Shrinking workforce leads to lower jobless rate

Published: March 22, 2013 

Idaho’s jobless rate dropped slightly in February as the state’s workforce declined for the second straight month.

Unemployment fell one-tenth of a percentage point to 6.2 percent, down 1.3 percent from a year ago.

Idaho’s labor force — those working or looking for work — declined by 900 people from January. The state’s shrinking workforce is a concern because Idaho appears to be creating new jobs faster than the nation and may not have enough people to sustain a strong economic recovery, Idaho Department of Labor officials said Friday.

Labor officials also believe more workers may be leaving self-employment for jobs covered by the state’s unemployment insurance system. They may also be working second jobs. Idaho ranked 10th among the states in 2011 for the percentage of the workforce who hold two jobs at 7.4 percent.

Unemployment in the Boise-Nampa metro area was 6.2 percent, down from 7.5 percent a year ago, with more than 19,000 people out of work.

The total number of jobless Idahoans was 48,200, down from 57,600 in February 2012. Only three counties in Idaho reported jobless rates of 10 percent or above, down from four in January.

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