US Unemployment Rate Climbs to Year’s Highest Level

Posted July 8th, 2011 at 10:20 am (UTC-5)
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The unemployment rate in the United States increased to 9.2 percent in June, the highest level this year.

Friday's report from the Labor Department showed that American employers added only 18,000 jobs in June, the smallest increase in nine months and another indication that the U.S. economy is still struggling to recover from a deep recession.

The June unemployment rate was one-tenth of a percentage point higher than the previous month and the highest since December of 2010.

Opposition Republican lawmakers called the new numbers “completely unacceptable,” and blamed what they called a “federal spending binge” for continuing to hold back U.S. job creation.

The Obama administration acknowledged that faster growth is needed to replace jobs lost in the economy's downturn, and called for bipartisan action to help the private sector and economy grow.

Republicans and Democrats are currently negotiating about how to reduce the government's huge deficit. The White House wants to cut spending, while increasing revenue by cutting certain tax breaks. Republicans want to mainly cut spending and not raise taxes.