Missouri Unemployment Rate Stagnates

The unemployment rate in Missouri has remained basically steady for the first six months of 2021, with no real improvement for job seekers. This is a stark contrast to the trend the state saw after the height of the pandemic in the spring of 2020.

Since January, Missouri’s unemployment rate has remained basically flat. The rate ticked up from 4.2% in May to 4.3% in the June report. The reported January 2021 rate was also at 4.3%.

At the start of the COVID-19 pandemic just over one year ago, the April 2020 rate was 12.5% and decreased monthly at an impressive rate to end the year at 4.4% in December. Since then the downward trajectory has come to a disappointing halt.

The Missouri Economic Research and Information Center says the increase over the last two months appears to be related to a temporary shortage in the supply of semiconductor chips, which caused production slowdowns. The Information Center also speculates the shortage may also hold up production in the upcoming months.

Missouri’s unemployment rate has been below the national rate for every month since February 2020. The national unemployment rate increased from 5.8 percent in May 2021 to 5.9 percent in June 2021. The estimated number of unemployed Missourians was 133,380 in June 2021, up by 4,343 from May’s 129,037.

The largest Missouri job gains were in service-providing industries which added 4,000 jobs; professional and business service-providing industries gained 2,700 jobs, and leisure and hospitality added 1,600 jobs. Government employment also showed an increase of 1,600 jobs, however educational and health services lost 900 jobs last month.

KPGZ News - Brian Watts contributed to this story