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Texas' unemployment rate drops for the first time since COVID-19 pandemic began
MIAMI, FL - MARCH 10: A Now Hiring sign is seen as the Bureau of Labor Statistics reports that nonfarm payrolls increased by 235,000 in February and the unemployment rate was 4.7 percent in the first full month of President Donald Trump's term on March 10, 2017 in Miami, Florida. (Photo by Joe Raedle/Getty Images)

The state of Texas saw a decrease in the state unemployment rate for the first time since March, according to the Texas Workforce Commission.

In May, the unemployment rate fell to 13.0%. That's the first decrease since the Texas economy was blasted by the COVID-19 pandemic.

That's below the national rate of 13.3%.

RELATED: Texas confirmed COVID-19 case count crosses 100K mark... and growing

TWC also says the economy added 291,000 private sector positions over the past month.

“The Texas Workforce Commission remains determined to help all Texans return to employment or find new careers through innovative skill enhancement programs that will benefit all our communities,” said TWC Chairman Bryan Daniel. "The Texas economy is reopening and TWC will continue to connect job seekers with employers through upskilling and personalized services."

TWC says that in May, the Leisure and Hospitality Industry added 176,400 jobs. Education and Health Services added 51,900 positions and Trade, Transportation, and Utilities added 20,700 positions over the month.


The unemployment rate in Texas is still close to ten percent higher than it was in January, when Texas recorded a 3.5 percent unemployment rate, but it is a sign that points to economic recovery.

In Austin, 11.4 percent is a jaw dropping unemployment number in the Austin area, especially when you compare it to what it was a year ago: 2.4 percent.

And the unemployment rate appears poised to get better. Tamara Atkinson is the CEO of Workforce Solutions Capital Area. “As of today, we had over 1800 job postings with over 3000 unique positions that employers are hiring for right now,” she said. “We're seeing an uptick in health care and food service jobs. So, we are seeing targeting industries, key industries in Austin on the uptick.”

The Workforce Commission says the job growth is due to the reopening of the economy -- but even as the job listings grow, it's easy to feel overwhelmed.

That's where workforce solutions come in -- especially as the state prepares to resume the work search requirements next month -- for those people who are collecting unemployment payments. “We offer personalized assistance. So, we're here to work with the person that someone can talk to get help,” Atkinson said.

Workforce Solutions is hosting a virtual job fair next Thursday June 25.


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