More than half a million jobs were lost in the US last month, taking the unemployment rate to its highest in 16 years.Job losses over the whole of last year totalled 2.6 million, the biggest annual loss since 1945 when 2.75m jobs were shed, the US labour department said.The bulk of the year's job losses came in the last four months when 1.9m people were laid off. In December alone, US employers cut 524,000 jobs. The original numbers for October and November were also revised higher.Analysts said that companies had been cutting staff in anticipation of a very difficult year."These figures suggest that businesses have been focusing on clearing the decks to match their workforce to the economic conditions we will see in 2009," said John Silvia of Wachovia.The unemployment rate hit 7.2% last month, up on 6.8% in November and the highest since January 1993.
More than half a million jobs were lost in the US last month, taking the unemployment rate to its highest in 16 years.
Job losses over the whole of last year totalled 2.6 million, the biggest annual loss since 1945 when 2.75m jobs were shed, the US labour department said.
The bulk of the year's job losses came in the last four months when 1.9m people were laid off. In December alone, US employers cut 524,000 jobs. The original numbers for October and November were also revised higher.
Analysts said that companies had been cutting staff in anticipation of a very difficult year.
"These figures suggest that businesses have been focusing on clearing the decks to match their workforce to the economic conditions we will see in 2009," said John Silvia of Wachovia.
The unemployment rate hit 7.2% last month, up on 6.8% in November and the highest since January 1993.
NEW YORK (Reuters) - Any U.S. job market recovery is at least several months away, staffing industry executives say, citing comments from customers, weak consumer spending and evidence in the December jobs report that employers are cutting hours and overtime. The economy shed 524,000 jobs outside the farm sector last month, fewer than expected, and the unemployment rate jumped to 7.2 percent, the highest since January 1993. Job losses in October and November were bigger than initially estimated.
NEW YORK (Reuters) - Any U.S. job market recovery is at least several months away, staffing industry executives say, citing comments from customers, weak consumer spending and evidence in the December jobs report that employers are cutting hours and overtime.
The economy shed 524,000 jobs outside the farm sector last month, fewer than expected, and the unemployment rate jumped to 7.2 percent, the highest since January 1993. Job losses in October and November were bigger than initially estimated.
U.S. President-elect Barack Obama said the jobs data was a "stark reminder" of the need for speedy passage of a stimulus package. "Clearly the situation is dire. It is deteriorating and it demands urgent and immediate action," Obama told a news conference. Germany, Britain, France, Spain and Sweden meanwhile all reported slumping industrial output with some posting the worst figures in many years. Germany reported its biggest annual fall since 1993, dragged down by a downturn among manufacturers that is threatening to cause the worst recession in the country's post-war history. Preliminary Economy Ministry figures showed output fell by 10 percent year-on-year as demand for cars and other capital goods faded across the globe. "We're at the start of a really deep recession," said Juergen Michels, an economist at Citigroup in London.
U.S. President-elect Barack Obama said the jobs data was a "stark reminder" of the need for speedy passage of a stimulus package.
"Clearly the situation is dire. It is deteriorating and it demands urgent and immediate action," Obama told a news conference.
Germany, Britain, France, Spain and Sweden meanwhile all reported slumping industrial output with some posting the worst figures in many years.
Germany reported its biggest annual fall since 1993, dragged down by a downturn among manufacturers that is threatening to cause the worst recession in the country's post-war history.
Preliminary Economy Ministry figures showed output fell by 10 percent year-on-year as demand for cars and other capital goods faded across the globe.
"We're at the start of a really deep recession," said Juergen Michels, an economist at Citigroup in London.
More US workers lost jobs last year than in any year since World War II, with employers axing 2.6 million posts and 524,000 in December alone. The US jobless rate rose to 7.2% in December, the highest in 16 years. The official data came as plane-maker Boeing said it would cut 4,500 jobs this year at its commercial airline arm due to the global economic slowdown. US President-elect Barack Obama said that the economic situation is dire and action is urgently needed.
More US workers lost jobs last year than in any year since World War II, with employers axing 2.6 million posts and 524,000 in December alone.
The US jobless rate rose to 7.2% in December, the highest in 16 years.
The official data came as plane-maker Boeing said it would cut 4,500 jobs this year at its commercial airline arm due to the global economic slowdown.
US President-elect Barack Obama said that the economic situation is dire and action is urgently needed.
