Providence’s Hispanic Unemployment Rate was Worst in US in 2011

Tuesday, July 03, 2012

 

The unemployment rate among Hispanics in Providence was the worst in the county in 2011, with nearly a quarter of that group out of work during the year, according to analysis by the Economic Policy Institute in Washington, D.C.

At 23.3 percent, the striking unemployment rate marked the second consecutive year the capital city had the highest Hispanic unemployment rate in the country. The city’s overall unemployment was 11.2 percent for the year. The state’s unemployment rate was 11.3 percent, third highest in the country.

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The city’s Hispanic unemployment rate was 6.7 percentage points higher than Orlando, which finished second on the list. In total, 17 communities had unemployment rates above ten percent for Hispanics. Providence has now had three consecutive years of at least 20 percent unemployment. The national Hispanic unemployment rate was 11.5 percent.

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“Rhode Island's high unemployment rate and loss of jobs in the manufacturing sector have hit Hispanics particularly hard,” said Mario Bueno, Executive Director of Progreso Latino. “Rhode Island has lost a larger share of manufacturing jobs than any other state in the country over the past two decades and has not managed to replace them. It takes significantly less manpower to operate today’s factories and the service sector-with relatively lower wages and benefits-has been significantly impacted by the recession.”

Only four other communities had Hispanic unemployment rates above 14 percent for 2011, according to the study: Orlando (16.6 percent), Riverside-San Bernardino-Ontario, Calif. (15.4 percent), Las Vegas-Paradise, Nev. (14.7 percent) and Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md. (14.3 percent).

“These findings point first and foremost to the need for job creation," said Doug Hall of the Economic Policy Institute. "The federal government needs to take the lead here -- investing in infrastructure, and providing much-needed state fiscal relief. Rhode Island can also make prudent investments now that help with today's unemployment crisis while building a strong foundation for future economic prosperity, while avoiding further harm to the economy through budget cuts, including cuts to state and local government employment.”

The Hispanic community wasn’t alone in struggling to find work in 2011. The study also found that Providence had a 17.1 percent unemployment rate among African-Americans, a 1.3 percentage point increase from 2010.

Kate Brewster, Executive Director of the local Economic Progress Institute, said the state needs to invest in English language services and workforce training.

“We need to ensure that all of our residents are prepared to fully participate in the service and knowledge-based economy that is growing in our state,” she said. “By converting both our immigrant and native workforce into tomorrow’s knowledge workers, Rhode Island will have a competitive advantage both regionally and nationally.”

Dan McGowan can be reached at [email protected].

 

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