Deschutes, Crook county jobless rates explode past 18%; Jefferson tops 14%
(Update: Adding video and comments from regional economist, unemployed Bend resident)
BEND, Ore. (KTVZ) -- On Wednesday, the Oregon Employment Department released new data revealing the steep drop in employment between March and April.
Last month, the total unemployment rate in Deschutes County rose to 18.2%, a dramatic rise from just 4% in March.
Damon Runberg, a regional economist with the Oregon Employment Department, told NewsChannel 21 Wednesday the unemployment rate will continue rising in the next few months, but there is not going to be another large jump in a short period of time.
“We had one of the most robust expansions in Deschutes County, as far as the number of jobs added,” Runberg said. “The sheer number of jobs we lost last month was equal to the jobs the expansion added in the last five years.”
Unemployment in Crook County increased 230% from March to April, but it was not the highest unemployment rate for the county. It peaked at 21.7% in 2009.
Jefferson County’s rate was lower than Deschutes and Crook counties, but was consistent with the U.S. rate of unemployment at 14.4%.
"Based on unemployment insurance claim filing, we know that workers continued to lose jobs at a rapid pace for the second half of April and continuing through May," Runberg added.
NewsChannel 21 spoke with a Bend man, who prefers to be identified only by his first name “Mike." He said he has been on unemployment since January.
Mike worked as a truck driver for a Bend produce company until he was injured in a car accident and could no longer work.
He said he has been unsuccessful trying to schedule a back surgery due to COVID-19.
Mike said he still has his job with the produce company waiting for him, and because of that, his unemployment benefits were cut off.
Then, the COVID-19 outbreak changed everything.
“I’ve got a great job,” Mike said. “I love my job. I can’t wait to get back to work. Unfortunately, I have to get surgery first. If I don’t get that insurance, how am I going to pay for surgery?”
With no unemployment benefits, being unable to speak with a representative at the Oregon Employment Department, and no job, Mike said he could no longer pay rent -- and became homeless.
Mike, a military veteran, said he is grateful for the support he has received from Central Oregon Veterans Outreach and his relatives in Washington state.
On Wednesday evening, Mike gave NewsChannel 21 a positive update. He received a call back from the Oregon Employment Department, telling him they approved his insurance claim and changed his return-to-work date.
Runberg said the COVID-19 pandemic shows how public health and the economy are two sides of the same coin.
“We need to make sure our public health system is prepared, in order to protect our economy as well, because our health and our livelihoods are intricately connected there,” Runberg said. “We’re seeing that reflected in these unemployment numbers.”
Here's Runberg's full monthly report:
With the release of the April 2020 employment and unemployment estimates we get our first glimpse of the substantial impacts of the COVID-19 pandemic on the local economy through the lens of these traditional metrics. Monthly employment losses were unprecedented in this series with the share of jobs lost in Central Oregon higher than the state.
For some context, these employment and unemployment estimates are a reflection of the labor market in mid-April. Based on trends in unemployment insurance claim filing, we know that job losses continued through the remainder of April and into May.
Despite the dramatic rise in the unemployment rate, we likely haven’t reached the peak. Expect the unemployment situation to continue to worsen when the May figures are released on June 23rd.
As of this release date, the April seasonally adjusted unemployment rates are not available for counties due to processing delays caused by large increases in unemployment. Not seasonally adjusted unemployment rates are being used for this news release. They reflect April’s increase in unemployment related to the COVID-19 pandemic. Seasonally adjusted unemployment rates for April will be available at a later date.
Crook County: The non-seasonally adjusted unemployment rate rose to 18.6 percent in April, up from 5.7 percent in March. The rate was the fifth highest of Oregon’s 36 counties. The number of unemployed workers skyrocketed to 1,811, an increase of 230 percent from March. The April 2020 rate is not the highest in the series for Crook County. The non-seasonally adjusted series peaked at 21.7 percent in 2009.
Crook County’s total nonfarm employment dropped by 750 jobs in April (-12.7%). The drop was even larger on a seasonally adjusted basis as the county would typically be in the midst of the summer hiring period.
Monthly job losses were widespread with the largest losses posted in leisure and hospitality (-290 jobs); construction (-120); education and health services (-90); retail trade (-70); manufacturing (-50); and other services (-40 jobs).
Deschutes County (Bend-Redmond MSA): The non-seasonally adjusted unemployment rate rose to 18.2 percent in April, a dramatic rise from 4.0 percent in March. The unemployment rate in April represents the highest rate in the series going back to 1990. The April unemployment rate was the highest of Oregon’s metropolitan areas. There were around 17,550 unemployed workers in April, up from only 3,800 in March.
Deschutes County shed 13,260 total nonfarm jobs in April, down 15.4 percent from March. Once again, the losses are more pronounced on a seasonally adjusted basis when considering the typical hiring we would expect to see during the spring.
Every major industry sector lost jobs in April. The largest losses were posted in leisure and hospitality, which shed nearly 6,800 jobs in April (-51.6%). There were also sizable losses in education and health services (-1,400 jobs); professional and business services (-870); retail trade (-610); manufacturing (-550); and other services (-550).
Jefferson County: The non-seasonally adjusted unemployment rate was 14.3 percent in April, up from 5.4 percent in March. Jefferson County’s rate was notably lower than either Deschutes or Crook counties and more consistent with what we saw nationally (14.4%). The number of unemployed workers rose to 1,409, up from 532 in March.
Job losses in Jefferson County businesses were more consistent with the rest of Central Oregon with employment down 13 percent from March (-840 jobs). As with most counties the largest losses were in leisure and hospitality (-240 job). There were also notable losses in local government, largely concentrated in Indian tribal, as well as manufacturing.
Next Press Releases
The Oregon Employment Department plans to release the May county and metropolitan area unemployment rates on Tuesday, June 23rd and the statewide unemployment rate and employment survey data for May on Tuesday, June 16th.
