Another month, another record: 14.3 percent unemployed

Unemployment inched up in July, setting yet another record as the number of jobless hit 195,800 in the Silver State.

That equates to 14.3 percent statewide driven by a 14.8 percent rate in Las Vegas. Employers eliminated 5,700 jobs in that part of the state in July compared with the same month a year ago. Professional and business services and government payrolls each fell 2,000, accounting for most of the decline.

The Carson City area actually showed a bit of improvement, albeit just a tenth to 13.2 percent unemployment as local government added 100 jobs. There are about 3,800 seeking work in the capital.

Churchill, Douglas and Lyon counties saw decreases in their rate. While Lyon, which has the state's highest unemployment, only saw a tenth improvement to 18.3 percent, Churchill saw a four-tenths decrease in the rate to 10.9 percent and Douglas three tenths to 14.7 percent.

But those numbers can be a bit misleading. While Douglas reported 100 additional jobs compared with June, Churchill and Lyon reported about the same total employment but reductions in the size of the county labor force of about 100 each.

That is an example of what economist Bill Anderson described as the big weakness in the announced unemployment rate. Because that rate only counts the jobless who are actively seeking work, it underestimates the total number of unemployed. Not included in the numbers are those workers who have given up looking.

According to the Bureau of Labor Statistics, Nevada's actual unemployment rate through the second quarter of 2010 is 21.5 percent - 8.4 percent higher than the announced rate of 13.1 percent that same quarter.

Tiny Storey County reported the same number of jobless as in June - 320. But because the number of jobs available dropped by 20, the rate rose a tenth to 13.3 percent.

The Reno-Sparks reporting area was at 13.6 percent - the same as in June. But total employment went down 2,600 compared to July 2009 - 2,400 of that total in reduced government staffing. The area lost 1,100 jobs from June to July this year.

July's numbers mark the 16th consecutive month the rate has risen to a new record but, on the other side of the coin, it's the smallest one-month increase of the year - just a tenth added to the seasonally adjusted rate and two-tenths on the unadjusted rate.

The trade, transportation and utilities category added another 800 jobs in July. That sector is up 3,500 jobs this calendar year so far. The mining industry also helped out, adding another 200 jobs to the 900 created statewide since January. Those additions were almost entirely in the Elko/Eureka reporting area which saw its unemployment rate drop five tenths to 8 percent compared with June.

The situation was helped by the fact the construction industry, where employment has been in free-fall for nearly three years, lost only 100 jobs in July.

The number of people seeking unemployment benefits, however, has decreased significantly. New claims peaked at 36,414 in December 2008. In July, initial claims totaled just 20,990 - 42.4 percent fewer. Total continuing claims peaked at 393,388 in March 2009 but, as of July, had fallen to 199,875.