Unemployment rises to 9.6 percent

WASHINGTON, Sept. 3 (UPI) -- The U.S. economy shed 54,000 jobs in August as the employment recovery eroded for the second consecutive month, the Bureau of Labor Statistics said Friday.

The unemployment rate rose to 9.6 percent from 9.5 percent a month earlier.

The economy lost 131,000 jobs a month ago, but the unemployment rate remained intact at that time.

The Labor Department report looks to paint the labor market as stagnant, rather than crumbling.

"The unemployment rate was about unchanged," the report says. Later, it says the rate was "little changed."

There were ups and downs among various industries. Healthcare added 28,000 jobs and mining added 8,000. Manufacturing lost 27,000 and temporary jobs in professional services rose by 17,000. In construction, 19,000 jobs were added, but 10,000 of those involved workers returning from a July strike, the Labor Department said.

In retail, the addition of 8,000 jobs in the automotive industry was "essentially offset" by the loss of 6,000 jobs in building materials and garden supply stores, a seasonal swing.