California's unemployment rate jumped to 10.1 percent in January from 8.7 percent in December.
Jobs have disappeared in construction, finance and retail.
California was one of four states including South Carolina, Michigan and Rhode Island to register unemployment rates above 10 percent in January.
Some economists are predicting the rest of the nation will catch up by the end of the year, and unemployment will peak at 11 percent or higher by mid 2010.
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