Unemployment in Tennessee declined by two-tenths of a percent in September but remained above the U.S. average, the state Department of Labor and Workforce Development reported today.

Tennessee’s jobless rate last month was 10.5 percent, down from the revised 10.7 percent in August. The U.S. unemployment rate last month was 9.8 percent.

“Tennessee’s unemployment rate continues to show stabilization with no significant change over the last five months,” Labor Commissioner James Neeley said. “Following national trends, we are seeing fewer job losses and fewer workers seeking employment.”

The state’s jobless rate a year ago was 6.9 percent.

Over the past year, Tennessee has lost a net 39,500 jobs in manufacturing, 28,900 jobs in construction and 27,900 jobs in trade and transportation. Health care added 7,600 jobs and local government employment was up by 2,800 jobs in the past 12 months in Tennessee.