The number of newly formed Indiana companies slumped in 2013, the first such dip since the recession, but the small drop could actually be a positive sign for the economy. Established companies have more job openings than a few years ago, meaning workers have less incentive to start their own businesses, as thousands did when the economy tumbled.
Applications are a proxy for layoffs. They appear to have stabilized near pre-recession levels after a period of volatility around the Thanksgiving and Christmas holidays.
The new year looks a lot like the old one in the Senate, with Democrats scratching for votes to pass an agenda they share with President Barack Obama, and Republicans decidedly unenthusiastic about supporting more spending.
The Labor Department said Thursday that the less volatile four-week average rose 8,500, to 357,250. The average was driven up in recent weeks by spikes that reflected seasonal volatility around the Thanksgiving and Christmas holidays.
Job numbers increased faster in Indiana in November than in any other state, the government reported Friday morning. The unemployment rate also dropped 0.2 points, to 7.3 percent.
The unemployment rate fell to nearly a five-year low in September, the Labor Department said Tuesday. Still, the percentage of Americans working or looking for work remained at a 35-year low.
The state saw sizable job increases in manufacturing, health services and educational sectors, but that was offset by decreases in trade, transportation, utilities and construction.
Indiana will soon require beneficiaries to appear in-person at WorkOne centers. The state hopes the counseling that people receive will reduce their job-search time by two weeks and, because they’ll have to show identification, take a big bite out of fraud.
The rate fell because more Americans stopped looking for work and were no longer counted as unemployed. The proportion of Americans working or looking for work fell to its lowest level in 35 years.
Fewer Americans are seeking unemployment benefits, but about 80 percent of the jobs created this year have been lower-paying, part-time positions.
Significant job growth came in the trade, transportation and utilities sector, which added 10,800 jobs. It was the biggest one-month rise in the sector since 1990. However, construction jobs fell by 3,400 and manufacturing dropped by 2,000.
The Labor Department said the rate fell from 7.6 percent to 7.4 percent in June. But that was one of the few good signs in an otherwise lackluster report.
Part-time employment has been outpacing full-time job growth since 2008. Economists cite still-tough economic conditions as the root cause, with some saying President Barack Obama’s 2010 health-care law exacerbates the trend.
Most of the job growth came from the manufacturing sector, which expanded by 4,300 jobs over the month, marking the largest one-month jump in manufacturing since August 2004.
Weekly applications data can be volatile in July. Automakers typically shut their factories in the first two weeks of the month to prepare for new models, which leads to a temporary spike in layoffs.
The job growth suggests a stronger economy and makes it more likely the Federal Reserve will slow its bond purchases before year’s end.
The Labor Department said the four-week average of Americans seeking unemployment aid inched up to 347,250, a third straight increase.
Jobless claims are showing gradual improvement, but for hiring to strengthen enough to lower the unemployment rate to a more normal level, companies must gain more confidence in the economy.
Indiana added 4,400 nonfarm jobs in April and the unemployment rate fell slightly, to 8.5 percent, the Indiana Department of Workforce Development reported Friday morning.
Much of the job growth has come from fewer layoffs. Overall hiring remains far below pre-recession levels.
