drops jobs as schools vacate.

Total Nonfarm Employment Summary: 3rd Quarter 2007

Annual job growth for San Antonio slipped to 1.88 percent (15,300) during the third quarter. The rate of expansion continues to exceed the annual job growth realized by the area in four of the last seven years.

• San Antonio employers dropped payrolls by -0.2 percent during the third Quarter of 2007, a -2000 job decrease over the second Quarter's employment total
• Annual job growth for the region remains strong. The San Antonio MSA registered a solid 1.8 percent (15,000 jobs) annual growth rate during the third Quarter

• The Government sector experienced the largest Quarterly job losses, trimming 6,033 jobs (-4 percent) during the third Quarter. Job losses in Local Government employment accounted for the bulk of the decline, 5,833 jobs (-5.7 percent), as area school districts reduced payrolls during the summer months of July and August.
• The Professional & Business Services sector continues to realized job growth during the third Quarter, expanding payrolls by 700 (0.6 percent). Positive annual growth rate accounted for 2,867 jobs (2.7 percent) of the sector's overall job gains since third quarter 2006
• Job increases occurred in Education and Health services as schools and education related businesses were back in session in September, adding 733 (.06 percent) jobs. The Education and Health Services also posted a positive annual growth rate of 2,600 (2.3 percent) job gains over the third quarter 2006
• The Leisure and Hospitality sector posted a 400 job gains between the second and third quarter 2007, but due to the end of the summer tourist season, Leisure & Hospitality experienced an employment decreased of 1,900 jobs during the month of September. Despite monthly losses, the Leisure and Hospitality sector posted a positive annual growth rate of 2.633 (2.7 percent) jobs gains, over third quarter 2006
• The Trade, Transportation, & Utilities sector posted one of the largest job gains for the Quarter of any sector, adding 1,467 jobs (1.02 percent). Aggressive seasonal hiring among Retailers spurred the sector’s growth as the employer group grew payrolls by 1,033 jobs (1.1 percent) during the three-month period.

For more information about the Alamo region labor market, visit the Alamo WorkSource website at www.workforcesolutionsalamo.org.

Notes

• The San Antonio MSA (or San Antonio Metro) includes the counties of Atascosa, Bandera, Bexar, Comal, Guadalupe, Kendall, Medina, and Wilson
• Data Source: Texas Workforce Commission Current Employment Statistics (CES) & Local Area Unemployment Statistics (LAUS)- as published 8/22/07, www.tracer2.com
• All Quarterly statistics are based on averages of corresponding months data
• Metropolitan Statistical Area- A geographic area with a significant population nucleus, along with any adjacent communities that have a high degree of economic and social integration with that nucleus. (SitesOnTexas)
• All referenced unemployment rates are not seasonally-adjusted