US employers cut 467,000 jobs in June, far more than expected, while the unemployment rate rose to 9.5%, the government said today in a report that showed a labour market continuing to struggle with a deep recession.
The June job losses were more than 100,000 greater than the 363,000 consensus of Wall Street economists and broke a four-month trend of moderation in job losses.
The Labor Department data showed that in April and May, 8,000 fewer jobs were lost than previously reported. The May job losses were revised downward to 322,000, while the April losses were revised upward to 519,000.
The jobless rate of 9.5% compares with 9.4% in May and was the highest since a matching unemployment rate in August 1983. Analysts had expected the rate to rise to 9.6%.
While job losses in June were spread across all sectors, the June figures showed the steepest declines in services, which fell 244,000 after a 107,000 drop in May.
Professional and business services fell 118,000, while government employment fell 52,000. Manufacturing was one of the few sectors to show a smaller drop in June, falling 136,000 after a 156,000 fall in May.
US President Barack Obama said the latest surge in job losses was 'sobering'.
