States' Hidden Jobless Woes

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California and Nevada are struggling with some of the nation's highest rates of workers who are looking for jobs or not putting in as many hours as they would like, new government data show.

The ranks of these individuals aren't reflected in the overall jobless rate in the U.S. Labor Department's monthly unemployment report. That report—July's figures will be released Friday—is the best gauge of the health of the labor market. But the overall jobless rate, which now stands at 8.2%, doesn't tell the whole story.

For example, the national unemployment rate doesn't take into account people who want to work but haven't looked for a job in the previous four weeks because they figured none were available.

The national unemployment rate also doesn't account for people in part-time jobs who would prefer full-time work. To get a broader view that encompasses both groups, economists at the federal Bureau of Labor Statistics track the under-employment, or U-6, rates for states and the entire country.

According to Labor Department figures released late last week, California and Nevada are struggling not just with high unemployment, but also severe under-employment. California's average unemployment rate from July 2011 through June 2012 was 11.2%, but its broader under-employment rate was far higher, at 20.3%.