New data show California’s unemployment rate went up slightly in May. But analysts say it’s a sign the state’s economy is actually getting better.
The unemployment rate was 6.4 percent in May. That was up from 6.3 percent in April.
“But that should not really worry anybody,” says Chapman University economist Esmael Adibi. He says the reason we shouldn’t fret about that tenth of a percent increase is because it means the people who gave up looking for jobs during the Great Recession are searching again.
Adibi says he won’t be surprised if the unemployment rate continues to go up this year.
“Mainly because of getting those discouraged workers coming back – that’s actually good news. We love to create jobs and at the same time getting those people back to the labor force to generate income, spending and tax revenue.”
California added more than 54,000 jobs between April and May, according to the State Employment Development Department.