March unemployment rate inches to 11.5 percent

[April 20, 2010]  CHICAGO -- The Illinois seasonally adjusted unemployment rate was 11.5 percent in March, up one-tenth from the February rate of 11.4 percent, according to data released Thursday by the Illinois Department of Employment Security. The data also shows Illinois added 3,000 jobs in March.

"Three consecutive months of job growth offers cautious optimism that the effects of this national recession might be softening," IDES Director Maureen O'Donnell said. "It is not surprising that Illinois simultaneously would experience job creation and slight increases in the unemployment rate. As jobs are created, people become more encouraged about their ability to find a job and therefore re-enter the work force."

The March unemployment rate is at its highest level since July 1983. The unemployment rate's three-month moving average is 11.4 percent, up two-tenths from February. The moving average is at its highest rate since August 1983. Job creation for March follows February's initial data that reported 900 fewer jobs and was revised upward to show a net gain of 400 jobs. Monthly revisions are common and are based on new or additional information. In January, job creation was estimated at 26,000 jobs and later revised downward to 23,300.

The three-month moving average of Illinois employment, a broader view of job creation, shows average monthly job creation of 8,900 so far this year. The educational and health services sector, and the trade, transportation and utilities industry sector, paced job gains in Illinois. Job creation, and the corresponding optimism, brought more people into the labor force. There were 765,000 unemployed people in Illinois in March.

The unemployment rate is not the same measure as those collecting unemployment benefits. The unemployment rate identifies people who are out of work and seeking employment. Workers collecting benefits are counted separately. A person who exhausts or is ineligible for benefits still would be reflected in the unemployment rate if seeking employment.

The Illinois Department of Employment Security administers federally funded employment services and unemployment insurance through its nearly 60 offices, including the Illinois workNet Centers. IDES also receives federal grants to provide and analyze labor market statistics and information.

(See tables: Seasonally Adjusted Unemployment Rates; and Illinois Seasonally Adjusted Nonfarm Jobs – by Major Industry)

[Text from Illinois Department of Employment Security file received from the Illinois Office of Communication and Information]