THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Friday, December 8, 1995 TAG: 9512080629
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY MYLENE MANGALINDAN, STAFF WRITER
LENGTH: Medium: 52 lines
The number of jobless in Hampton Roads dropped in October because people returned to work at schools and retailers geared up for the holidays.
The local unemployment rate fell in October to 4.7 percent, or 34,260, down from 4.9 percent, or 36,020, in the previous month, according to the Virginia Employment Commission, which released the monthly unemployment report Wednesday.
That's also a decrease from the 5.2 percent, or 37,270 jobless, in October 1994.
``In the fall months, all the schools are on line,'' said William F. Mezger, chief economist at the VEC. ``When they come back at the end of the year, that adds a considerable amount to employment.''
He added, ``October is the first month of the build-up for the retail sector.''
The state unemployment rate fell to 4.4 percent, the lowest October rate since the 3.8 percent recorded in October 1989.
Nonfarm employment and average weekly manufacturing wages reached an all-time high in Virginia during October.
Nonfarm employment hit 3.112 million in October, surpassing the previous record of 3.107 million set in June.
Average weekly earnings rose above the $500 mark for the first time, to $502.25.
Three of the five largest metropolitan areas - Hampton Roads, Northern Virginia and Richmond-Petersburg - saw their jobless figures drop.
``You have a nationally expanding economy that affects us positively; you have aggregation of the military that's offsetting the downsizing,'' said Gil Yoachum, an economics professor at Old Dominion University.
Company expansions and new corporate arrivals in Hampton Roads bode well for the economy's future growth, economists say.
``I think that Hampton Roads is going to look better in '96 than it has the last couple of years,'' Mezger said. ``It seems like the big defense cuts are pretty much behind you. The area has diversified over the least decade.'' ILLUSTRATION: Graphic
Area Unemployment
Oct. 1994: 5.2%
Sept. 1995: 4.9%
Oct. 1995: 4.7%
KEYWORDS: EMPLOYMENT JOBLESS RATE by CNB