Polk unemployment rate lowers to 3.5% for August compared to last year

Paul Nutcher, The Ledger
·6 min read
For the Lakeland-Winter Haven region, the August unemployment rate was also 0.7% above the state rate of 2.8%, the DEO said. The labor force in Polk County was 339,505, up 10,786 – an increase of 3.3% – over the year. There were 11,966 unemployed residents in the region.
For the Lakeland-Winter Haven region, the August unemployment rate was also 0.7% above the state rate of 2.8%, the DEO said. The labor force in Polk County was 339,505, up 10,786 – an increase of 3.3% – over the year. There were 11,966 unemployed residents in the region.

The unemployment rate in Polk County was 3.5% in August, which is 1.9% lower than the region's year ago rate of 5.4%, the Florida Department of Economic Opportunity reported on Friday.

For the Lakeland-Winter Haven region, the August unemployment rate was also 0.7% above the state rate of 2.8%, the DEO said. The labor force in Polk County was 339,505, up 10,786 – an increase of 3.3% – over the year. There were 11,966 unemployed residents in the region.

Nonagricultural employment increased by 263,300, an increase of 9,700 jobs – and a 3.8% rise – compared to last year.

Previously: Polk's July unemployment rate at 3.6%, lower than year ago

Also: Polk IT jobs saw 2nd fastest gains in Florida. County unemployment rate at 3.7% for June

Several industries grew as fast or faster in Polk County than statewide since August 2021, the DOE said.

The job category with the highest increase in August year-over-year was Other Services, which increased by 10.3%, with Education and Health Services at second highest with a 7.2% increase.

The other services job classification includes workers in “machinery repairing, promoting or administering religious activities, grantmaking, advocacy, and providing dry cleaning and laundry services, personal care services, death care services, pet care services, photofinishing services, temporary parking services, and dating services,” according to the U.S. Bureau of Labor Statistics.

Job growth

The job growth percentages within the Other Services, and the Education and Health Services sectors put the Lakeland-Winter Haven metro area at the third fastest annual job growth rate in those categories compared to all the metro areas statewide.

Public sector jobs reversed course slightly as the Government job category inched up by 0.7% after losing workers in Polk County for several months earlier in the year.

Troubled water: A floating island blocked the Kissimmee River this week. To residents, they're a nuisance

In addition, several more Polk County industries gained jobs over the year, including: 

  • Trade, Transportation, and Utilities (+3,900 jobs)

  • Education and Health Services (+2,500 jobs)

  • Professional and Business Services (+1,400 jobs)

  • Leisure and Hospitality (+1,200 jobs)

  • Other Services (+700 jobs)

  • Manufacturing (+200 jobs)

  • Financial Activities (+200 jobs)

  • Government (+200 jobs)

The Mining, Logging, and Construction job classification lost 600 jobs over the year. And, the Information industry neither gained nor lost jobs since August of last year.

According to Gary Ralston, a managing partner and owner at Saunders Ralston Dantzler Realty, while Polk has outpaced neighboring Hillsborough and Orange counties in terms of building permits issued, construction workers in Polk County are often counted in other counties within job data.

This shows that construction workers live elsewhere and commute to construction sites in the Lakeland and Winter Haven region, he said.

“Polk County is growing faster than Hillsborough or Orange,” Ralston said.

Clinic expands: Central Florida Health Care opens 13th location in Polk County

According to James Farrell, associate professor of finance and economics and The Anne and Bill France chair in business at Florida Southern College, employers are still struggling to fill positions.

"The labor markets continue to be very tight as many of the jobs lost during COVID were to individuals that decided to retire and are unlikely to return to the workforce," he said. "While there are some recessionary signals in the economy driven by high inflation, the labor markets are pushing back on that trend, leaving us in an economic gray area."

The U.S. inflation rate is currently 8.26%, compared to 8.52% in August and 5.25% last year. Historically, the inflation rate averages 3.26%.

Regarding the unemployment rate, "It is unlikely that unemployment can go much lower and the long run trend of a shrinking labor force may keep unemployment low for some time, both in Polk County and throughout the country," Farrell said.

"In Polk County and, more broadly, Florida, we do have the benefit of a relatively fast-rising population to help fill jobs, but the additional households will also push up demand for goods and services, further increasing labor demands," he added.

In a DEO press release issued Friday, Gov. Ron DeSantis called Florida’s unemployment rate "strong" at 2.7%, and the lowest unemployment rate among the nation’s 10 largest states and a full percentage point lower than the national rate of 3.7% in August 2022.

'Shame on you': Plan to build new schools in rural Lake Hatchineha area opposed by residents

Since January 2020, Florida also leads the nation in business startups with 1,534,221 new businesses, which outpaced second place California by more than 250,000 new business formations, the release said.

For 25 consecutive months, Florida’s statewide unemployment rate has either declined or remained unchanged, the release said. Also since December 2020, Florida’s unemployment rate has been lower than the nation's rate for 21 consecutive months.

Labor force

Florida’s labor force grew by 49,000, a 0.5% increase, over the month in August. The state's private sector employment grew by 24,200 in August, at a rate of 0.3%, which was 0.1% faster than the national growth rate of 0.2%.

The DEO Secretary Dane Eagle called the economy "steady and resilient," adding that Florida was first in the nation for net migration.

Over the year in Florida, total private sector employment grew by 5.6% or by 439,300 jobs, 1.0% faster than the nation's rate of 4.6%.

As of August, Florida employers have added jobs for 28 consecutive months.

Florida’s over-the-year private sector job growth rate has exceeded the nation for 17 consecutive months since April 2021.

'This is exciting': Legislative panel awards $6.2 million in local grants for Polk County

In August 2022, Florida’s labor force grew by 308,000 ( up 3.0%) over the year, faster than the national rate of 2.0% by 1.0%.

Data in the month of August also indicated there are many job opportunities available in Florida, with more than 500,000 jobs posted online.

Nationwide, all 50 states and the District of Columbia had jobless rate decreases from a year earlier, the BLS also reported Friday. Still, unemployment rates were higher in August in 16 states but stable in 34 states and the District.

The nation's unemployment rate rose to 3.7% over the month but was 1.5% lower than in August 2021, the BLS said.

Non-farm payroll employment increased in 10 states, decreased in one state, and was essentially unchanged in 39 states and the District in August 2022, the BLS said. Over the year, non-farm payroll employment increased in 46 states and the District and was essentially unchanged in four states.

Paul Nutcher can be reached at pnutcher@gannett.com.

This article originally appeared on The Ledger: Polk's August unemployment rate lower at 3.5% compared to year ago