(Des Moines) Iowa’s seasonally adjusted unemployment rate held steady at 3.5 percent in December, unchanged from November but slightly higher than 3.3 percent one year ago, according to new workforce data. The state’s labor force continued to grow, with participation rising to 67.7 percent as Iowa added 4,600 workers during the month. The total number of unemployed Iowans dipped to 61,400, while employment increased to 1,688,700 — up 5,000 from November and 27,300 from a year earlier. Nationally, the U.S. unemployment rate fell to 4.4 percent.
Despite gains in the labor force, Iowa businesses shed 3,300 jobs in December, bringing total nonfarm employment to 1,595,500. Losses were concentrated in the private sector, including goods-producing industries and private services. Retail trade led the declines with 1,500 jobs lost, followed by accommodations and food services (-1,800), wholesale trade (-1,000), and manufacturing (-1,300). Government employment increased by 1,100 jobs, driven by local government hiring, while federal employment declined due to budget cuts.
Over the past year, Iowa has added a net 2,700 jobs. Construction saw the strongest growth, adding 7,100 positions, while education and health services gained 5,900 jobs. Health care and social assistance accounted for most of that increase. Meanwhile, leisure and hospitality experienced the largest annual decline, shedding 3,800 jobs, followed by professional and business services and the trade, transportation, and utilities sector.
