Economist: Jobs rate shows improving trend

The falling unemployment rate in Wichita shows an improving jobs trend in this aviation manufacturing hub that was hard hit by the economic downturn, an economist said.

The unemployment rate in Wichita fell in February to 8.4 percent, down from 8.7 percent the month earlier, according to the Kansas Department of Labor. It is also better than the 8.9 percent unemployment rate in February 2010.

“We’re seeing a trend, and that trend is in the right direction,” said Friends University economist Malcolm Harris.

But, he then cautioned, “We’ve got a long way to go.”

Unemployment in the city peaked in July 2009 at 10.3 percent.

For the past 18 months it has hovered in the 8 percent range. That compares to an unemployment rate of 6.2 percent in 2009 and 3.7 percent in 2008.

The Wichita Eagle reports that there may be hints of a pickup in jobs.

Wichita employment has ranged between 286,000 and 287,000 since August, with a slight bump in December for Christmas hiring. In February, employment rose above 288,000.

“We’ve done nothing but grow since last year,” said Phillip Hayes, vice president of at the staffing agency the Arnold Group.

Hours worked by his temporary workers were 85 percent higher in February than in February 2010. Demand has continued to grow since April.

The conversion of those temporary workers to full time is just beginning, he said, adding some employers are reluctant to convert their temporary workers to regular employees fearing demand may drop.

Hayes said the strongest demand in Wichita is for manufacturing workers.

Wichita’s unemployment rate compares to the 7.2 percent unemployment rate for Kansas. The state’s unemployment dropped from 7.4 percent in January and 7.5 a year ago.