California job growth hits the brakes

The L.A. Times reports:

Dragged down by the real estate slump, California's employment engine ground to a near standstill in June with a net gain of 400 positions, according to state figures released Friday.

By comparison, the state added 16,200 jobs in May and 4,800 in April.

As expected, financial activities and construction were the biggest losers among six sectors that posted employment declines in June, the Employment Development Department reported.

Reflecting layoffs by troubled subprime mortgage lenders and the big chill in home building, the financial activities sector lost 5,700 jobs, while construction shrank by 5,300. By comparison, the four other declining sectors lost a total of 5,900 jobs.

But,"Government employers added 4,600 jobs".