Unemployment in Fresno County held steady in June, but it’s higher than a year ago

Fresno County’s monthly unemployment rate in June was estimated at 7.5%, the third straight month at that level despite an overall decrease of about 4,100 people working compared to May.

Still, figures released recently by the California Employment Development Department also show that the number of people without jobs increased by almost 26% from a year ago, when the unemployment rate was 6.1%. About 34,500 people were out of work last month in Fresno County, compared to about 27,400 a year earlier.

The EDD figures, based on surveys of households, show that an estimated 426,600 Fresno County residents held full or part-time jobs in June compared to 430,700 in May.

The unemployment rate is based on a calculation of the overall available labor force, which last month was about 2% larger than in June 2022. Fresno County’s labor force was estimated at 461,200 in June 2023, compared to 452,300 a year ago.

A separate survey of employers reflects that the total number of jobs grew by 1,100 between May and June – an increase of 600 farm jobs as part of a typical seasonal swing as agricultural activity throughout the county ramped up, and 500 more non-farm jobs, according to Steven Gutierrez, a labor market analyst with the EDD in Fresno.

“Private education and health services posted the largest month-over gain with an addition of 1,200 jobs,” Gutierrez reported. “Health care and social assistance increased by 1,300 jobs, while private educational services fell by 100 jobs.”

“Construction registered payroll growth of 400 jobs,” he added. “The entire gain was in specialty trade contractors.”

The leisure/hospitality sector, which includes workers in restaurants, hotels and other recreation-oriented businesses, saw a decrease of about 800 jobs between May and June. The estimated 37,800 employees in that field in June was also about 200 fewer than a year ago.

Unemployment in Fresno County nearly doubled between February 2020 and April 2020. The number of people out of work peaked at more than 70,000 people out of work in April 2020, the first full month of the coronavirus pandemic. During the same two-month span, employment sank from almost 420,000 people in February 2020 to just over 367,000 in April 2020.

And while employment dipped last month and unemployment was stable, both measures have recovered to exceed their pre-pandemic levels.

There are gaps, however, in exactly how much information can be derived from the employment and unemployment numbers. There is no distinction, for example, between how many of those who have jobs are working full-time versus part-time. There’s no estimate from the state of how many of them may be working multiple jobs to make ends meet.

And the unemployment rate factors only people who are available to work, and it does not account for retired workers, students or “discouraged workers” who have given up a job search and effectively dropped out of the labor market.

Elsewhere in the Valley, employment and unemployment figures reported by the state for June 2023 were:

  • Kings County: 52,500 people employed, down 2.4% from May; 4,800 people unemployed, up 2.1% from May; unemployment rate 8.4%.

  • Madera County: 59,100 people employed, down 1.2% from May; 4,900 people unemployed, unchanged from May; unemployment rate 7.7%.

  • Merced County: 105,100 people employed, down 1.4% from May; 11,000 people unemployed, up 1.9% from May; unemployment rate 9.5%.

  • Tulare County: 191,400 people employed, down 1.6% from May; 21,500 people unemployed, down 0.9% from May; unemployment rate 10.1%. The unemployment rate in Tulare County was the third highest among California’s 58 counties, behind Imperial County at 16.9% and Colusa County at 12.2%

Statewide, California’s unemployment rate ticked up slightly between May and June, rising 0.1% to 4.6%

June’s figures represent a continuation of a historic pattern in which unemployment rates in Fresno County and the Valley typically hover above the statewide rate by several percentage points – a reflection of the region’s reliance on agriculture as an economic engine that is subject to seasonal swings.

Besides the agriculture industry, which provided an estimated 47,700 jobs in June with average weekly wages of about $800 in the fourth quarter of 2022, Fresno’s job market includes employment sectors with a high proportion of low-paying jobs including:

  • Retail sales, about 39,700 workers with an average weekly wage of $789 in the fourth quarter of 2022.

  • Food service, about 30,260 workers with an average weekly wage of $484 in the fourth quarter of 2022.

  • Assistance services for the elderly and disabled, about 22,500 workers with an average weekly wage of $413 in the fourth quarter of 2022.