California unemployment rate slightly falls to 12.4%
Tuesday, January 10th, 2012After adding jobs for the fifth straight month, California saw a slight dip in the unemployment rate. Even though the jobs were added, the economists were not too happy as most of these positions were temporary. Most of these temporary hires came from the U.S. Census Bureau.
The main concern is that the private sector did not contribute to any major hiring. According to former EDD director Michael Bernick, a senior fellow at the Milken Institute specializing in labor issues, the hiring has been sluggish except for the Census Bureau.
The unemployment rate fell from 12.5 % to 12.4% in May. Payrolls grew by 28,300 jobs in California. But the private sector actually lost 1,700 jobs in May. Layoffs continue to happen. The state experienced job losses in construction, trade, education and health services sector. It is seen that many of them have been opting for part-time positions now.
The economists feel that the state’s recovery is almost similar to that of the nation’s recovery.
For more details on the unemployment claims in California, please refer to California unemployment benefits guide.