DES MOINES (SPECIAL) – Iowa’s seasonally adjusted unemployment rate was reported at 6.7 percent for October, while the September rate was also revised downward to 6.7 percent. The state’s jobless rate stood at 6.5 percent one year ago.

“After two quarters of weak job growth, Iowa’s companies hired workers at a particularly strong pace in October,” said Elisabeth Buck, director of Iowa Workforce Development. “The October payroll numbers confirm that the statewide economy regained momentum early in the fourth quarter.”

The statewide estimate of unemployed persons edged down to 112,400 in October from 112,800 in September. The level stood at 108,300 last October.

The total number of working Iowans rose slightly to 1,561,700 in October from 1,561,600 in September, but was 6,100 less than the year ago total of 1,567,800.

Seasonally Adjusted Nonfarm Employment

Iowa’s total nonfarm employment increased by 8,100 in October, bringing the current figure to 1,479,200. The monthly gain was larger than anticipated, and brings total nonfarm employment to 9,900 above last year’s level. Additionally, the strength of this month’s performance halts two consecutive months of contractions in total nonfarm employment. All of the gains in October occurred in the private service sectors.

In October, professional and business services added 3,500 to lead all industries. Increased hiring was reported by staffing agencies, as firms responded to increased business, and an improving economic climate. Elsewhere, health services was responsible for most of the increase in education and health services, up 2,400 for the month. Leisure and hospitality and financial activities added 1,300 jobs and 1,100 jobs, respectively. Information gained 400 jobs since September, and other services was up 200. On the other hand, construction and manufacturing shed 300 jobs each, while trade and transportation lost a slight 100 jobs.

Compared to last year, the Iowa economy has advanced by 9,900 jobs. While this month’s increase is positive news, Iowa still falls far behind pre-recession levels. Professional and business services reflected the strongest turnaround, increasing by 10,500 since last October. Manufacturing was a distant second with an over-the-year gain of 4,900, followed by education and health services, up 3,300 jobs. Alternatively, trade and transportation led all super sectors with losses of 6,400. This sector has been adversely affected by a weak retail trade industry (-3,600 jobs). Government trails last year’s level by 2,500 jobs due to budget cuts in local government and the early retirement program offered by the State.