The Augusta Labor Market Index (LMI) increased 0.2 percent in July from June. It now stands 1.5 percent higher than in July 2021.
In the last month, improvements were seen in employment, unemployment, earnings and hours worked. Only the labor force declined, by 700 people.
The biggest improvement was seen in average weekly wages which increased 9.8 percent from a year earlier, enough to compensate for higher inflation. This is a sharp turnaround from 2021 when earnings were falling in the local area.
Workers have been able to demand higher wages due to a strong bargaining position due to the record low unemployment rate of 3.3 percent.
Firms are also responding to the tight labor market by increasing the number of hours worked by the average worker. The average work week in Augusta is now 35.9 hours compared to 34.2 a year ago. This is the highest since October 2017.
Overall, employment is up 1.8 percent from a year ago, although it still stands below pre-pandemic levels. It seems the labor market in Augusta remains strong.
Next week, I will compare the Augusta LMI to other metro areas in Georgia to see if that statement is true.
