The nation’s jobless rate worsened slightly last month, moving up to 9.6% from 9.5% in July, according to a government report issued Friday. Nonfarm payrolls decreased by 54,000. The decrease was due to U.S. Census cutbacks, while the private sector increased its payrolls by 67,000.
Both July and June’s private-sector job figures were upwardly revised, the Labor Department report said. Private employers hired more workers over the past three months than first thought, but the unemployment rate rose because not enough jobs were created to absorb the growing number of people looking for work.
Overall, 114,000 temporary census positions were terminated. For the first time this year, the manufacturing sector lost jobs, down a net total of 27,000 for the month. The Labor Department said the auto industry accounted for 22,000 of those lost jobs. State and local governments dumped another 10,000 positions and have had net jobs losses in every month but one this year.
“It reflects the steps we’ve already taken to break the back of this recession. But it’s not nearly good enough,” Obama said. He challenged Congress to extend the Bush administration’s tax cuts for middle-class Americans and to pass a bill that would assist small businesses by cutting their taxes and increase government lending.
Republicans in Congress are calling for an extension of the tax cuts for all Americans, including the wealthy. That’s a position more Democrats are beginning to accept because the economy hasn’t improved fast enough.
