Jobless figures improve for state, city

JEFFERSON CITY — Missouri experienced a double-digit drop in unemployment in July, according to a report issued by Missouri’s Labor Department.

According to the report, the number of new unemployment claims fell nearly 30 percent in July 2006 compared to July 2005.

In July 2006, the state agency reported there were 29,086 claims for unemployment compensation. A year earlier, there were 37,708 claims.

Labor Department spokeswoman Tammy Cavenders attributed the decrease to the pro-business line toed by Gov. Matt Blunt.

“The Quality Jobs Act, tort reform and workers compensation reform can all play factors in this,” she said, “but there can be several different factors as well.”

“One of the reasons for this is a good positive business climate,” said Greg Ochoa, a spokesman for the Missouri Economic Development Department. “I think Missouri’s economy continues to be strong.”

The Missouri unemployment rate in July was 4.7 percent, lower than the national rate of 4.8 percent. But Bill Niblack, research manager for the Economic Development Department, said he wasn’t fooled by that one-tenth of a percentage point difference.

“Unemployment in Missouri is fairly similar to the national average over the long-haul,” Niblack said.

Niblack doesn’t attribute the decrease in filed claims to policy or a positive business climate. He attributes it to chance.

Whatever the reason for the dramatic drop, Niblack said that the rates will balance out eventually.

“When you have a development that differs from yearly seasonal patterns, you’ll see a major difference in one month,” he said. “But the overall trend will remain the same.”