The Labor Department figures for July show a gain of 71,000 jobs in the private sector, but overall employment fell by 131,000. The unemployment rate remains at 9.5%, and the underemployment rate at 16.5%. Gains in the private sector were made in manufacturing, education and health services. Economists had forecast a rise in the unemployment rate, but workers leaving the workforce helped it to remain stable. The Census Bureau still has temporary workers that it will let go, leading many to say that the private sector is a better gauge of the economic recovery.
See "U.S. Economy: Companies Hire 71,000 Workers, Less Than Forecast", Timothy R. Homan, Business Week, August 5, 2010