S.C. jobless rate rises to record 12.1 percent

COLUMBIA --- South Carolina's unemployment rate rose to a record 12.1 percent in May with payroll losses soaring in the construction and tourism industries, the Employment Security Commission reported Friday.

It was the second month in a row the state's unemployment rate set a record and was up sharply from a revised 11.4 percent in April.

May's rate was the nation's third highest behind Michigan's 14.1 percent and Oregon's 12.1 percent. Neighboring North Carolina was seventh with 11.1 percent and Georgia was 16th at 9.7 percent. The national average for May soared to 9.4 percent from April's 8.9 percent.

The biggest job loss came in manufacturing, where May's payrolls plunged by 2,200 jobs.

The state's payrolls overall were down by 90,000 jobs, or 4.6 percent, since May 2008, with manufacturing giving up 29,000 jobs.

While the travel and leisure industry gained 7,100 jobs in May, tourism has lost 15,400 jobs in a year. The transportation sector has given up 14,000 jobs in the past year.

Allendale County had the state's highest unemployment, 22.1 percent. Marion, Chester and Union counties all had rates above 20 percent and Marlboro County's 19.8 percent wasn't far behind. In all, 40 of the state's 46 counties had unemployment rates higher than the national average.

Lexington County's 8.1 percent was the lowest.

Unemployment has been at the heart of a lagging economy that has forced repeated cuts in state spending and threatened government jobs and wages. But the news is only expected to get worse.

The state Board of Economic Advisors last week cut tax collection estimates. It had expected unemployment to peak at 14 percent in June, but now expects the 14 percent peak will come later in the year.