Report: Unemployment rising while 32 states increase private-sector hiring

While unemployment rose nationwide, 32 states added private-sector jobs in June, according to a congressional report released Monday. 

The Joint Economic Committee (JEC) released its report detailing each individual state’s economic progress for the previous month.  

The monthly report shows that despite the recent slowdown in national job rates, 32 states and the District of Colombia saw an increase in private-sector growth in June.

A majority of states, 28 states and the District of Columbia saw their unemployment rates increase in June, with nine of those states and D.C. recording statistically significant increases.  

“This report highlights some bright spots for private sector jobs with business and manufacturing jobs now starting to expand across the nation,” said JEC Chairman Bob Casey, (D-Pa.). "However, the progress has not been nearly enough to bring down our unemployment numbers."

Casey urged lawmakers to pass legislation providing incentives for business owners to hire new employees.  

"Policies like my small business tax credit must be implemented to encourage businesses to hire qualified Americans and prevent more jobs from going overseas,” he said. 

The spike in oil-and-gas prices and the supply-chain effects of the Japanese earthquake slowed much of the momentum put forth by this month’s private sector. Nationally, private-sector employment gains slowed to 57,000 in June, following gains of just 73,000 in May.

California’s private sector saw the largest expansion during the month, adding 28,800 jobs, followed by Texas with 19,700.  

In the past 12 months, 11 states have each added more than 40,000 private-sector jobs.   

Only the District of Columbia, Maryland and Delaware lost private-sector positions in the past year, the report said. 

Manufacturing employment expanded in 29 states in June, as the sector has led the economic recovery. 

The largest gains were in Texas, which added 8,400 manufacturing jobs, followed by California and Massachusetts at 4,900 and 2,900, respectively.

Overall, the United States has added 159,000 manufacturing jobs in the past 12 months. 

In 26 states, there was an increase in jobs in the professional and business services sector in June, with California leading the way with 16,400, followed by New York at 4,000 and Maryland at 2,800.  

In the past year, 44 states and the District of Columbia have added professional and business services jobs, with California, Texas, and New York recording the largest gains.