Employees in manufacturing sector still feel pain

According to new statistics released by the U.S. Labor Department, nonfarm employers cut 345,000 jobs in May.

The government also reports that the unemployment rate increased from 8.9 percent in April to 9.4 percent in May. Manufacturing continued to post "steep job losses."

All in all since the recession began well over a year ago, payroll employment has declined by 6 million. Not until this month did the U.S. economy witness a real moderating in the rate of decline among some sectors that have been battered over the last few months including construction, professional services and retail.

However, manufacturers continue to be wracked by large numbers of cutbacks. According to the Labor Department, manufacturing employment fell by 156,000 in May largely in motor vehicles and parts, machinery and among fabrication companies.

Given the weak consumer demand for new cars and the ongoing trouble at the U.S. automakers, it's rather unsurprising to hear that employment in motor vehicles and parts has fallen by roughly 50 percent since February 2000 - its most recent peak.