Northeastern States Experiencing Highest Unemployment Rates

Nonfarm payroll employment increased in all 50 states and the District of Columbia in June, the Bureau of Labor and Statistics said Friday.

What Happened: Payroll employment increased nationwide despite national unemployment levels remaining in the double digits.

Massachusetts had the highest state unemployment rate at 17.4% in June, with New Jersey (16.6%) and New York (15.6%) close behind.

Thirty states have unemployment rates lower than the national average of 11.1%, and 10 states having rates that are higher than the national average.

Why It’s Important: Twenty-seven states saw their unemployment rate decrease by over 2%. Nevada’s unemployment rate decreased by a massive 10.6% from May, and this is largely attributed to the reopening of some casinos. 

California saw over 558,000 jobs return, New York employers added over 300,000 to payrolls.

Many states are still being hit by the tourism slowdown, keeping unemployment still extremely high.

Despite these modest gains in some areas, other reports released this week showed a decline in hours worked and average hourly earnings.  

While people are returning or starting a new job, wages and time spent at those job are down.

What’s Next: July’s State Employment and Unemployment news release is on Friday, Aug. 21.

Look for possible effects as some of the nation enters a new wave of shutdowns, and also whether Congress extends PPP for businesses. If they don't, expect July’s numbers to show an increase as layoffs continue.