In Kansas for January 2021, the labor force shrank while the number of people working rose, resulting in a drop in the unemployment rate.
Data released this week from the Bureau of Labor Statistics, part of the United States Department of Labor, shows a mixed employment picture in Kansas for January 2021.
(Click charts and tables for larger versions.)
Using seasonally adjusted data, from December 2020 to January 2021, nonfarm employment in Kansas rose by 10,000 jobs (0.7 percent). Over the year, the number of Kansas nonfarm jobs for January 2021 was lower by 66,400 (4.6 percent) over the same month last year. This is using seasonally adjusted data. The non-adjusted figure is 68,000 fewer jobs (4.8 percent).
Over the year (January 2020 to January 2021), the Kansas labor force rose by 2,256 people (0.2 percent) using seasonally adjusted data, with a fall of 15,983 (1.1 percent) over the last month. Non-seasonal data shows a rise of 23,222 (1.6 percent) in the labor force over the year.
The Kansas economy had been adding jobs each month since May, but there was a decline in September. Since then, the monthly jobs count has both risen and fallen by small amounts, but the increase of 10,000 in January is significantly larger. There are now 93,900 more jobs in Kansas than in April 2020, the low point since the pandemic. There are 64,100 fewer jobs than in February 2020, just before the pandemic.
The number of unemployed persons fell from December 2020 to January 2021 by 19,635 (27.4 percent). The unemployment rate was 3.5 percent in January, up 0.4 percentage points from one year ago, and down 1.2 percentage points from last month.
Comparing Kansas to the nation: Using seasonal data, the number of Kansas nonfarm jobs is 4.64 percent lower than 12 months ago, while nationally, the same statistic is 6.28 percent lower. Non-seasonal data shows the number of Kansas nonfarm jobs is 4.81 percent lower than 12 months ago, while nationally, the same statistic is 6.07 percent lower.
Click charts and tables for larger versions.
In the following chart showing job changes from the previous month, the magnitude of the changes in April through August overwhelms the other months. Since then, changes have been smaller, and both rising and falling, although January saw a large positing upswing.
In the following chart of job levels from the same month one year ago, the recent monthly figures show the recovery slowing for both Kansas and the nation.
In the following chart of unemployment rates, we see that the rate in Kansas is lower than the national rate, both before and after the pandemic.
In the following chart of changes in the labor force for Kansas and the nation, the labor force has both grown and shrank since the pandemic.
For industry groups, the following charts show the number of employees in various industries in January 2020 and January 2021.
This chart uses the same data, but shows the percent change from January 2020. The Leisure and hospitality category is still the lowest, proportionally, followed by Mining and logging and Information. The only industry group to gain employees is Trade, Transportation, and Utilities.
The report for this month from the Kansas Department of Labor is here. The report from BLS may be found here.
