MD unemployment rises for third straight month

Maryland's unemployment rate rose again in May, to 6.8 percent.  The labor force shrank last month by 1,800 people, and the number of unemployed Marylanders looking for work went up by 2,354. In math terms, that means that the numerator went up while the denominator went down, which equals a larger percentage (or rate, in this case).

Looking at the establishment data (remember this is a different measure of employment that looks at jobs, not who fills them, so some jobs may be filled by people living out of state or with multiple jobs), most industries lost jobs, though a few gained. The worst losses were in construction (-4,600), professional and business services (-3,100), government (-1,300), and leisure and hospitality (-1,100).  Education and health services added 2,100 positions, and trade, transportation, and utilities added 1,500. Overall, Maryland businesses had 7,500 fewer employees in May, compared to the month prior.

In other employment news, the U.S. Chamber of Commerce just released their annual report ranking states on economic growth, job creation, and innovation.  Maryland came in fifth overall, with top-25 rankings in all seven performance measures.  This is one of many reports comparing state business climates, and advocates of tax-cut only policies often point to those reports which rate Maryland's business climate poorly.  This report, from a decidedly pro-business organization, highlights that these rankings depend much more on methodology than anything else.