OREGON JoBs and Labor Force - November 2024 Update

Oregon Employment Trends: Rising Demand in Health Care as Manufacturing Struggles Persist

In November, Oregon's employment landscape continued to evolve, highlighting a persistent shift from traditional manufacturing roles to positions in health care and social assistance. This transition underscores the state's ongoing economic transformation and raises concerns about the future of its historically significant manufacturing sector.

Manufacturing has long been a cornerstone of Oregon's economy, contributing approximately $36.3 billion to the state's GDP and employing around 204,000 individuals. Notably, manufacturing jobs offer a median salary of $65,000, surpassing the state's average median salary of $55,700. ^[1] Despite this, recent trends indicate a decline in manufacturing employment. Between June 2023 and June 2024, Oregon ranked 45th nationally in manufacturing growth, reflecting a significant lag behind the national average. ^[2]

In contrast, the health care sector, particularly nursing and residential care facilities, has experienced notable growth. Over the past year, employment in these facilities increased from 54,700 jobs in November 2023 to 56,992 jobs in November 2024, an addition of 2,292 jobs, representing a 4.2% growth. This sustained upward trend reflects the growing demand for health care services. While the growth in health care employment addresses critical needs, it also presents challenges. Positions in nursing and residential care facilities typically offer lower wages compared to manufacturing roles, potentially impacting overall wage growth and economic stability in the state.

The shift from high-paying manufacturing jobs to lower-paying health care positions may have broader implications for Oregon's economic health. Manufacturing not only provides substantial wages but also contributes significantly to the state's export economy. The decline in this sector could affect Oregon's economic competitiveness and the financial well-being of its workforce.

Key Findings—Oregon November 2024 Employment Data 

• In November, Oregon added 5,050 jobs, with mining, logging, and construction leading job growth by adding 2,050 jobs, driven primarily by growth in construction.
•  Private education and health services added 1,987 jobs in November.
• Preliminary employment figures for October were revised upward by 1770 jobs.
•  Oregon's total employment is approximately 1.44% higher than in early 2020,
• Seven out of eleven major sectors added jobs in November. 
• The leisure and hospitality sector experienced the largest decline, losing 693 jobs, the steepest drop among major sectors. The information sector and financial activities also posted declines of 189 and 402 jobs, respectively.
• The state's unemployment rate increased to 4.1% in November, slightly above the 4% rate from October and the 3.9% rate from a year ago.
• Oregon's labor force participation rate (LFPR) remained unchanged at 63% in November.
• According to the BLS survey of establishments (CES), Oregon recovered to its pre-pandemic employment-to-population ratio in August 2021 and has remained above that level since.
• According to the BLS measure of local employment (LAUS), which captures both traditional jobs and self-employment, Oregon's employment recovered to its pre-pandemic level in March 2021 and has remained above since.

• In November, total nonfarm payroll employment in Oregon increased by 5,050 jobs, with the mining, logging, and construction sector contributing the largest gain of 2,050 jobs, driven primarily by growth in construction.
• Private education and health services added 1,987 jobs, marking another strong month of growth for the sector.
• Professional and business services saw an increase of 682 jobs, with gains spread across professional, technical, and administrative services.
• Manufacturing posted a modest increase of 198 jobs, with growth in durable goods manufacturing offsetting a decline in non-durable goods.
• The government sector added 500 jobs, with small gains in government employment, state and local government adding 200 jobs each.
• The trade, transportation, and utilities sector grew by 499 jobs, primarily due to gains in transportation and warehousing.
• Other services continued its upward trend, adding 387 jobs.
• Conversely, the leisure and hospitality sector experienced a decline of 693 jobs, marking the largest loss among major industries this month.
• Information and financial activities sectors posted small declines of 189 jobs and 402 jobs, respectively.
• Since January 2020, private-sector employment in Oregon has increased by 11,500 jobs, while government employment grew by 16,800 jobs, led by gains in state and local government.
• Five of the eleven super-sectors remain below their January 2020 employment levels, including mining and logging, construction, manufacturing, leisure and hospitality, and financial activities.
  • The mining and logging sector continues to lag the most, with employment 7.5% lower than in January 2020.
  • In contrast, the education and health services sector has shown the most significant growth, expanding by 9.7% since January 2020, driven largely by gains in health care and social assistance.

Oregon Labor Force Update 

• Oregon’s Labor Force Participation Rate (LFPR) held steady at 63%.
• The unemployment rate increase to 4.1% in November.

Key Findings—Oregon November ‘24 Labor Force Data 

• Oregon's labor force participation rate (LFPR) stands at 63%, an increase of 1.9 percentage points since January 2020. 
• The unemployment rate (seasonally adjusted) increased to 4.1% in November.

Data Sources

The data in this report are drawn from key sources, including the U.S. Bureau of Labor Statistics (BLS) Current Employment Statistics (CES) survey, Local Area Unemployment Statistics (LAUS), and the State of Oregon Employment Department's Current Employment Estimates. The State of Oregon Employment Department's Current Employment Estimates are used to refine and update preliminary estimates and calculate growth rates. Additional data are retrieved from FRED.