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We are pleased to launch our inaugural release of local labor data in partnership with our region’s local workforce board, Workforce Solutions Alamo (WSA). Your Chamber sees value in connecting you with local labor data to help inform your decisions, whether you are an employer, educator, or policy maker. Integration and accessibility of information can help us all contribute to the strength of our workforce and our economy as a whole.
Most of this data is released in reports from the Texas Workforce Commission compiled from US Department of Labor and Census Bureau information. Analysis is conducted locally by WSA.
The report shows an unemployment rate for our metropolitan region of 3.9% for March 2023. This is lower than the state’s 4.2% and lower than last month’s 4.3% rate for February 2023. The 3.9% unemployment rate represents 50,202 people seeking meaningful employment out of a total labor force of 1,287,817 people.
Since March of 2022, 44,900 jobs were added in our region, and the labor force grew by 38,608 people.
Of the 11 major industries tracked by WSA, six of them showed monthly gains: Private Education and Health Services, Government, Construction, Other Services, Trade Transportation and Utilities, and the Information Industry. Jobs in Mining and Logging remained steady. Monthly job losses occurred in four major industries: Financial Services, Leisure and Hospitality, Manufacturing, and Professional and Business Services. Click here to view top industries
We hope that you can help us identify areas of improvement both in the marketplace and to these data reports themselves. Our partnership efforts plans to distribute this data monthly and use your feedback to make it more useful and engaging each time.
Some FAQ to help increase your understanding of this data:
Who is included in the labor force?
According to the US Bureau of Labor Statistics, the labor force is made up of those who are employed (part-time, full-time, temporary, or year-round) and unemployed (have looked for a job in the past four weeks and are available to work.)
What does the unemployment rate measure?
The unemployment rate only measures the unemployment among those who are actively seeking a job. Students, retirees, and stay-at-home parents are not counted as part of the workforce. Neither are those who do not meet the criteria for “actively seeking work.” The Bureau of Labor Statistics defines you as unemployed if you don’t have a job, and if, in the last four weeks, you have:
- Contacted
- an employer directly or had a job interview
- a public or private employment agency
- friends or relatives who could provide employment
- a school or university employment center
- Submitted résumés or filled out applications
- Placed or answered job advertisements
- Checked union or professional registers
- Conducted some other means of active job search
If you have done none of the above during the last four weeks and don’t have a job, you are considered neither employed nor unemployed. That means, the official unemployment rate does not count those who’ve given up looking for a job, those who are freelancers/private contractors and are in-between clients, or those who, like stay-at-home-parents, might choose to be employed if better opportunities present themselves.
Why do we report the unemployment rate?
Not having a job can be a sign of hardship for families, because it can mean that an unemployed person’s income drops after losing a job. It is measuring individuals willing to work who are currently looking for work. Some economists think that a more useful measure is the labor participation rate, or ratio of employment to population.
What is the labor participation rate?
The US Bureau of Labor Statistics tracks the labor participation rate as the percentage of the civilian noninstitutional population actively working or looking for work. It only considers those aged 16 or older as part of the labor pool.
100% labor force participation is unrealistic. Most 16-year-olds remain in school, and many continue to college. Plus, this measure includes older Americans who have passed retirement age.
Why is the labor force participation (LFP) rate measured?
A decline in the number of people participating in the labor force can have a negative impact on the overall economy. Some investigators found a link to falling LFP to slowing the growth of the GDP since few people contribute to the nation’s output of goods and services. A lower LFP can also lead to higher tax rates with a narrower tax base in which to draw revenue.
The fact that some people in their prime working age have left the labor force is more of a likely indication of a weakness in the U.S. labor market. One explanation is that there is a skills-to-qualifications mismatch. Thus, despite the number of people who might want a job and are available for work, if they don’t have the skills that employers are looking for, they won’t get hired. Another explanation is the number of discouraged workers who have left the workforce due to circumstances such as lack of affordable child care.
If you have comments on the labor data reports or if you would like to see additional information shared, please contact Katie Ferrier.