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N.C. unemployment rate hits historic high

Friday, January 22, 2010
(Updated 1:42 pm)

RALEIGH (AP) — North Carolina's unemployment rate hit a historic high of 11.2 percent in December as the tally of jobs lost by the state's workers since the recession started two years ago neared 250,000.

December's jobless rate of 11.2 percent rose from 10.8 percent in November, the Employment Security Commission said Friday.

"That's a pretty significant jump in the unemployment rate when we've been into the recovery this long," said Harry Davis, the chief economist for the North Carolina Bankers Association and an Appalachian State University banking professor.

Many economists believe the national economy started recovering last summer. But job growth lags an economic rebound because companies need convincing that customers won't quickly disappear again. So unemployment may keep rising at the same time there are other indications that economic prospects are improving.

December marked the eleventh straight month the state's unemployment rate has hovered around 11 percent. In December 2008, the state rate was 8.1 percent.

While December's rate may be revised later, it is fractionally higher than the previous peak of 11.1 percent in May.

The national jobless rate in December was 10 percent, the same as the previous month.

Since the U.S. fell into recession in Dec. 2007, North Carolina has lost 248,000 nonfarm jobs. Manufacturers have slashed 95,500 workers since that time, while construction companies cut 65,800.

Those two sectors shed 2,100 positions in December, but the month's biggest loser was the 2,600 jobs cut by leisure and hospitality services like hotels and entertainment companies.

That's no surprise with consumers worried about their incomes cutting back on luxuries, Davis said. More losses at leisure companies can be expected this year, he said.

But manufacturing and construction job losses have about bottomed out, Davis said.

"We've now lost most of the low-paying, low-skilled jobs that are going to go overseas," he said. "We've lost so many that's probably about run its course."

Accompanying Photos

File photo (Associated Press)

Comments

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Beachwalk

January 22, 2010 - 10:47 am EST

Obozo's stimulus has stimulated nothing. The only thing the stimulus is doing is paying back groups like the unions for their votes. Is this really the "Hope and Change" you wanted? Or is it really Hoax and Chains?

kurts12gauge

January 22, 2010 - 2:07 pm EST

Thats not true. The stimulus has stimulated the heck out of government

swerdna

January 23, 2010 - 12:51 pm EST

But wait!!!!! obama SAID unemployment would get to 9% if the stimulus wasn't passed! He SAID it, remember? So it MUST be true! It's up because of bush.

HotRodLincoln

January 22, 2010 - 11:16 am EST

This is the remnants of the Bush senior crafted NAFTA agreement and Regan bank deregulation. See what happens when big money gets their way.

tonymo

January 22, 2010 - 1:29 pm EST

HotRodLincoln is anopther of the programmed sock puppets that simply regurgitate the names Bush/Reagan like a doll does when you pull the string in its back! There is no point trying top explain facts to these fools.

HotRodLincoln

January 22, 2010 - 3:57 pm EST

It's called history. Take a look at it in between Glen Beck and Sean Hannity. Republicans have a dreadful case of history amnesia.

swerdna

January 23, 2010 - 12:59 pm EST

HotRod, Clinton signed NAFTA. The initial agreement was signed by HWB but had to be ratified by both legislative branches before it could become law. This did not happen until Clinton became President, and it was he that signed NAFTA into law.

Clinton also laid the ground work for increased trade with China. Remember his trip to China?

Maybe YOU should be the one looking at some history!

Beachwalk

January 22, 2010 - 4:08 pm EST

NEWSFLASH HotRodLincoln: Clinton signed NAFTA into effect, not Bush.

Doug Johnson

January 22, 2010 - 11:31 am EST

The vote that passed NAFTA was that of Al Gore.How successful was Fannie and Freddie?
This is the Community Organizer ball game now.
He promised unemployment would go over 8% without the stimulus.
It's time for the Community Organizer to stick his thumb in his mouth and blow real hard.
Maybe he could blow out a set!
He's in Ohio talking about green jobs, taking about blowing 150 billion on them.
First were are we going to get 150 billion dollars?
If it doubles the green jobs, it would only adds 85,000 jobs.
.He should know by now, it's easier to talk the talk, than walk the walk.

HotRodLincoln

January 22, 2010 - 11:42 am EST

The countries involved met on December 17, 1992, to sign NAFTA. U.S. President George H.W. Bush, Canadian Prime Minister Brian Mulroney and Mexican President Carlos Salinas, each responsible for spearheading and promoting the agreement, ceremonially signed it. The agreement then needed to be ratified by each nation's legislative or parliamentary branch. It was on Bill Clinton's desk when he stepped into office. Do a little home work and quit listening to Rush and Beck and assuming their poison is the truth. Wow, I don't see Al Gore's name in there anywhere?

truth

January 22, 2010 - 3:13 pm EST

Didn't hear you blame Clinton either. He didn't have to ratify the agreement after all. The only person I remember truly railing against NAFTA during that period was Ross Perot. He might have talked like a hick but he had more sense than HW and Clinton combined.

swerdna

January 23, 2010 - 1:00 pm EST

Clearly, you either didn't READ the entire article on NAFTA or chose to only comprehend that part which would "document" your statement.

