Although the national unemployment rate dropped to 7.4 percent in the month, a majority of states and the District of Columbia experienced setbacks, the bureau said.
Taking a longer view, the data looks more promising. From July 2012, the unemployment rate has dropped in 36 states and in the nation's capitol, the department said.
Nationally, the unemployment rate was 8.2 percent in July 2012.
In July, California added 38,100 jobs and Georgia gained 30,900. Florida added 27,600 jobs in July, the report said.
The largest decline in jobs occurred in New Jersey, which lost 11,800 jobs in the month. The Garden State was followed by Nevada and Maryland, which lost 10,200 jobs and 9,200 jobs, respectively.
At 9.5 percent, Nevada retained its spot with the highest unemployment rate, although it dropped in the month from 9.6 percent. Underneath Nevada is Illinois at 9.2 percent.
North Dakota retained its spot with the lowest unemployment rate, 3 percent, followed by South Dakota at 3.9 percent.
Boston schools pull out free condoms over wrapping complaints
Ray Liotta sues skin care company over use of likeness