Japan’s Jobless Rate Rises to 5.4%

Japan’s unemployment rate rose to a six-year high in June, damping hopes that consumers in the world’s second-largest economy will start to reap the benefits of a rebound in exports and production.

The jobless rate advanced to 5.4 percent from 5.2 percent in May, the statistics bureau said in Tokyo. The number of positions available to each job applicant rose stood at 0.43, a record low, the Labor Ministry said.

Manufacturers have fired thousands of workers to cope with the fallout in world demand from the most severe global recession since Great Depression. A rising unemployment rate is likely to weaken consumer spending, delaying a recovery in the world’s second-largest economy.

Given Japan’s current production levels, companies have 6 million extra workers, the highest ever, the Cabinet Office said last week.

Japan’s Jobless Rate Rises to 5.4%

TradingEconomics.com, Bloomberg
7/30/2009 7:57:29 PM