The Spanish Government has issued a statement that said more people filed unemployment benefit claim applications in August than the previous months marking the end of a three month period when unemployment seemed to be decreasing in the country.

According to the latest figures from the Spanish labor ministry, the economy shed 84,985 jobs in August, representing a 2.4% increase. The latest surge in unemployment, raised the total number of people without a job in Spain to 3,629,080 in August from July. August jobless claims were up 43% on the year.

The sudden increase in unemployed citizens is suspected to be as a result of seasonal work that has now come to a close, leaving temporary workers once again without a job.

On a separate but related note, the duelling Socialist and leftist government groups reached a decision to offer an extended aid package of €420 a month to unemployed people which is not going to help the government work through their deficit that is starting to spiral of control.

Since July, the Labour Ministry reported that unemployment in Spain rose by about 2.4%.

However, despite the rise this year, the overall increase in unemployment for August is still less than the figures seen in 2008 which may be marking a return to a more stable economy and job environment.