Aug. 16--Construction jobs continue to decline. Businesses are cautious about hiring. And consumers are spending less. The result: For the third straight month, Florida leads the nation in job losses and in July posted its highest unemployment rate in more than 13 years.

Florida's 6.1 percent jobless rate last month exceeded the national rate, and is much higher than the 4.1 percent mark a year ago. That means 572,000 people are out of work, according to a report Friday from the state Agency for Workforce Innovation.

The state lost 96,800 jobs over the past 12 months. California and Michigan trail Florida in job cuts.

"The construction free-fall has not ended," said Bruce Nissen, an economist at Florida International University. Moreover, businesses are curtailing hiring because of the weak economy, he said.

Florida's jobless rate already has far exceeded the state Office of Economic and Demographic Research's year-end forecast of at least 5.3 percent unemployment.

Palm Beach County continues to have the highest jobless rate in South Florida, jumping to 6.9 percent last month from 6 percent a month ago, and 4.9 percent a year ago. Job cuts were concentrated in construction and related positions, as well as telecommunications and financial industries.

The county's unemployment level has not been this high since summer 1998.

Kelly Smallridge, president of the county's Business Development Board, said construction historically has been one of the county's biggest employment sectors.

"This is exactly the reason why it is important as we build a strong economic platform in Palm Beach County that we continue with this mission of building a more diversified economy," Smallridge said.

The county has been working to lure more bioscience, technology, aviation and other industries less susceptible to economic downturns.

Broward County's jobless rate moved up to 5.8 percent in July from 5.2 percent a month ago and 3.9 percent a year ago. Job losses were in construction and related services as well as telecommunications.

As consumers spend less, retailers are forced to close stores and restaurants. That, in turn, results in more unemployment.

Michael Corcoran, 35, lost his job as Sharper Image store manager when his Palm Beach Gardens store closed last month along with the rest of the chain. Corcoran, the father of three young children, plans to pursue his master's degree but needs a job while his wife finishes nursing school.

Sean Snaith, economist for the University of Central Florida, said that given July's jobless numbers "it doesn't appear likely that the economy will regain its touch any time soon."

Marcia Heroux Pounds can be reached at mpounds@sun-sentinel.com or 561-243-6650.

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