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California Posts Highest U.S. Unemployment Rate Despite July Payroll Growth

Layoffs in tech and professional services drove California’s jobless rate to 5.5%, with health care and private education showing growth in July.

Overview

  • California’s net gain of 15,000 nonfarm jobs in July came alongside an increase of 18,200 residents reporting unemployment, bringing the total to 1,088,600.
  • The information sector lost 1,000 jobs and professional and business services shed 7,100 roles as tech firms continued restructuring.
  • Private education and health services combined to add roughly 23,100 positions statewide, partially offsetting losses in other industries.
  • San Diego County’s unemployment rate climbed to 5.2% after government payrolls fell by 17,200 positions due to summer recess.
  • In contrast, Colorado gained 3,700 nonfarm jobs in July and saw its unemployment rate decline to 4.5%.