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Salem hits historic employment level as economy recovers

More people than ever were working in the Salem area last month, another sign of the continuing recovery of the local economy.

The Oregon Employment Department released information Tuesday showing that 3,493 more people were employed in June than the month before.

That pushes the total employed workforce to 203,107. That’s a record, according to Patrick O’Connor, Employment Department regional economist.

The previous peak in employment was two years ago, in July 2019, when 197,324 living in the Salem area were employed.

O’Connor said in a statement that job gains in June “were larger than normal.” He said total nonfarm employment increased by 1,800 when a gain of 200 is more typical.

The June numbers showed that the number of unemployed actually increased – from 10,641 in May to 10,955. O’Connor explained such an increase is typical as young workers enter the labor force during their summer break.

But the total unemployed is down significantly from June 2020, when 18,659 were listed as unemployed.

The Salem area’s seasonally adjusted unemployment rate in June was 5.5% – down from 5.8% the month before and compares to 8.9% a year ago.

The biggest job increase came in the leisure and hospitality industry, which gained 1,300 jobs in June over May. Total employment in the industry in the Salem area stood at 13,500. Manufacturing added 600 jobs, for a total of 12,000, and the category of trade, transportation and utilities showed a one-month increase of 500 jobs for a total of 30,300.

-Les Zaitz