July Unemployment Rate Holds At 9.5%

Hindered by the loss of thousands of government jobs, the nation’s unemployment rate remained at 9.5% during the month of July, according to statistics released today by the U.S. Department of Labor.

While the private sector added 71,000 jobs, 202,000 government employees lost their jobs, including 143,000 temporary Census workers. State and local governments experienced layoffs as well. House Minority Leader John Boehner (R-Ohio) responded quickly to the report.

“After another disappointing jobs report and the resignation of one of the chief architects of the trillion-dollar ‘stimulus,’ it’s time for President Obama to listen to the American people and face up to the fact that his ‘stimulus’ policies aren’t working,” he said. “How many more times do families and small businesses have to ask ‘where are the jobs’ before President Obama changes course?”

Private sector employment has now increased by 630,000 this year, though roughly two-thirds of those jobs were added during March and April. In July, the manufacturing and healthcare industries experienced gains of 36,000 and 27,000 jobs respectively. Jobs were also added in the mining, transportation and warehousing industries.

Jobs in construction, financial activities and business all fell. In total, 14.6 million Americans remained out of work in July, with 6.6 million of them having now been jobless for nearly seven months. White House Economic Advisor Christina Romer was less than satisfied with the new figures, but said recovery could still be underway.

“We have made substantial progress from the days when employment was declining by 750,000 a month.  But, today’s employment report emphasizes just how important the additional jobs measures before Congress are,” she said. “There will likely be more bumps in the road ahead as the economy recovers. The monthly employment and unemployment numbers are volatile and subject to substantial revision. Therefore, it is important not to read too much into any one monthly report, positive or negative.”

The White House announced early Friday morning that President Obama would make a statement on the new numbers later this afternoon.