WASHINGTON, Sept. 18 (Xinhua) -- Fourteen U.S. states and Washington D.C., reported unemployment rates of 10 percent or above in August, said the Labor Department Friday.

    The department reported that 42 among the 50 states lost jobs last month, up from 29 in July and 27 states saw their unemployment rates increase in August.

    Michigan's unemployment rate rose to 15.2 percent, the highest in the nation. When its jobless rate topped 15 percent in June it was the first time any state surpassed that mark since 1984. 42,900 jobs disappeared in the state in August, including 25,000 in manufacturing, as the state continued to suffer along with its struggling auto industry.

    Nevada has the second-highest rate at 13.2 percent, followed by Rhode Island at 12.8 percent and California and Oregon at 12.2 percent each.

    It is widely believed that the U.S. economy is pulling out of the worst recession since the 1930s. However, high level of unemployment has become the major concern.

    Federal Reserve Chairman Ben Bernanke said earlier this week that the recovery isn't likely to be rapid enough to reduce unemployment for some time.

    The jobless rate nationwide is expected to peak above 10 percent next year, from its current 9.7 percent.

    The United States lost 216,000 jobs in August, the Labor Department said earlier this month, down from 276,000 in July.