Iowa's Unemployment Rate Rises in May

Iowa’s seasonally adjusted unemployment rate rose slightly to 3.6 percent in May, up from 3.5 percent in April, despite 3,900 Iowans joining the labor force. The labor force participation rate rose to 67.3 percent, up from 67.2 percent in April. Meanwhile, the U.S. unemployment rate remained at 4.2 percent.

The total number of unemployed Iowans increased to 62,400 in May from 60,700 in April.

The total number of working Iowans increased to 1,669,100 in May. This figure is 2,100 higher than April and 5,700 higher than one year ago.

“Iowans continued to rejoin the labor force in May, with nearly 4,000 people who were previously on the sidelines coming back to launch their search for a new career,” said Beth Townsend, Executive Director of Iowa Workforce Development. “IWD is well positioned to help connect these people seeking employment with career planners who understand how to work one-on-one to help match those individuals who want to work with the employers who need their skillsets. Despite some pullback in May, Iowa employers currently have more than 50,000 open jobs posted on IowaWORKS.gov.”

Seasonally Adjusted Nonfarm Employment

In May, businesses in Iowa lost 5,200 jobs, lowering total nonfarm employment to 1,593,300. Private service industries were responsible for most of the decline, although goods-producing firms decreased slightly as well. Public education offset some of this loss, fueling a gain of 1,000 jobs added, mostly at the local level. This month’s loss erases two previous consecutive months of job gains in March and April.

Professional and business service industries decreased by 1,200 jobs since April. This drop was fueled by losses in administrative support and waste management industries; this sector led all others in terms of jobs lost. Financial activities also decreased by 1,200 jobs, lowering this sector to a level not seen since February 2015. This sector produced minor gains over the last two months totaling 800 jobs. Private education services decreased by 1,000 jobs in May, which was the same for the combined trade and transportation super sector.

Iowa’s manufacturing sector continues to lead in annual jobs lost (-8,400). Durable goods-producing factories have been responsible for most of this decline (-5,900). The professional and business services sector is down 4,600 jobs over the past 12 months. Administrative support and waste management is responsible for a majority of the drop (-2,800). Conversely, health care and social assistance continues to trend up despite a slight decline this month. This sector has gained 4,600 jobs over the past 12 months. Other services is up 2,100 jobs. Industries in this sector include repair and maintenance, civic and social organizations, and other personal services.

Iowa Sheriffs Refuse to Sign ICE Agreements

Iowa Starting Line reported Friday that no county sheriff in Iowa, a red state, would sign ICE 287 (g) cooperation agreements. This was despite a threat from the National Sheriff’s Association, which supported Trump in the 2024 election, which warned that sheriffs departments that refused to comply would risk getting listed as “sanctuary jurisdictions.”

CBS 2 Iowa, based in Dubuque, quoted Dubuque County Sheriff Joe Kennedy as saying that while they were willing to cooperate with ICE, they did not want to get into a binding agreement where they had the ability to control his employees.

Section 287 (g) of the US Immigration & Nationality Act authorizes the Department of Homeland Security to deputize participating state and local law enforcement officers to enforce immigration laws. But such deputies would be required to undergo a 30-day training, which Kennedy says the county doesn’t have the money to do.

Subsequently, The National Desk, a Sinclair-owned chain of TV stations, reported that the National Sheriff’s Association backtracked on its support for such a "sanctuary" list, citing what they saw as a lack of transparency or straight answers by Trump officials. The list was subsequently taken down.