BluegrassForeclosure.com

Kentucky’s unemployment rate has dropped to 10%, which is still high.  While on the surface this may seem good, the primary reason for the jobless rate decline is due to workers dropping out of the long term labor pool.  They are becoming discouraged and simply giving up on finding a job.  Which means the economy, while possibly stabilized for awhile, is not creating new jobs to cut into that 10% rate.  The recession may be overly, at least from a technical standpoint, but we are far from recovering any time soon.  I’m no economist, but if we don’t see some job creation soon, we may be facing a double dip recession.

Here’s some more info from the state:

Kentucky’s seasonally adjusted preliminary unemployment rate fell to 10 percent in June 2010, the lowest rate in 16 months, according to the Office of Employment and Training (OET), an agency of the Kentucky Education and Workforce Development Cabinet. The revised rate in May 2010 was 10.4 percent.

The June 2010 jobless rate is .8 percentage points lower than the 10.8 percent rate recorded in June 2009 for the state. The 10 percent rate recorded in June 2010 is the lowest unemployment rate recorded since February 2009 when the rate was 9.6 percent.

“The decrease in Kentucky’s unemployment rate in June 2010 is driven by a decline in the civilian labor force. Individuals who have faced long-term unemployment are becoming discouraged and dropping out of the labor force,” said Dr. Justine Detzel, OET chief labor market analyst.

The U.S. seasonally adjusted jobless rate decreased from 9.7 percent in May 2010 to 9.5 percent in June 2010, according to the U.S. Department of Labor.