2009 Retrospective: Unemployment Spikes in 2009

California’s apparel industry was hard-hit in 2009, seeing textile mill, apparel manufacturing and clothing retail jobs dropping in the double digits across the state. The figures are in keeping with recent dire unemployment reports, such as the UCLA Anderson Forecast released Dec. 9 by the University of California, Los Angeles, which predicted double-digit unemployment in California until 2012. The report said the jobless rate for California will clock in at an average of 11.7 percent in 2009 once all the figures are in.

Jack Kyser, founding economist at the Los Angeles County Economic Development Corp., said the job losses are attributable to consumers continuing to pull back on spending and moving down-market. “A lot of retail [and manufacturing jobs] went away. It was a very difficult year,” he said, adding that the layoffs probably aren’t over. “We fully expect to see another round of retail store closures early in 2010. There is still too much retail capacity.” Store closures, he predicted, would affect all channels—from major chains to mom-and-pop shops.

The figures are sobering. California’s apparel manufacturing sector saw job losses that reached 14.3 percent between October 2008 and October 2009. During the previous one-year period, apparel manufacturers lost 1.9 percent of their work force. Clothing and accessories stores also slashed jobs in 2009, with more than 11 percent of workers let go between October 2008 and October 2009. Every county in the state saw job losses in their textile mills, apparel manufacturers and apparel retailers, with the exception of Alameda County, which saw its retail labor force grow by 100 individuals during the year.—Erin Barajas

(Click here for the California Employment Development Department chart)