Citizen Slain

January 22, 2010 - 11:58 am EST

Any word from our "Jobs Governor"?

Waldo Leidecker

January 22, 2010 - 12:24 pm EST

REWARD THE RICH, PUNISH THE POOR - VOTE REPUBLICAN!

swerdna

January 22, 2010 - 5:21 pm EST

Make a career of letting others support you. Vote democratic

lwwilli

January 22, 2010 - 12:37 pm EST

WOOO ! Hang on people you have not seen anything yet. Just Wait till it comes time to pay the bill. The bill that has already been spent. Look out children and grand children your going to have to pay this bill. People my age will soon be too old to pay it back. SO grab you ankle's it is on its way. IF it hasn't already happen.

GenghisKeef

January 22, 2010 - 1:42 pm EST

Well 85% of the economist say the stimulus did work. Further, this same majority of economist say under the Republican plan, we would be at 25% unemployment. What exactly is historic about this unemployment rate, does the writer expect me to believe this rate is higher than the unemployment of the Great Depression?

DaveW

January 22, 2010 - 2:25 pm EST

When is igliigli going to post again to fire high school and college coaches and athletic directors so we can get unemployment up to 12%?To him apparently 11.2 % is too low.

ncdixie

January 22, 2010 - 2:35 pm EST

It took Clinton's signature to make it into law. Without that it wouldn't have happened. So NAFTA is his baby. If some of you would open your eyes and face the REAL FACTS you might see that your beloved Democrats are just as responsible for the mess we're in as anyone else. You make it sound like all they do is sit around and diddle each other when a (R) is President. Like they have nothing to do with what goes on in Washington at all. Unemployment has doubled since Obama took office and this was AFTER his promise to hit the ground running and take control of the "jobs" situation. His "stimulus" did nothing for the American People. When people finally wake up and realize that the ONLY thing that changed was the name on the mailbox at the White House, and start making your own take responsibility for their part in this mess then and ONLY then will things start to turn around. As long as you give YOUR party a pass for doing everything you claim to have been so bad when Bush did it nothing is going to change but the dollar amounts in politicians bank accounts.

HotRodLincoln

January 22, 2010 - 3:15 pm EST

House of Representatives approved NAFTA on November 17, 1993, by a vote of 234 to 200. The agreement's supporters included 132 Republicans and only 102 Democrats. NAFTA passed the Senate 61-38. The NAFTA agreement was pushed hard by the Republicans. That's how Clinton beat Bush senior in the first place. Of the rich, for the rich, at our expense. Just like that crap the Bush Jr. Supreme court hand down yesterday.

CarolinaBorn

January 22, 2010 - 4:04 pm EST

It was the POLITICIANS who are at fault here, not Rep's or Dem's. So the 102 Dems in the house and the 38 in the senate do not get a pass and get to dump the blame on the Rep's.

swerdna

January 23, 2010 - 1:03 pm EST

But bottom line is: CLINTON didn't veto it. HE signed it into law!!!

Illiterati

January 22, 2010 - 3:52 pm EST

"...the month's biggest loser was the 2,600 jobs cut by leisure and hospitality services like hotels and entertainment companies.

That's no surprise with consumers worried about their incomes cutting back on luxuries, Davis said. More losses at leisure companies can be expected this year, he said."

And Greensboro's City Council and County Commission still think the proposed downtown luxury hotel is a good use of resources. Huh. Whatever amazing data they have to back up their beliefs, I wish they'd share it with the rest of the country.

tbench

January 22, 2010 - 3:59 pm EST

Well you libs that think everything is going so well how about talking to the voters in Mass. Virginia, NJ, (BLUE STATES) think things are going!! We are going Lib cleaning in Nov join the party!

tledford

January 22, 2010 - 4:32 pm EST

You make a good point -- it was angry independents in Massachusetts that gave Brown the Senate seat.

dmm219

January 22, 2010 - 4:33 pm EST

Amen. Too bad 95% of voting citizens are too irresponsible to make rational choices. In the end, we end up with the government that citizens deserve.

MR.SOFTBALL27

January 22, 2010 - 4:17 pm EST

RUSH ROCKS!!!

BillyBob1986

January 22, 2010 - 4:25 pm EST

You must truly be a "free-thinker" Mr.Softball .... or should I say Mr.Softhead.
IDIOTS .... ALL OF YOU

MR.SOFTBALL27

January 22, 2010 - 4:37 pm EST

You are calling me a idiot and your name is billybob wow, Now I am free - free falling!!! RUSH ROCKS

tledford

January 22, 2010 - 4:28 pm EST

Actually, the unemployment rate will remain high indefinitely, the logical result of thirty years of economic policy designed to drive the middle class into poverty. It's working.

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