PROVIDENCE – Rhode Island’s unemployment rate edged down one-tenth of a percentage point last month to 12.5 percent despite historic flooding that caused a sharp drop in the number of jobs based in the state, the R.I. Department of Labor and Training said Friday.

Rhode Island lost 4,400 jobs in April, due in large part to layoffs and relocations at businesses impacting by flooding. But workers whose joblessness can be attributed to weather-related issues are considered “with a job but not at work” in unemployment calculations, according to the DLT.

“Because workers temporarily laid off or relocated due to the March flooding were still considered employed Rhode Islanders at the time of the survey, the impact of flooding on the state’s April unemployment rate was minimal,” the department said in a news release.

In fact, April marked the second consecutive monthly decline in the jobless rate after years of a nearly unabated climb. Prior to March, the last time the jobless rate had fallen was October 2006.

The U.S. jobless rate, meanwhile, rose two-tenths of a percentage point in April to 9.9 percent. Massachusetts’ unemployment rate fell one-tenth of a percentage point to 9.2 percent. Michigan’s rate, which has long been the highest in the nation, also ticked down one-tenth of a percentage point, falling to 14 percent.

Although non-farm payrolls statewide shrank by 4,400 in April to 448,000 – 12,400 lower than in April 2009 – there were some encouraging signs in the monthly jobs report.

The Ocean State’s resident employment – the number of Rhode Islanders who hold jobs anywhere in the country – increased to 507,000 in January, up by 1,200 from March for the fourth consecutive monthly increase. The total number of residents employed grew by 2,900 compared with April 2009.

The number of unemployed Rhode Island residents – those classified as available for work and actively seeking employment – decreased by 400 from March to 72,300, the third straight monthly decline.

Average weekly claims for unemployment benefits decreased 10.5 percent to 40,697 from March to April. That figure differs from the total number of unemployed because of eligibility restrictions.

The size of the state’s labor force increased to 579,300 in April, up by 900 from March and by 16,500 from a year earlier. That figure does not include residents who have stopped looking for work.

While the unemployment rate declined, the widespread flooding at the end of March had a lingering impact on the job situation in April.

The accommodation and food services sector was hardest hit, losing 1,800 jobs as numerous restaurants were closed due to flood damage. DLT said it appeared seasonal hiring was also slowed by the disaster.

The Warwick Mall’s shuttering after the flood hurt retail trade, which lost 1,100 jobs in April. The arts, entertainment and recreation sector also lost 1,100 jobs, due in part to delays in seasonal hiring.

The manufacturing and construction sectors lost 700 jobs each, with nearly half the losses in manufacturing classified as flood-related, the DLT said.

Flooding closed some ambulatory health care facilities, contributing to the loss of 400 jobs in health care and social assistance. Employment in “other services” declined by 600 in April, while the educational services and transportation and utilities sectors lost 300 and 100 jobs, respectively.

Three sectors reported job gains: professional and business services (1,800), financial activities (300) and wholesale trade (300).

Employment in the information, government and natural resources and mining sectors was unchanged.

Manufacturing production workers in Rhode Island earned an average hourly wage of $14.67 in April, up 9 cents from March and up 89 cents from a year earlier.

The state’s average manufacturing work week in April was 37.9 hours, down 0.9 hours from April but up 0.3 hours from a year earlier.

Additional information is available at www.dlt.ri.gov.

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