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California Jobless Rate Hits New High At 12.2%

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California Jobless Rate Hits New High At 12.2%

SAN FRANCISCO (CBS 5 / AP) ― California's unemployment rate climbed to 12.2 percent in August, setting a new modern record.

It was up from July's rate of 11.9 percent.

The state Employment Development Department said Friday the
number of unemployed people in California climbed by 49,000 in the period, bringing the number of unemployed to 2.2 million.

It's also more than 850,000 additional unemployed people since last year, when the unemployment rate was 7.6 percent in August 2008.

Manufacturing, trade, business services, leisure and other services led the state in job losses.

Forty-two states lost jobs last month, up from 29 in July, with the biggest payroll cuts coming in Texas, Michigan, Georgia and Ohio.

The Labor Department says 27 states saw their unemployment rates increase in August, and 14 states and Washington D.C. reported unemployment rates of 10 percent or above.

Michigan has the highest jobless rate of 15.2 percent, followed by Nevada at 13.2 percent, Rhode Island at 12.8 percent, and California and Oregon at 12.2 percent each.

The jobless rates in California, Nevada and Rhode Island were the highest on records dating to 1976.

Nationwide, the unemployment rate rose to 9.7 percent in August from 9.4 percent in July.

(© 2010 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)

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