Jobless Rate Takes Expected Jump in January, Rises to 7.6%

Despite upbeat trends in the local economy, the unemployment rate in Ventura County rose last month, climbing a full point since December, state figures released Friday show.

But work force analysts say that unemployment rates typically drop during the December holiday season, and that more and more jobs are being created overall as the local and state economies continue to rebound.

“This is just a normal trend,” said Sonja Speer of the state Employment Development Department. “It’s gone up from December to January consistently for the last 10 years.”

Unemployment in Ventura County reached 7.6% in January, with more than 29,000 workers unable to find jobs, the report said.

But the numbers are significantly lower than a year ago, when the Ventura County unemployment rate was 8.2% and more than 31,000 people were out of work.

“This is a stellar report,” said Mark Schneipp, an economist with the Economic Forecast Project, a UC Santa Barbara-based research group. “It even exceeded our forecast.”

The total number of jobs in Ventura County rose to 385,500, up nearly 6,000 from a year ago. Nonagricultural jobs climbed nearly 7,400 over the past year, but dropped by almost 3,000 since December, the report said.

Even though most industries reported fewer jobs than in December, almost every segment of the jobs market is employing more people than a year ago, the report states.

“It’s the improved national and California economies,” Schneipp said. “Firms are simply hiring more.”

Service industry jobs accounted for more than 2,000 of the new jobs, a gain of 3% over the last year. Building and construction-related industries also posted sharp gains over the year, adding 1,500 jobs for a 16% increase.

The number of farm-related jobs grew to 14,100, up from 12,500 a year ago, the report said.

The real estate, finance and insurance industries accounted for 700 new positions, while transportation and public utilities each reported 400 more jobs than a year ago.

Schneipp said the most surprising numbers are reports from manufacturers, which added 900 new jobs between January 1995 and January 1996.

“That’s about the biggest increase we’ve seen in one year going back to 1989,” he said. “It’s really a case of increased demand and a better health in the market you’re serving.”

The latest unemployment figures confirm what analysts reported at an annual Ventura County economic seminar held earlier this week in Thousand Oaks: Most indications are that 1996 will be a good year.

Consumer retail spending rose to nearly $4.5 billion in 1995 and is expected to increase by 3.5% this year. The real estate market, meanwhile, is expected to rebound from last year, with average home prices hovering around $200,000.

Statewide, the unemployment rate continues to decline, dropping from 8% to 7.7% between January 1995 and last month. The national unemployment rate, however, rose one-tenth of a point to 6.3% over the same period.