US jobless rate hits 26-yr highhttps://indianexpress.com/article/news-archive/web/us-jobless-rate-hits-26yr-high/

US jobless rate hits 26-yr high

The US saw a staggering 216,000 job losses in August,pushing the country's unemployment rate to a 26-year-high of 9.7 per cent.

The US saw a staggering 216,000 job losses in August,pushing the country’s unemployment rate to a 26-year-high of 9.7 per cent even as the country’s recession-hit economy is slowly showing signs of recovery.

The jobless rate has shot up in August from 9.4 per cent in July.

“Non-farm payroll employment continued to decline in August (-216,000) and the unemployment rate rose to 9.7 per cent,” the US Labor Department said in a statement on Friday.

Even though the August unemployment rate is the highest since 1983,the pace of job cuts have “moderated in recent months”.

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Reflecting the shaky economic situation,as many as 6.9 million “pay roll” jobs have evaporated since the nation officially slipped into recession in December 2007.

Last month,the count of unemployed people jumped by 466,000 to 14.9 million.

Since the recession began,the “number of unemployed persons has risen by 7.4 million,and the unemployment rate has grown by 4.8 percentage points”.

Hit by one of the worst financial turmoils in nearly 80 years,American companies have resorted to massive layoffs as part of their measures to bring down costs.