California's jobless rate dropped to 8.5 percent in November, continuing a positive trend after increasing temporarily over the summer.
The Employment Development Department said Friday that the unemployment rate fell two-tenths of a percentage point since October.
It had fallen to 8.5 percent in June before bouncing back up to 8.9 percent by August.
More than 44,000 non-farm jobs were added.
The U.S. Labor Department says California, Texas and Indiana reported the largest job gains in November as hiring improved across the country.