HispanicBusiness

Italy's unemployment in July held at a seasonally adjusted 10.7 percent as businesses were reluctant to hire amid the country's fourth recession since 2001.

June's joblessness rate was revised to 10.7 percent from 10.8 percent, national statistics agency Istat said in a preliminary report on Friday.

The eurozone's third-biggest economy shrank during the first half of the year, meaning it has contracted for four-straight quarters.

On an annual basis, Italy's unemployment during the second quarter grew 2.7 percent over the same period in 2011, putting it at the highest level for that quarter since 1999 when 11.2 percent of Italy's workforce was unemployed.

The weak economy is prompting consumers and companies to cut back on spending, while the government has reduced household spending power by raising taxes.

Meanwhile, Italian family incomes are at the same level as 2011, according to a report.