WICHITA, Kan. (KWCH) – New statistics from the Kansas Department of Labor show the unemployment rate held steady at 3.3% statewide in September. Although this rate is the highest in the past two years, experts say there is strength in the state’s economy.
“Our labor market is actually stronger than the rest of the country right now,” said Donna Ginther, a professor of economics at the University of Kansas.
Looking at recent unemployment rates, Sedgwick County’s unemployment rate last month was 3.5%. Mr. Ginther explained the influencing factors.
“We certainly had full employment and a very strong labor market before the furloughs started,” Ginther said. “It’s softer than it was a year ago, but it’s surprisingly strong.”
Although September’s numbers look healthy overall, potential furloughs and layoffs at Spirit AeroSystems due to the Boeing strike in Washington could impact the current situation in Sedgwick County.
“If this situation continues for a month, six weeks or more, economic activity in Sedgwick County will slow down,” Ginther said.
This can cause employment problems in other industries as well.
“This could really start to impact discretionary spending. Think Topgolf, Dave’s, Buster’s, places like that,” said Dr. Larry Straub, associate professor of business at Newman University. . “If this continues for a long time, it could have an impact on movie theaters, and it could also have an impact on employment in the area.”
Dr. Straub said it’s not the time to press the panic button, but Wichita’s economy could suffer if a deal isn’t reached soon in Washington.
Machinists in Washington rejected Boeing’s latest contract offer and continued their strike Wednesday. Kansas unemployment numbers for October will not be released until November 15th.
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