Year's job losses a record at 8,100
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By Monica Chen

mchen@heraldsun.com; 419-6636

DURHAM -- The four counties comprising the Durham metro area lost a record 8,100 jobs in the past year, with the heaviest losses occurring in manufacturing and professional and business services.

This was the area's largest over-the-year loss going back to 1990. In the past two decades, there have been only four other years with losses, ranging from a slight decline of 100 jobs in 1998 to the more substantial loss of 3,500 payroll employment in 2003.

The December jobs data reflects seasonal hiring in addition to regular employment.

"This is the deepest recession that we've seen, so it's not that surprising," said Mark Vitner, an analyst with Wells Fargo in Charlotte.

The Durham Metropolitan Statistical Area includes Durham, Chatham, Orange and Person counties. Overall, the area's unemployment rose to 7.7 percent for December 2009 from 6.1 percent a year ago.

Manufacturing in the area shed 3,700 jobs over the year, nearly one-tenth of the industry. Professional and Business Services lost 2,400 jobs, followed by Construction, which shrank by 1,100 jobs, or 11.6 percent of the industry.

The individual counties didn't see much of a change at the end of 2009. From November to December, Durham County's unemployment rate remained steady at 7.9 percent. Orange County saw a slight decline from 6.3 percent to 6.2 percent, and Wake County saw a slight increase, from 8.3 percent to 8.4 percent.

Chatham County's unemployment rate jumped to 7.9 percent in December from 7.5 percent in November. Person County's jobless rate also increased, to 10.8 percent in December from 10.6 percent in November.

The seasonally adjusted unemployment rate, according to Vitner, is actually higher.

By his calculations, the Triangle's unemployment rate was 9.0 percent for December, and the Durham MSA rate was 8.2 percent.

"I think we have the highest unemployment rates we've seen going all the way back to the 1980s," he said.

Vitner added that the recession did appear to have ended last year and that the Triangle could very well add 13,000 jobs in 2010, 4,000 of which will be in the Durham metro.

"The good news is that it's behind us," he said. "There are companies with plans to expand their operations. The tech sector seems to be coming back particularly strong. We're looking at a net gain in jobs for the next 12 months."

"We lost jobs in 2007 and 2008," Vitner added, "so it's going to take two to three years for the Triangle to regain the jobs that we've lost."

The state rate was 11.2 percent in December. Seventy-three of the state's 100 counties during the month had jobless rates of 10 percent or more.

AREA LOSSES

Job losses around the state in 2009:

Durham-Chapel Hill: -8,100

Raleigh-Cary: -8,300

Greensboro-High Point: -12,400

Burlington: -1,800

Charlotte-Gastonia-Rock Hill: -35,900

Asheville: -4,700

Wilmington: -3,100

Source: Employment Security Commission of North Carolina
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