OHIO — May 2021 was only the second time since 1976 that Ohio recorded a workforce participation rate below 60% as the state's unemployment rate increased to 5%, the Ohio Department of Jobs and Family Services announced Monday.

The only other time Ohio's workforce participation rate dropped below 60% was April 2020 during the height of coronavirus shutdowns, according to the Bureau of Labor Statistics.

Ohio’s unemployment rate increased to 5% in May 2021, marking an increase from the 4.7% rate in April 2021.

 

Ohio’s unemployment rate bucked national trends. The U.S. unemployment rate dropped from 6.1% in April to 5.8% in May, according to federal data.

Ohio’s non-farm workforce participation declined from 62.3% to 59.9%. Workforce participation includes the number of people both employed and receiving unemployment benefits.

The number of Ohioans participating in the state’s workforce dropped by 218,000. With 5,000 additional Ohioans on unemployment in May compared to April, the number of employed Ohioans fell 223,000 from April to May. 

Several industries in Ohio have seen particularly large drops in workforce participation. Trade, transportation and utilities saw 7,800 fewer employees from month to month; financial activities lost 3,400 employees; manufacturing had 2,600 fewer workers; and construction lost 1,000 employees across the state during the month, the state said.

Those losses were partially offset by gains in the leisure and hospitality industry, which had an increase of 2,300 workers from April to May.

In hopes of encouraging more Ohioans to leave unemployment and return to work, Gov. Mike DeWine previously announced that Ohio’s $300-a-week unemployment subsidies would end June 26. Ohio also resumed requiring those on unemployment to actively seek employment on May 23.

The declining workforce has forced companies to alter operations. For instance, Cedar Point is closed on some weekdays this summer and has started offering $20 an hour for employees.