The Orange County unadjusted unemployment rate fell to 6.3% last month, down from a revised 6.5% in June, and below the year-ago estimate of 12.3%. That compares to an unadjusted unemployment rate of 7.9% for California and 5.7% for the U.S. during the same period.

While the local jobless rate dipped slightly, total non-farm employment in OC fell by 4,700 jobs to 1.58 million between June and July, the California Employment Development Department said today.

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Government declined by 13,300 jobs in OC, the most of any sector, as schools closed for the summer recess. Payroll employment also decreased in three other sectors: educational and health services, construction and manufacturing.

The largest month-over increase was in leisure and hospitality -- up 5,800 jobs -- while arts, entertainment and recreation also showed strong gains, according to EDD.