Virginia’s August Unemployment Rate and Labor Force Participation Rate Hold Steady, Employment Increases by 7,348 to 4,488,510

RICHMOND— Virginia’s seasonally adjusted unemployment rate in August remained unchanged at 2.5 percent, which is 0.3 percentage points below the rate from a year ago. According to household survey data in August, the labor force increased by 3,966 to 4,601,469 as the number of unemployed residents decreased by 3,382 to 112,959. The number of employed residents increased by 7,348 to 4,488,510. Virginia’s seasonally adjusted unemployment rate is 1.3 percentage points below the national rate, which increased by 0.3 percentage points to 3.8 percent.

The Commonwealth’s labor force participation rate remained unchanged at 66.7 percent in August. The labor force participation rate measures the proportion of the civilian population age 16 and older that is employed or actively looking for work.

In August, Virginia’s nonagricultural employment, from the monthly establishment survey increased by 6,700 to 4,156,800. July’s preliminary estimate of employment, after revision, increased by 3,000 to 4,150,100. In August, private sector employment increased by 2,500 to 3,415,400 while government employment increased by 4,200 to 741,400. Within that sector, federal government jobs increased by 300 to 185,700, state government employment increased by 1,200 to 161,800, and local government increased by 2,700 to 393,900 over the month.  

Seasonally adjusted total nonfarm employment data is produced for eleven industry sectors. In August, five experienced over-the-month job gains, and six experienced a decline. The largest job gain occurred in Government (+4,200) to 741,400. The second largest job gain occurred in Trade, Transportation, and Utilities (+2,200) to 668,200. The third largest job gain occurred in Education and Health Services (+2,000) to 579,400. The other gains were in Financial Activities (+900) to 217,200; and Information (+900) to 73,100.

The largest job loss occurred in Construction (-1,400) to 212,100. The second largest job loss occurred in Miscellaneous Services (-800) to 193,700. The third largest job loss occurred in Leisure and Hospitality (-600) to 405,700. The other losses were in Professional and Business Services (-500) to 813,200; Manufacturing (-100) to 245,800; and Mining and Logging (-100) to 7,000.

Nonfarm Employment in Virginia*
Seasonally Adjusted

Industry

Employment

July 2023 to
August 2023

August 2022 to
August 2023

August
2023

July
2023

August
2022

Change

% Change

Change

% Change

Total Nonfarm

4,156,800

4,150,100

4,091,100

6,700

0.2%

65,700

1.6%

Total Private

3,415,400

3,412,900

3,372,600

2,500

0.1%

42,800

1.3%

Goods Producing

464,900

466,500

462,800

-1,600

-0.3%

2,100

0.5%

Mining and Logging

7,000

7,100

7,200

-100

-1.4%

-200

-2.8%

Construction

212,100

213,500

210,300

-1,400

-0.7%

1,800

0.9%

Manufacturing

245,800

245,900

245,300

-100

-0.0%

500

0.2%

Service-Providing

3,691,900

3,683,600

3,628,300

8,300

0.2%

63,600

1.8%

Private Service Providing

2,950,500

2,946,400

2,909,800

4,100

0.1%

40,700

1.4%

Trade, Transportation, and Utilities

668,200

666,000

668,900

2,200

0.3%

-700

-0.1%

Information

73,100

72,200

70,800

900

1.2%

2,300

3.2%

Financial Activities

217,200

216,300

217,600

900

0.4%

-400

-0.2%

Professional and Business Services

813,200

813,700

810,800

-500

-0.1%

2,400

0.3%

Education and Health Services

579,400

577,400

557,000

2,000

0.3%

22,400

4.0%

Leisure and Hospitality

405,700

406,300

393,500

-600

-0.1%

12,200

3.1%

Miscellaneous Services

193,700

194,500

191,200

-800

-0.4%

2,500

1.3%

Government

741,400

737,200

718,500

4,200

0.6%

22,900

3.2%

Federal Government

185,700

185,400

187,100

300

0.2%

-1,400

-0.7%

State Government

161,800

160,600

152,800

1,200

0.7%

9,000

5.9%

Local Government

393,900

391,200

378,600

2,700

0.7%

15,300

4.0%

*Current month’s estimates are preliminary.

From August 2022 to August 2023, the VEC estimates that total nonfarm employment in Virginia increased by 65,700 to 4,156,800, private sector employment increased by 42,800 to 3,415,400, and government employment increased by 22,900 to 741,400 jobs. Within that sector, federal government jobs decreased by 1,400 to 185,700, state government employment increased by 9,000 to 161,800, and local government increased by 15,300 to 393,900 over the year.

For the eleven industry sectors in Virginia over the year, eight experienced over-the-year job gains, and three experienced a decline. The largest job gain occurred in Government (+22,900) to 741,400. The second largest job gain occurred in Education and Health Services (+22,400) to 579,400. The third largest job gain occurred in Leisure and Hospitality (+12,200) to 405,700. The other gains were in Miscellaneous Services (+2,500) to 193,700; Professional and Business Services (+2,400) to 813,200; Information (+2,300) to 73,100; Construction (+1,800) to 212,100; and Manufacturing (+500) to 245,800.

