Jan 18, 2008 2:47 pm US/Pacific
Stats Show More Jobs, But Unemployment Still High
LOS ANGELES (AP) ―
-
-
People in line, silhouetted, over help Wanted ads
AP
California payrolls gained 15,500 jobs last month but the growth failed to keep pace with the increasing number of people looking for work, state officials said Friday.
As a result, the unemployment rate jumped to 6.1 percent in December, compared to 5.6 percent in November and 4.8 percent in the year-ago period, the Employment Development Department said.
About 1.1 million Californians were looking for work last month, an increase of 88,000 from November and 255,000 from December 2006.
Stephen Levy, director of the Center for Continuing Study of the California Economy, said the increase in job seekers was the result of the growing work force, not job losses.
He said the state is well-positioned for long-term job growth, even though the "short-term outlook is much less positive and state and local government budgets will face great challenges during the next two years."
To combat rising unemployment, Gov. Arnold Schwarzenegger has proposed spending some $29 billion in unallocated bond funds to generate jobs related to road and school construction and other infrastructure projects.
He also ordered state job assistance centers to extend their hours of operation.
"We will continue to identify other steps we can take to stimulate our economy," Schwarzenegger said in a statement.
Job growth has been slowing nationally for several months under the strain of the housing slump, rising energy costs and a credit crisis in the financial sector.
Total U.S. payrolls grew by just 18,000 last month, the smallest gain since August 2003.
More than 15.3 million people held payroll jobs in California last month.
A number of jobs were added in the educational and health services sector, which accounted for 5,900 new positions.
The construction and financial activities sectors, meanwhile, lost a combined 10,400 jobs.
December's job gains followed a revised gain of 2,700 jobs in November, the state said.
During the 12-month period ended in December, California gained 78,800 jobs, a 0.5 percent increase from the previous year. In 2006, payrolls grew by 1.7 percent.
Job growth in 2007 was the slowest since 2003, when payrolls declined by 0.4 percent, according to the Public Policy Institute of California.
Last year, education and health services accounted for 55,400 new positions, the largest number during the period.
The construction sector posted the biggest decline, shedding 37,700 jobs, a 4 percent drop.
(© 2009 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)
Click to enlarge
Stumble It!
Comments