The U.S. energy sector was a big outlier in the otherwise encouraging jobs report for June: while almost every other industry increased employment, the number of people working in oil and gas continued to drop.

According to government data from the Bureau of Labor Statistics (BLS), oil and gas extraction businesses shed 1,200 jobs last month. Including other categories associated with the sector—such as support services, pipeline construction and drilling—payrolls fell by a combined 10,000 positions, according to an analysis of the BLS data by Rystad Energy, a consultancy.

The job cuts last month added to the 100,000 job losses suffered by the sector since the pandemic began, Rystad said, underlining the deepening economic malaise in oil-producing areas.

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