The local unemployment rate reached “historic highs” in January, and the figures could tick up slightly before slowly receding, a local labor analyst said Tuesday.
The combined unemployment rate in Chemung, Schuyler and Steuben counties reached 11.2 percent in January, the highest rate since at least 1990, the earliest year for which statistics are immediately available. The combined unemployment rate was 9.7 percent in December and 9.9 percent in January 2012.
“It’s definitely alarming to see,” said Christian Harris, an analyst with the state Department of Labor.
Typically, the highest nonseasonally adjusted unemployment rates occur early in the year ― employers shed holiday hires and construction slows significantly.
Harris said that helped drive up January’s unemployment rate, but the most significant factor was the closure of Sikorsky in Big Flats, where approximately 600 people were employed last fall.
“Those statistics are heavily dominated by the Sikorsky closure,” Harris said.
Sikorsky’s closure rippled into Steuben and Schuyler counties because unemployment is based on residency, not site of employment.
Harris went on to say that layoffs at Corning Inc. also drove up the unemployment rate.
Late last year, officials said Corning was temporarily laying off 100 workers in its diesel division.
“I think there may have been others, as well,” Harris said.
Harris said February’s unemployment data may be worse than January’s, but he’s optimistic in the broader economy. Recently, it was announced the federal unemployment rate fell to 7.7 percent, its lowest level in years.
“Hopefully, we’ll get some of the national momentum by the middle to the end of 2013,” Harris said.
The local unemployment rate reached “historic highs” in January, and the figures could tick up slightly before slowly receding, a local labor analyst said Tuesday.
The combined unemployment rate in Chemung, Schuyler and Steuben counties reached 11.2 percent in January, the highest rate since at least 1990, the earliest year for which statistics are immediately available. The combined unemployment rate was 9.7 percent in December and 9.9 percent in January 2012.
“It’s definitely alarming to see,” said Christian Harris, an analyst with the state Department of Labor.
Typically, the highest nonseasonally adjusted unemployment rates occur early in the year ― employers shed holiday hires and construction slows significantly.
Harris said that helped drive up January’s unemployment rate, but the most significant factor was the closure of Sikorsky in Big Flats, where approximately 600 people were employed last fall.
“Those statistics are heavily dominated by the Sikorsky closure,” Harris said.
Sikorsky’s closure rippled into Steuben and Schuyler counties because unemployment is based on residency, not site of employment.
Harris went on to say that layoffs at Corning Inc. also drove up the unemployment rate.
Late last year, officials said Corning was temporarily laying off 100 workers in its diesel division.
“I think there may have been others, as well,” Harris said.
Harris said February’s unemployment data may be worse than January’s, but he’s optimistic in the broader economy. Recently, it was announced the federal unemployment rate fell to 7.7 percent, its lowest level in years.
“Hopefully, we’ll get some of the national momentum by the middle to the end of 2013,” Harris said.