The largest job loss occurred in Trade, Transportation, and Utilities (-700) to 668,200. The second largest job loss occurred in Financial Activities (-400) to 217,200. The third largest job loss occurred in Mining and Logging (-200) to 7,000.

Total Nonfarm Employment in Virginia*
Seasonally Adjusted

Area

Employment

July 2023 to
August 2023

August 2022 to
August 2023

August
2023

July
2023

August
2022

Change

% Change

Change

% Change

Virginia

4,156,800

4,150,100

4,091,100

6,700

0.2%

65,700

1.6%

Blacksburg-Christiansburg-
Radford MSA

80,200

80,900

80,600

-700

-0.9%

-400

-0.5%

Charlottesville MSA

123,400

123,700

120,800

-300

-0.2%

2,600

2.2%

Harrisonburg MSA

72,000

72,100

69,900

-100

-0.1%

2,100

3.0%

Lynchburg MSA

105,000

105,400

103,600

-400

-0.4%

1,400

1.4%

Northern Virginia MSA

1,577,200

1,572,700

1,548,800

4,500

0.3%

28,400

1.8%

Richmond MSA

710,800

711,800

703,100

-1,000

-0.1%

7,700

1.1%

Roanoke MSA

165,200

164,900

162,300

300

0.2%

2,900

1.8%

Staunton MSA

53,200

53,200

52,200

0

0.0%

1,000

1.9%

Virginia Beach-Norfolk-
Newport News MSA

791,300

794,200

791,600

-2,900

-0.4%

-300

-0.0%

Winchester MSA

70,800

70,800

70,100

0

0.0%

700

1.0%

*Current month’s estimates are preliminary.

Seasonally adjusted total nonfarm employment data is produced for ten metropolitan areas. In August, two experienced over-the-month job gains, two remained unchanged, and six experienced a decline. The largest job gain occurred in Northern Virginia (+4,500) to 1,577,200. The second largest job gain occurred in Roanoke (+300) to 165,200.

The largest job loss occurred in Virginia Beach-Norfolk-Newport News (-2,900) to 791,300. The second largest job loss occurred in Richmond (-1,000) to 710,800. The third largest job loss occurred in Blacksburg-Christiansburg-Radford (-700) to 80,200. The other losses were in Lynchburg (-400) to 105,000; Charlottesville (-300) to 123,400; and Harrisonburg (-100) to 72,000. Staunton and Winchester remained unchanged.

Over the year, eight experienced over-the-year job gains, and two experienced a decline. The largest job gain occurred in Northern Virginia (+28,400) to 1,577,200. The second largest job gain occurred in Richmond (+7,700) to 710,800. The third largest job gain occurred in Roanoke (+2,900) to 165,200. The other gains were in Charlottesville (+2,600) to 123,400; Harrisonburg (+2,100) to 72,000; Lynchburg (+1,400) to 105,000; Staunton (+1,000) to 53,200; and Winchester (+700) to 70,800.

The largest job loss occurred in Blacksburg-Christiansburg-Radford (-400) to 80,200. The second largest job loss occurred in Virginia Beach-Norfolk-Newport News (-300) to 791,300.

Not Seasonally Adjusted Data

Virginia’s unadjusted unemployment rate increased by 0.4 percentage points to 3.1 percent in August. It has decreased by 0.2 percentage points to 3.1 percent compared to last year. Compared to a year ago, the number of unemployed decreased by 7,940 to 140,912, household employment increased by 161,448 to 4,475,762, and the labor force increased by 153,508 to 4,616,674. Virginia’s not seasonally adjusted unemployment rate is 0.8 percentage points below the national unadjusted rate, which increased by 0.1 percentage points to 3.9 percent.

Compared to last month, the August unadjusted workweek for Virginia’s 161,300 manufacturing production workers remained unchanged at 41.7 hours. Average hourly earnings of private-sector production workers decreased by $0.19 to $24.87, and average weekly earnings decreased by $7.92 to $1,037.08.

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Technical note: Estimates of unemployment and industry employment levels are obtained from two separate monthly surveys. Resident employment and unemployment data are mainly derived from the Virginia portion of the national Current Population Survey (CPS), a household survey conducted each month by the U.S. Census Bureau under contract with BLS, which provides input to the Local Area Unemployment Statistics (LAUS) program (often referred to as the “household” survey). Industry employment data is mainly derived from the Current Employment Statistics (CES) survey, a monthly survey of approximately 18,000 Virginia businesses conducted by BLS, which provides estimates of employment, hours, and earnings data broken down by industry for the nation as a whole, all states and most major metropolitan areas (often referred to as the “establishment” survey). Both industry and household estimates are revised each month based on additional information from updated survey reports compiled by the BLS. For national figures and information on how COVID-19 affected collection of the BLS establishment and household surveys in April 2020, refer to the BLS August Employment Situation press release for details.

The statistical reference week for the household survey this month was the week of August 6-12, 2023.

The Virginia Employment Commission plans to release the August local area unemployment rates on Wednesday, September 27, 2023. The data will be available on our website www.VirginiaWorks.com. The September 2023 statewide unemployment rate and employment data for both the state and metropolitan areas are scheduled to be released on Friday, October 20, 2023.


Files detailing August’s unemployment numbers are available below:


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