The Kankakee metro area gained 200 new jobs, and saw its overall unemployment rate drop to 11.2 percent from 11.3 percent in July 2012.
The modest gains mean the area no longer holds the second-worst economy in the state, according to figures released Thursday by the Illinois Department of Employment Security. It now ranks fourth in unemployment among 12 metro areas.
Unemployment fell in seven of Illinois' 12 metro areas in July.
The state said that not-seasonally adjusted unemployment dropped in areas that included Champaign-Urbana, Springfield and the Metro East near St. Louis. The last of those three saw a steep drop, from 9.6 percent in July 2012 to 8.6 percent.
But some areas dependent on manufacturing experienced large increases. Unemployment jumped from 8 percent to 9.4 percent in Peoria, where Caterpillar Inc. has its headquarters. The company has cut employees as demand drops.Some of those layoffs have been in Decatur, where unemployment rose to 13.
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