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Calif. unemployment rate drops to 10.8 percent

Associated Press

SACRAMENTO, Calif. – California’s unemployment rate dipped slightly in May to 10.8 percent, down from 10.9 percent the previous month, in what state officials said was a sign of continued economic recovery.

The figures released Friday by the Employment Development Department show California employers added more than 33,900 nonfarm payroll jobs in May, the largest month-over-month increase nationwide. The largest job gain was in the leisure and hospitality sector, which added 13,200 jobs.

Since the recovery began in September 2009, officials say 425,000 jobs have been created in the state.

The rate in May was more than a full percentage point better than the 11.9 percent unemployment rate at the same time a year ago.

In South Lake Tahoe, unemployment rose to 14.9 percent, up from 14.5 percent in April. The April figure was the lowest in two years.

California’s figures contrast with the national trend. The nationwide jobless rate rose to 8.2 percent last month from 8.1 percent in April, its first rise in nearly a year.

California’s unemployment rate is the nation’s third highest, behind Nevada, with 11.6 percent and Rhode Island with 11 percent.

Nevada’s unemployment rate fell slightly from the 11.7 percent measured in April, while Douglas County’s unemployment rate held steady at 12.7 percent, according to figures released this morning by the Nevada’s Department of Employment, Training and Rehabilitation. The statewide figure for May is the lowest in three years.

Douglas has the fourth highest unemployment rate in the state. Neighboring Lyon County has a rate of 15.1 percent. Nye County is at 14.2 percent, and Lincoln County is at 12.8 percent. Douglas, Lyon and Nye counties were all hit hard by the collapse of the building industry.

– Tahoe Daily Tribune reporter Adam Jensen and The Record-Courier contributed to this story.


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