California jobless rate rises to 4.9%

September 19, 2006 - 0:0
OAKLAND, California (Reuters) -- California's unemployment rate rose slightly in August to 4.9 percent, but the state also added 37,000 non-farm jobs, leading Gov.

The August jobless rate compared with 4.8 percent in July, and 5.2 percent a year earlier, according to the state's Employment Development Department.

Despite the monthly rise, unemployment in the most populous U.S. state has steadily fallen since peaking at 6.9 percent in October 2003 --just before Schwarzenegger, a Hollywood superstar, became governor in an unprecedented election that recalled his predecessor midterm.

"As you can see, the economy is back again, it's booming, and our revenues are much greater than anticipated," Schwarzenegger told a news briefing in Oakland.

The fiscally conservative Republican governor is seeking reelection in November and hopes to promote the economy as a central reason to give him another term in office.

The information industry saw the biggest gain in workers, rising 1.3 percent from July. Payrolls for government, professional and business services, and educational and health services all rose 0.4 percent in the month.

The total number of farm workers fell 2.3 percent.

The unemployment rate data includes farm workers while the payroll figures do not.