Nov. 6--Marilynn Shields has not worked in almost two years and admits her immediate job prospects are daunting.

"There's one opening in the field I'd like to be in," Ms. Shields, 63, of Clarks Summit, said Friday as she glanced at a computer at the state CareerLink office in Scranton. "It's terrible."

U.S. unemployment hit a 26-year high of 10.2 percent in October, the Labor Department reported Friday. The actual unemployment rate, which also includes people who have stopped seeking jobs or work part-time because they can't find full-time employment, is 17.5 percent.

The rising jobless rate, which economists expect could surpass 10.5 percent next year, could threaten the recovery if it saps consumers' confidence and makes them more cautious about spending as the holiday season approaches. The October unemployment rate -- reflecting nearly 16 million jobless people -- jumped from 9.8 percent in September. The job losses occurred across most industries, from manufacturing and construction to retail and financial.

The regional jobless rate in September was 9.5 percent, the highest since December 1993. Despite some positive economic trends, unemployment numbers continue to swell.

"This seems to be shaping up to be a classic jobless recovery," said Satyajit Ghosh, Ph.D., an economics professor at the University of Scranton. "Companies are in no hurry to commit themselves to hire a bunch of new people in permanent jobs."

Those like Ms. Shields, who collects unemployment benefits, find the outlook worrisome.

She last worked in a medical office in January 2008 and wants to find a job in accounting or customer service. She signed up for a five-week computer training course at CareerLink to improve her prospects.

"If you want to work in an office, you have to have computer skills," Ms. Shields said. "I believe I will be able to find something, even if it's part-time."

Unemployment aside, some might draw hope from recent government reports pointing to an economic rebound. The economy grew at a 3.5 percent rate in the third quarter and orders for durable manufactured goods increased by 1 percent in September.

But Dr. Ghosh sees higher unemployment ahead, possibly moving closer to 11 percent nationally and topping 10 percent regionally.

"We won't see, any time soon, the job numbers becoming better and it may continue to get worse," he said.

Contact the writer: jhaggerty@timesshamrock.com

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