Kentucky’s seasonally adjusted preliminary January 2024 unemployment rate was 4.3%, according to the Kentucky Center for Statistics (KYSTATS).
The preliminary January 2024 jobless rate was unchanged from December 2023 and was up 0.2 percentage point from one year ago.
The U.S. seasonally adjusted jobless rate for January 2024 was 3.7%, which was also unchanged from December 2023, according to the U.S. Department of Labor.
Labor force statistics, including the unemployment rate, are based upon estimates from the Current Population Survey of households. The survey is designed to measure trends in the number of people working and includes jobs in agriculture and individuals who are self-employed.
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Kentucky’s civilian labor force was 2,023,947 in January 2024, a decrease of 1,222 individuals from December 2023. The number of people employed in January fell by 1,580 to 1,936,885 while the number unemployed increased by 358 to 87,062.
“There was little change in Kentucky’s labor market from December to January,” said University of Kentucky’s Center for Business and Economic Research (CBER) Director Mike Clark, Ph.D. “The survey of households suggests there were slightly fewer people employed and in the labor force and slightly more people without a job and looking for work. These changes were not large enough to move the state’s unemployment rate, which held steady at 4.3%.”
In a separate federal survey of business establishments that excludes jobs in agriculture and people who are self-employed, Kentucky’s seasonally adjusted nonfarm employment increased by 2,300 jobs to 2,025,500 in January 2024 compared to December 2023. Kentucky’s nonfarm employment was up 20,100 jobs or 1% compared to January 2023.
“The survey of employers suggests that employers continued to add workers to their payrolls in January with the largest gains occurring in the leisure and hospitality; education and health services; and government sectors,” said Clark.
Nonfarm data is provided by the Bureau of Labor Statistics’ Current Employment Statistics program. According to the survey, employment increased for five of Kentucky’s major nonfarm North American Industry Classification System (NAICS) job sectors in January 2024, decreased for five, and was unchanged for one.
The leisure and hospitality sector grew by 1,700 positions from December 2023 to January 2024, representing a gain of 0.8%. This sector reported 2,300 more jobs in January than one year ago. The accommodations and food services subsector was up by 1,600 jobs in January. The arts, entertainment and recreation subsector added 100 jobs from December to January.
“Employment in the leisure and hospitality sector turned upward in January after several months of being virtually unchanged,” said Clark.
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The educational and health services sector expanded by 1,200 positions in January 2024. Employment in the health care and social assistance subsector increased by 1,000 jobs from December to January. The educational services subsector gained 200 jobs. Since last January, this sector has grown by 10,100 jobs or 3.4%.
“The educational and health care sector continues to provide steady employment growth for the commonwealth,” said Clark.
Employment in the government sector increased by 800 jobs from December 2023 to January 2024. The number of jobs increased by 100 in federal government; 200 in state government; and 500 in local government. The total number of government jobs rose by 8,400 positions or 2.8% compared to January 2023.
Employment in Kentucky’s information services sector rose by 500 jobs from December to January. The industries in this sector include traditional publishing as well as software publishing; motion pictures and broadcasting; and telecommunications. The number of jobs in this sector was down 200 from one year ago.
Kentucky’s professional and business services sector added 500 jobs in January 2024, for a gain of 0.2%. From December to January, employment increased by 100 jobs in the professional, scientific and technical services subsector and by 400 jobs in the administrative, support and waste management subsector. Employment was unchanged in the management of companies subsector. The sector has decreased by 3,400 jobs or 1.5% since January 2023.
The number of jobs in the state’s mining and logging sector was unchanged from December to January. This sector had 200 more jobs compared to January 2023.
Kentucky’s manufacturing sector fell by 100 jobs from December 2023 to January 2024. The durable goods manufacturing subsector decreased by 600 jobs, but most of these losses were offset by a gain of 500 jobs in the non-durable goods subsector. Kentucky’s manufacturing employment was up 3,600 positions or 1.4% compared to January 2023.
Employment in the other services sector was down by 300 jobs from December to January. This sector had 1,600 more positions in January 2024 compared to January 2023. This sector includes repairs and maintenance, personal care services and religious organizations.
Construction employment fell by 400 jobs or 0.4% from December 2023 to January 2024, and was up 2,100 positions or 2.4% from one year ago.
Employment in the trade, transportation and utilities sector fell by 700 positions from December to January and was down 2,600 jobs or 0.6% compared to a year ago. Among the subsectors, wholesale trade lost 300 jobs, retail trade gained 100 positions and transportation, warehousing and utilities lost 500 jobs.
Kentucky’s financial activities sector contracted by 900 positions from December 2023 to January 2024 and was down 2,000 jobs from January 2023. Employment was down 700 jobs in the finance and insurance subsector and down 200 jobs in the real estate, rental and leasing subsector.
Civilian labor force statistics include nonmilitary workers and unemployed Kentuckians who are actively seeking work. They do not include unemployed Kentuckians who have not looked for employment within the past four weeks.
Kentucky’s statewide unemployment rate and employment levels are seasonally adjusted. Employment statistics undergo sharp fluctuations due to seasonal events, such as weather changes, harvests, holidays, and school openings and closings. Seasonal adjustments eliminate these influences and make it easier to observe statistical trends. However, due to the small sample size, county unemployment rates are not seasonally adjusted.
Visit the Kentucky Center for Statistics website to learn more about Kentucky labor market information.
Kentucky Education and Labor Cabinet
