Table 3 National Employment Indicators (First Quarter) 2023 First Quarter
2022 First Quarter
Unemployment Rate
3.5
3.6
Labor Force Participation Rate Employment-Population Ratio
62.6 60.4
62.4 60.1
Description: • Unemployment Rate: The number of unemployed as a percentage of the labor force. • Labor Force Participation Rate: The percentage of the population that is either working or actively looking for work. • Employment-Population Ratio: The share of the total population that are employed. Analysis: • The unemployment rate of 3.5% matches historically low rates prior to the pandemic despite rising interest rates. • The Labor Force Participation Rate (LFPR) includes those people who are working or are unemployed but are actively looking for work. It is an important gauge of the society’s overall labor market capacity. The LFPR changes as people enter and leave the labor force over time. In February 2020 before the pandemic, the LFPR was 63.4%. Since the Covid-19 induced drop to 60.2% in April 2020, the LFPR has slowly increased, now standing at 62.6% which is still lower than February 2020. Retirements of baby boomers account for most of the reduction in LFPR. • The Employment – Population (EP) Ratio differs from LFPR in that it doesn’t include those who are unemployed and are actively looking for work. Like the LFPR, the employment – population ratio continues to slowly rebound.
Central Wisconsin Report - Spring 2023
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