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Pandemic creates record job growth in Southern California’s logistics industry - Press-Enterprise

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The pandemic’s push toward more online shopping helped create a record 17,700 Southern California jobs in transportation and warehousing in November as logistics firms and delivery operations ramped up for the holiday gift-giving season.

My trusty spreadsheet, filled with state job figures, found local bosses added a total of 63,500 jobs in all industries last month in the four counties covered by the Southern California News Group. Most of the hiring could be tied to the holiday season — new jobs at these shipment companies and traditional retailers.

It was the largest one-month hiring spree this century for local logistics, nearly double the 9,000 average November hires in the previous five years. In the distribution hotbed of Riverside and San Bernardino counties, shipping companies last month added 9,200 workers while Los Angeles County added 7,700 jobs and Orange County 800.

These industries now have 383,000 workers — up 8,300 from February, a month before the virus struck. It’s hard to find another industry that’s replaced all the workers lost after coronavirus first hammered the economy early in 2020.

The growing popularity of delivery didn’t stop brick-and-mortar merchants from their annual hiring spree. Retail added 27,300 jobs last month, but that hiring is below the five-year average of 31,000 and the fewest jobs added in any November since 2010 and the Great Recession.

The dip in retail hiring is a clear sign store owners are cautious about holiday shopping prospects. They’re battling state business limitations plus consumer wariness — both for health and economic reasons. With 737,700 total workers, retailers are still down 8,400 jobs from February.

Overall, bosses in the four counties had 7.28 million employees in all industries last month — 7% below February’s count. Last month’s hires were 24,000 positions below-average growth since April’s job-market bottom.

A key weak spot for the job market — and another opportunity for shippers — is dining. In November, eateries still did not have full use of dining rooms and many have since lost all waiter service, indoor and outdoor. Food delivery’s popularity is reflected in depressed employment stats for restaurants.

Restaurants in the four counties employed 522,800 in November — down 700 in a month and down 161,100 from February, or 76% of pre-pandemic employment.

Employment by geographic slices …

L.A. County: 29,800 jobs added last month to 4.26 million — but 92% of February. Unemployment? 10.6% vs. 11.8% the previous month and 4.6% in February.

Orange County: 16,500 jobs added last month to 1.56 million — but 93% of February. Unemployment? 6.4% vs. 7.3% the previous month and 2.8% in February.

Inland Empire:  17,200 jobs added last month to 1.47 million — but 95% of February. Unemployment? 7.9% vs. 8.7% the previous month and 5.2% in February.

PS: My spreadsheet calculates the regional jobless rate for November at 9.2% vs. a revised 10.2% the previous month and 4.1% in February. Note: The Great Recession had a 12.9% local jobless peak. 

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