Iowa’s unemployment rate sticks at 2.8% for fourth straight month

Iowa's unemployment rate of 2.8% remains unchanged for the last four months. (Photo by Mario Tama/Getty Images)

Iowa’s unemployment rate remains at 2.8% for the fourth consecutive month while labor participation in the state fell slightly from 66.5% to 66.4%.

Iowa’s unemployment rate puts the state well below the new national unemployment rate of 4.3% for July, according to an Iowa Workforce Development press release. While Iowa’s unemployment rate didn’t change, the number of unemployed Iowans increased from about 46,600 to about 47,600, according to the press release.

The total number of working Iowans is decreasing, with 3,600 fewer working people compared to June . There are a total of about 1,638,000 people working in July 2024 — 21,200 fewer working people compared to July 2023. The press release attributes the declining number of working Iowans mostly to retirement.

Beth Townsend, executive director of Iowa Workforce Development, said in a press release that much of the changes in data can be attributed to broader changes in the national economy.

“July’s report provides evidence of a tightening national economy, consistent with what we are seeing across the country,” Townsend said in a press release. “Some industries, such as advanced manufacturing, have been under pressure for some time, and the impacts of that are beginning to appear in July’s data.”

According to the press release, the education and health services industries have seen about 10,000 new employees since July 2023. Trade, transportation and utilities saw the biggest decrease, with 1,800 fewer employees than last year.

The number of unemployment insurance claims in Iowa increased by nearly 2,200 to a total of over 11,500 claims, according to the press release

Marshall County had the highest unemployment rate among Iowa counties at 5.9% while Iowa’s most northwestern county, Lyon County, had the lowest unemployment rate at 1.7%, according to Iowa Workforce Development data.

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