Unemployment drops in Sonoma County

Sonoma County?s jobless rate dipped to 9.4 percent in April ? the first decline in seven months ? following a spring jump in hiring at vineyards, hotels, retail stores and restaurants, the state reported Friday.

The economy created 1,000 jobs between March and April as employers expanded payrolls for the second straight month, the state Employment Development Department reported.

But analysts cautioned the surge fell short of the county?s typical job growth during the period and noted that unemployment remained nearly double the rate from a year ago. Further, a falloff in the number of job-seekers looking for work indicates many residents remain discouraged about hiring prospects.

?A turning point is a little difficult to talk about right now,? said Steve Cochrane, regional economist for Moody?s Economy.com. ?I was not expecting a positive jobs number for this month. It?s a pleasant surprise and a very positive sign for the economy. I would want to see three to four months of consistent job growth to firmly conclude that the hemorrhaging of jobs is over.?

April?s job gains reversed the unrelenting rise in unemployment, which had been increasing in Sonoma County every month since October. In March, the jobless rate hit 9.9 percent, the highest in records dating to 1983.

There were 24,800 unemployed job-seekers unable to find work in April, down from 26,300 in March.

Despite the decline in jobless ranks, the local economy is still far weaker today than it was a year ago, when 12,500 people were unemployed in Sonoma County.

?It?s a mixed picture,? said Devla Singh, state labor market analyst for the region.

Employers have shed 7,100 jobs over the past year, reducing employment to 185,500. One in 25 workers has lost their jobs over the past year, according to the state.

But payrolls expanded between March and April, led by gains in the wine and tourism sectors, two of the county?s critical industries.

Much of the hiring occurred at agriculture companies, which added 300 jobs. Vineyards were particularly busy boosting workforces to manage pests, mow cover crops and other tasks with vines putting on new growth.

?We had bud break and work in the vineyards picked up. Right now through June workforces will be high and increasing,? said Nick Frey, president of the Sonoma County Winegrape Commission.

Construction companies, retailers, hotels and restaurants each added 100 jobs, the state reported.

?We?ve been in a cloudy situation, but there?s some brightening. We are seeing some pockets of growth,? said Ben Stone, executive director of the Sonoma County Economic Development Board.

Spring often is a strong period for job growth in the county. Led by vineyards, hotels and restaurants, companies in the region typically add 1,400 jobs from March to April, according to the state.

That this year?s job gains fell short of the mark reflects continued caution among businesses over expanding operations and weak consumer confidence, Cochrane said.

Job growth is also coming in lower-paying jobs that can?t offset the economic hit from the loss of more than 500 high-tech jobs at Agilent Technologies and Medtronic, which began laying off workers in April.

?In the short term that?s probably the case,? Cochrane said. ?In the long term, as business spending picks up and the global economy picks up, you start creating those high value, high-paying jobs again.?

Sonoma County had the 11th lowest unemployment rate in California. Statewide, the jobless rate dropped to 10.9 percent in April, down from 11.5 percent in March, unadjusted for seasonal factors.

Unemployment also fell across the North Coast.

In Mendocino County, unemployment slid to 10.7 percent in April, down from 11.8 percent in March. A year ago, the jobless rate was 6.3 percent. The county has lost 1,400 jobs over the past 12 months, reducing employment to 29,980.

In Lake County, unemployment fell to 16 percent in April, down from 16.6 percent in March. A year ago, the jobless rate was 9.7 percent. The county has lost 230 jobs over the past 12 months, reducing employment to 13,150.