Leisure & Hospitality Industry takes biggest hit in South Dakota unemployment numbers
South Dakota went from an unemployment rate of 3.1 percent to 10.2 percent, which is the highest it's ever been. 20,000 of those job were in the leisure/hospitality industry.
Roughly 2.1 million people applied for U.S. unemployment benefits last week, according to The Associated Press.
For the month of April, South Dakota lost 34,000 jobs, according to the SD Department of Labor and Regulation.
South Dakota went from an unemployment rate of 3.1 percent to 10.2 percent, which is the highest it’s ever been including the last recession from 2007 to 2009.
The biggest industry that got hit in the state is the leisure and hospitality industry which includes entertainment and restaurants.
That industry lost 20,000 jobs, which takes a huge toll in this area.
Jared McEntaffer, Ph.D., Labor Economist and CEO of Bench mark Data Labs, says, “And that is a major component of the economy out here in the Black Hills so I am anticipating some pretty severe losses out here that we will see in the Rapid City Area and Black Hills Region.”
McEntaffer says that the trend is slowing but unemployment in May will likely be higher than in April and hopefully start on the track to normal in June.
McEntaffer says, “Things are evolving, they still are evolving very rapidly you know from day to day so it’s a little bit too soon to make a hard and fast prediction but it is probably going to take a period of months, toward the of the year before things really kind of return to normal. And the ramifications could be felt for years.”