Unemployment rises slightly in coverage area

WASHINGTON — The latest data from Iowa Workforce Development shows a small, but widespread rise in the unemployment rates of Henry, Washington and Jefferson counties compared to last year.

The monthly report from Iowa Workforce Development gave a mixed bag of short-term findings for the region. Henry County’s unemployment rate declined from 4% to 3.8% from June to July of this year, while Jefferson and Washington rose 2.8 to 2.9 and 2.6 to 2.7, respectively, both below the national rate (3.5%) and on par with the statewide number (2.7%.)

Compared to last year, however, all three counties increased their unemployment rates, even as Iowa’s statewide average dropped slightly.

Washington County say the unemployed population of its workforce grow by 8% since 2022, identical to the average change for the rest of the Iowa City Metropolitan Statistical Area, which it is a part of. That makes for a total of 1,500 fewer jobs across the MSA, according to Iowa Workforce Development, which said 400 of those were in “service-providing business,” while the majority were in local government positions.

Washington Economic Development Group Executive Director Mary Audia said that increase wasn’t necessarily a bad thing. At the same time last year, many Washington area businesses were worried about unemployment falling so low they couldn’t find help.

“This slight uptick might help balance out the economy,” Audia said. “I think people are being more careful with discretionary spending, which isn't always a bad thing … WEDG continues to explore ways to improve the economic situation in Washington County. Many of the banks also have financial literacy courses which I would highly recommend.”

Jefferson County, Washington’s neighbor to the south, is not a member of any MSA, but showed a similarly modest unemployment rate increase of 7.4% over the same time span.

Henry County’s change was much more pronounced, with the unemployed population growing by almost a fifth of its former number, from a rate of 3.2% to 3.8%.

Experts say the closure of Iowa Wesleyan University likely had something to do with that. The event turned the community upside-down, and, combined with the local closure of West Liberty Foods in May, brought state program IowaWORKS to Mt. Pleasant for office hours every week that month.

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“It was determined that there may be an extraordinary need for our services in the Mount Pleasant area,” IowaWORKS Operations Supervisor Tim Snyder said in an email to The Union back in April. “With that in mind our leadership … made a plan to provide the Mount Pleasant Community with easier access during this time.”

Still, the mood on the ground in Henry County is far from doom and gloom.

Mt. Pleasant Area Chamber of Commerce Executive Vice President Rachel Lindeen said the community was still a great place to live and work, even if the latest data may not reflect that.

“Our Mt. Pleasant and Henry County community does continue to remain really strong despite the new unemployment numbers,” she said. “When you talk to businesses, things are still really good.”

Comments: Kalen.McCain@southeastiowaunion.com