Editor’s note: This story is a component of The Compass Report. The quarterly Compass Report is managed by The City Wire, and sponsored by Arvest Bank. Supporting sponsors of The Compass Report are Cox Communications and the Fort Smith Regional Chamber of Commerce.
While the pace of job growth is not as strong as most Arkansas metro areas, the Fort Smith region had job growth of just over 2% in July, with the labor force growing by just under 2%.
Fort Smith’s metro jobless rate was 5.9% in July, unchanged compared to June, and lower than the 6.3% in July 2014, according to recent data from the U.S. Bureau of Labor Statistics. July’s data is subject to revision.
The number of employed in the Fort Smith region totaled 115,025 in July, down slightly from 115,089 in June, and up an estimated 2,306 jobs compared to the 112,719 employed in July 2014. The June number was the first time employed topped the 115,000 mark since July 2012. The number of employed in the metro area is down 8.25% compared to the revised high of 125,426 in June 2006 – or 10,401 fewer jobs than the peak metro employment. Metro area employment averaged 111,588 in 2014, below the average of 122,993 in 2006.
The size of the Fort Smith regional workforce during July was 122,679, just below the 122,331 during June, but better than the 120,292 during July 2014. The labor force reached a revised high of 132,004 in June 2007, meaning the July workforce size is down 7.06% from the peak number.
All of the eight metro areas in or connected to Arkansas had jobless rate declines in July compared to July 2014. However, six of the eight had jobless rate increases compared to June, with the Fort Smith and Memphis-West Memphis area being unchanged compared to June. During July, the lowest metro jobless rate in the state was 4.3% in Northwest Arkansas and the highest rate was 8.3% in the Pine Bluff area.
FORT SMITH METRO NUMBERS
Unemployed persons in the region totaled an estimated 7,276 during July, up from 7,247 during June, and below the 7,573 during July 2014.
Jobs in the Trade, Transportation and Utilities sector — the region’s largest job sector — totaled 23,500 in July, up from 23,300 in June, and above the 23,300 during July 2014. Employment in the sector reached a high of 24,700 in December 2007.
The Fort Smith area manufacturing sector employed an estimated 18,100 in July, up from 17,800 in June, and unchanged from July 2014. Sector employment is down 34.6% from a decade ago when July 2005 manufacturing employment in the metro area stood at 27,700. Annual average monthly employment in manufacturing has fallen from 27,900 in 2005, 20,700 in 2010, and to 18,100 in 2014.
Employment in the region’s tourism industry was 8,700 during July, down from 9,000 in June and below the 9,200 in July 2014. The sector reached an employment high of 9,300 in May, June and August of 2014. Annual average employment of 9,100 in 2014 was a new record for the metro sector.
In Education & Health Services, employment was 16,100 during July, down from 16,400 in June and down from 16,300 in July 2014. Employment in the sector reached a record 16,700 in October and December of 2012.
In the Government sector, employment was 15,500 during July, down from 17,600 in June and down from 15,600 during July 2014.
NATIONAL NUMBERS
Unemployment rates were lower in July than a year earlier in 359 of the 387 U.S. metro areas, higher in 20 areas, and unchanged in eight, noted the broad BLS report.
The U.S. unemployment rate in July was 5.3%, unchanged from June and down from 6.2% from a year earlier. Arkansas’ jobless rate was 5.6% in July, down from 5.7% in June and down from 6% in July 2014.
Oklahoma’s jobless rate during July was 4.5%, unchanged form June, and up from 4.4% in July 2014. The Missouri jobless rate during July was 5.8%, the same as in June and the same as July 2014.
ARKANSAS METRO AREAS
Fayetteville-Springdale-Rogers
July 2015: 4.3%
June 2015: 4.2%
July 2014: 5%
Fort Smith
July 2015: 5.9%
June 2015: 5.9%
July 2014: 6.3%
Hot Springs
July 2015: 6%
June 2015: 5.7%
July 2014: 6.6%
Jonesboro
July 2015: 5.2%
June 2015: 5.1%
July 2014: 6.1%
Little Rock-North Little Rock-Conway
July 2015: 5.1%
June 2015: 4.9%
July 2014: 5.8%
Memphis-West Memphis
July 2015: 7%
June 2015: 7%
July 2014: 8.2%
Pine Bluff
July 2015: 8.3%
June 2015: 8%
July 2014: 9.3%
Texarkana
July 2015: 5.4%
June 2015: 5.2%
July 2014: 6.6%
FORT SMITH METRO AREA HISTORY
Past annual average unemployment rates
2014: 6.2%
2013: 8%
2012: 8.1%
2011: 8.8%
2010: 8.5%
2009: 8.3%
2008: 5.1%
2007: 5.2%
2006: 4.8%
2005: 4.6%
2004: 5.2%
2003: 5.6%
2002: 5%
2001: 4.4%
2000: 3.7%