Tennessee is one of 44 states that saw a rise in unemployment in July.
Last Thursday, Karla Davis, Tennessee commissioner of the Department of Labor and Workforce Development, announced that the Volunteer State’s unemployment rate for July increased to 8.4 percent.
That’s up from June’s revised rate of 8.1 percent.
Kevin Green, with Robert Half Finance & Accounting, a division of staffing agency Robert Half International, said there are short-term and long-term issues impacting the numbers.
In the short term, the summer always brings a slowdown.
"The second short-term thing that we're kind of up against right now is companies with fiscal calendar years are heading into the budget cycle right now," he said. "It's always a matter of making sure that any new hiring is going to be funded in next year's budget."
Total nonfarm employment increased in Tennessee by 6,400 jobs from June to July.
“There were increases in local government, education/health services and durable goods manufacturing,” according to the state’s website.
Areas that saw small declines are administrative, support and waste services.
Unemployment in Chattanooga for June was at 8.2 percent.
The national unemployment rate in July was 8.3 percent, which is slightly higher than June’s rate of 8.2 percent.
CNN reported that two states and the District of Columbia saw decreasing unemployment rates in July.
Four states had no changes, according to the Department of Labor and Workforce Development and CNN.
In broader terms, the election may be impacting unemployment rates, Green also said.
"I think that it's kind of creating a level of uncertainty in terms of which way things are going to go," he said. "When that level of uncertainly is created, the natural impulse is for people to sort of sit on their hands."
But there is a tiny glimmer of good news.
"We are still seeing job growth," he said. "It's minute, but at least we still see some positive direction."
Updated @ 12:07 p.m. on 08/20/12 to add more information as it became available.
