World
In Massachusetts, unemployment rose in July to 7.2 percent, the highest level since September 2011. The state jobless rate has risen in each of the past three months, as the economy continues to deteriorate under the weight of federal budget cuts and the slowing global economy, including a fall-off in European exports from the region.
Massachusetts has shed about 3,000 jobs since January, and the jobless rate has risen half a percentage point. A meager 300 jobs were added in July, and initial state estimates of 2,800 jobs added in June were revised to show a 2,100-job loss. Private sector employment gains in July, about 2,500, were largely offset by a loss of 2,200 government jobs, including 1,600 at the local level, as jobs fall victim to budget cuts.
Education and health services in Massachusetts, feeling the impact of both federal spending cuts and sequestration, shed 1,100 jobs in July. The manufacturing sector lost 400 jobs. The low-paid—and oftentimes part-time—leisure and hospitality sector added 1,700 jobs, while information services and the financial sector saw modest job growth. Michael Goodman, public policy professor at the University of Massachusetts at Dartmouth, described the state’s economy as “treading water.”
The Mid-Atlantic region saw a slight dip in its jobless rate, down from 7.8 percent in July to 7.7 percent in June. However, Maryland, Virginia and the District of Columbia all saw their jobless rates rise, an indication that the federal spending cuts are having a significant impact on employment. All three jurisdictions saw losses in professional services and government jobs largely resulting from the sequestration cuts taking hold.
Maryland’s jobless rate rose .1 percent from June, to 7.1 percent, the highest level since November 2011. The state shed 9,200 jobs, including 4,300 positions in government and 3,200 in the professional services industry.
The jobless rate in Washington, DC rose to 8.6 percent, after remaining at 8.5 percent since April. The nation’s capital lost 1,600 jobs overall, including 1,300 in the government sector. In Virginia, the jobless rate jumped from 5.5 percent to 5.7 percent. While adding 1,400 jobs overall, the state lost 2,700 jobs in government and 2,900 in professional services.
Only 162,000 nonfarm jobs were added across the US in July, the fewest since March, barely making a dent in the pool of 11.5 million Americans who are looking for a job but can’t find one. States that saw significant jobs losses in July included New Jersey, down 11,800; Nevada, 10,200; Maryland, 9,200; and New Hampshire, 2,300.
In those states seeing jobs created, the vast majority have been part-time or temporary positions in retail sales, restaurant and other low-wage sectors. Georgia added 30,900 jobs in July,