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California unemployment down to 12.4% in May

Sure, 12.4% is AWFUL. It’s just better than 12.6% or 12.5%.

The California Employment Development Department (EDD) released May 2010 unemployment figures today. Nonfarm payroll jobs increassed by 28,300 and the unemployment rate in May, 12.4%, was down slightly from the 12.6% in April. The U.S. unemployment rate also decreased slightly in May, to 9.7%. The April figure for California’s unemployment was revised from 12.6% to 12.5%. In May of 2009, California’s unemployment rate was 11.3% (this must be a revision of the original 11.5%).

According to the EDD report:

“California has gained jobs in each of the first five months of 2010, with gains over the period totaling 95,900 jobs. Nonfarm jobs in California totaled 13,905,500 in May, an increase of 28,300 over the month, according to a survey of businesses that is larger and less variable statistically. The survey of 42,000 California businesses measures jobs in the economy. The year-over-year change (May 2009 to May 2010) shows a decrease of 244,700 jobs (down 1.7 percent).”

The number of people unemployed in California was 2,277,000 – down by 21,000 over the month, but up by 212,000 as compared with May of last year.

“Six categories (manufacturing; information; professional and business services; leisure and hospitality; other services; and government) added jobs over the month, gaining 46,200 jobs. Government posted the largest increase over the month, adding 30,000 jobs, all in federal government. Four categories (construction; trade, transportation and utilities; financial activities; and educational and health services) reported job declines this month, down 17,900 jobs. Trade, transportation and utilities posted the largest decline over the month, down by 9,600 jobs. One sector, mining and logging, recorded no change over the month.”

In a year-over-year comparison (May 2009 to May 2010), nonfarm payroll employment in California decreased by 244,700 jobs (down 1.7%).

“Three industry divisions (information; educational and health services; and government) posted job gains over the year, adding 37,000 jobs. Educational and health services recorded the largest increase over the year on a numerical percentage basis, up 24,500 jobs (a 1.4 percent increase). Information posted the largest increase over the year on a percentage basis, up 2.0 percent (a gain of 8,900 jobs).”

“Eight categories (mining and logging; construction; manufacturing; trade, transportation and utilities; financial activities; professional and business services; leisure and hospitality; and other services) posted job declines over the year, down 281,700 jobs. Trade, transportation and utilities employment showed the largest decline over the year on a numerical basis, down by 82,300 jobs (a decline of 3.1 percent). Construction employment showed the largest decline over the year on a percentage basis, down 12.8 percent (down 80,800 jobs).”

In all, 21 counties of California had 15% unemployment or higher in May, with the number 1 spot again going to Imperial County, with 27.5% unemployment.

-Bill at

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©2010 William F. Hackett. All Rights Reserved.

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