Japan's unemployment rate climbed in June, while deflation deepened its grip on the world's second largest economy.
The country's jobless rate rose to 5.3 percent, up for the fourth consecutive month and hitting its highest level since November.
The actual number of jobless fell 1.1 percent from the previous year to 3.44 million, according to the Ministry of Internal Affairs and Communications. Those with jobs fell 0.3 percent to 62.8 million.
Meanwhile, deflation continued as Japan's core consumer price, which excludes fresh food, index fell 1 percent from a year earlier. The government's new high school tuition breaks weighed heavily on prices, dragging education costs down 13 percent.
Friday's data suggests that Japan's export-driven recovery has been slow to reach workers. Because of lackluster domestic demand, companies have been dropping prices to spur demand.
The core CPI for Tokyo - considered a barometer of broader price trends - fell 1.3 percent in July, pointing toward another nationwide drop this month.
Lower prices may boost individual purchasing power, but deflation is generally bad for an economy. It plagued Japan during its "Lost Decade" in the 1990s, hampering growth by depressing company profits, sparking wage cuts and causing consumers to postpone purchases. It also can increase debt burdens.
Japan's central bank says it does not tolerate deflation but it expects prices to continue falling for the next couple of years.
In a separate report, the ministry said average monthly household spending rose a real 0.5 percent in June.
A labor ministry report showed slightly improving conditions for those looking for work. The ratio of job offers to job seekers stood at a seasonally adjusted 0.52 in April, up from 0.50 last month. That means there were 52 positions available for every 100 job seekers.
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