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The U.S. economy had a net gain of just 54,000 jobs in May, the smallest
increase since September.
Friday's report from the Labor Department also shows the unemployment rate
rose 0.1 percent to hit 9.1 percent. The figures surprised many economists who
were expecting a slightly lower jobless rate, and a bigger gain in the number of
jobs.
Budget problems prompted state and local government to cut 29,000 jobs.
Manufacturing cut a small number of positions, while health care added 17,000
employees.
The U.S. economy destroys and creates millions of jobs every month as
resources and workers are re-allocated to more profitable areas. Experts say the
economy would have to show a monthly net gain of at least 200,000 jobs to cut
the jobless rate significantly.
Today's data show just under 14 million Americans are unemployed. There are
millions more people who want full-time work, but can find only part-time
jobs. |
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