Buckeye on Ohio’s Jobs Report |
Ohio’s Job Market Sends Conflicting Messages in May
Ohio’s unemployment rate jumped from four percent in April to 4.2 percent in May, while the national unemployment rate increased from 3.9 percent to four percent, indicating that Ohio is falling further behind the national average. In comparison, the labor force participation rate indicated better news, increasing from 61.8 percent to 61.9, while the federal labor force participation rate fell from 62.7 to 62.5 percent.
While Ohio’s unemployment rate has increased, Ohio’s May jobs report does offer some good news. Employers reported adding 22,900 private-sector jobs led by jobs in healthcare, science, and tech. And revisions to last month’s report reveal that Ohio added 25,000 more jobs than initially reported. Furthermore, unlike April—when both the household and payroll surveys showed a weakening employment situation—May’s payroll survey shows a strengthening job market.
Ohio’s unemployment rate has steadily increased over the past year as the demand for workers has eased and the number of jobs declined. However, Ohio’s job market is in good shape as private businesses continue to add workers and create jobs. As the 2024 fiscal year ends and tax revenues slow, Ohio policymakers must protect these workers by preparing and passing a budget that constrains spending and avoids tax increases.
