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Flathead jobless rate sinks to a new low

by William L. Spence
| December 24, 2006 1:00 AM

The Daily Inter Lake

More than 1,600 new jobs were created in Flathead County in 2006, which contributed to a record-low unemployment rate, according to preliminary figures from the Montana Department of Labor.

Through November, the department's unadjusted labor statistics indicate that Flathead County's civilian labor force jumped from 43,234 last year to an average of 44,666 this year. The number of unemployed workers also decreased, from 1,917 to 1,702, yielding a net increase of 1,647 jobs.

The average unemployment rate here was 3.8 percent through the first 11 months of '06, down from 4.4 percent last year.

The figures don't indicate whether these were full-time, part-time or seasonal jobs, or which sectors of the economy benefited the most. The numbers could change slightly once December unemployment statistics are released.

Nevertheless, the county's 2006 annual unemployment rate will almost certainly be the lowest since at least 1970.

From 1970 through 1999, unemployment here typically exceeded 7 or 8 percent per year, and the lowest rate was 6.6 percent. Since then, however, more than 8,000 new jobs have been created, according to Department of Labor figures, and the average annual rate has been about 5 percent.

The 1,600 jobs added in 2006 account for about 15 percent of the total statewide job growth for the year.

Lincoln County also is on track to achieve record-low unemployment this year.

For decades, the county had one of the highest unemployment rates in the state, typically running into double digits. During the 1990s, the average annual rate was 13.6 percent.

This year, however, unemployment is at 7 percent through November, compared to 8.2 percent for all of 2005.

Similarly, Lake County and Montana should set record lows this year. Unemployment in Lake County is at 4.8 percent year-to-date, down from 5.3 percent last year. For the state as a whole, the rate through November was 3.5 percent, versus 4 percent in 2005.

Monthly unemployment rates can vary considerably from the annual rate as seasonal jobs are added or lost. In Flathead County, for example, unemployment dropped from a high of 5.7 percent last January to 2.7 percent in August and September.

On the Web:

The Montana Department of Labor's Research and Analysis Bureau Web site is www.ourfactsyourfuture.org

Reporter Bill Spence may be reached at 758-4459 or by e-mail at bspence@dailyinterlake.com