California unemployment hits post-World War II high -- 11.9%

California's unemployment rate took an unexpected leap in July, reaching a post-Word War II high of 11.9%. The increase contrasts with the national rate, which declined slightly over the same period, and reflects ongoing weakness in the state's battered construction and financial services industries.

The state lost a net 35,800 jobs last month, more than any other state, the U.S. Labor Department said today. It has lost 760,200 jobs over the last year.

The state is shedding jobs at a faster rate than the nation because of its onetime dependence on the construction sector, economists said. While the financial crisis can be tied to overexuberance in the residential housing market, nonresidential construction is now sluggish as well, shedding more jobs, said Esmael Adibi, an economist at Chapman University.



California unemployment hits post-World War II high