Mecklenburg unemployment rate improved in June, but still remains high during COVID
Mecklenburg County’s unemployment rate fell to 8.6% in June, but remains much higher than before the novel coronavirus hit the local economy, new state data show.
The unemployment rate decreased by five percentage points from May, when the region recorded the highest unemployment rate in at least three decades at 13.6%, according to figures from the North Carolina Department of Commerce.
And the unemployment rate is still markedly higher than June of last year, when it stood at 3.9%. An estimated 111,687 are unemployed in the Charlotte metro area, according to the data.
The improvement comes as parts of the economy have started to reopen after being shut down due to restrictions designed to limit the spread of COVID-19.
The data reflect the phased reopening plan that the state implemented, said Chuck McShane, senior vice president of economic research at the Charlotte Regional Business Alliance.
But many businesses are struggling, and millions of workers nationwide are still relying on unemployment.
The figures shed light on the local economic recovery just as a $600 per week boost from the federal government to unemployment checks is set to expire. While Congress negotiates a second relief package, local advocates warn of a coming eviction crisis if the federal unemployment supplement ends.
McShane said because there’s a lag in the data, it’s possible that the uptick in COVID-19 cases in North Carolina could have an impact on unemployment. Still, he said he’s cautiously optimistic about the improved unemployment rate.
“It shows that if we can get the virus under control quickly, we can bring the economy back,” he said.
This story was originally published July 29, 2020 at 11:07 AM.
