The city of Palm Springs fared slightly better than other desert cities in unemployment numbers recently released by the Bureau of Labor Statistics. Riverside County as a whole has been hit hard by unemployment. The rate fell in April 2010 to 14.3 percent from the previous month’s 15.1 percent. Riverside still has a higher unemployment rate than the State of California which in April was 12.6 percent.

Improved Job Market in the Desert

One reason for the improved desert employment rate could be that the jobs are coming from non-farm industries, and Riverside and the Coachella Valley in particular rely heavily on agriculture as well as construction, the other hard-hit industry. In the Coachella Valley, April unemployment rates ranged from 6.6 percent in Bermuda Dunes and 8.6 percent in Palm Desert to 27.6 percent in Mecca. Palm Springs’ rate was 11.2 percent. Both Palm Springs and Palm Desert rely more on tourism and retail stores for employment opportunities. Areas heavily committed to agriculture such as Coachella and Mecca are having a tougher time.

Summer Tourism in Palm Springs

A real measure of economic recovery in the Coachella Valley will be the numbers for the Palm Springs summer months. Tourism starts to dwindle after Memorial Day and jobs related to tourism in restaurants, hotels and tourist-targeted retail are at risk for cities like Palm Springs tat receive so much of their revenue and employment opportunities through from the annual visitors. The City is struggling to keep events going that attract tourists: for example the City Council recently voted to cancel the annual Fourth of July fireworks display to save money because of the looming $ 7.7 million deficit. City facilities such as the library are cutting back on hours.