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Delaware State Auditor Tom Wagner did not have sufficient cause for dismissing his top assistant Kathleen Davies.

That’s according to a new review by the state Labor Department.

The Wilmington News Journal reports that she was dismissed by Wagner in December of last year.

She is now running for state auditor.

The new report comes on the heels of Davies being denied unemployment benefit for allegedly violating accepted auditing standards among other claims.

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DOVER, Del. (AP) - Officials say more than 200,000 Delaware residents have been put at risk of identity theft following a breach of a state Labor Department job-seeker database earlier this month.

Delaware Department of Labor Secretary Patrice Gilliam Johnson said Wednesday that the attack occurred after a hacker created a job-seeker account in the Delaware JobLink database and then exploited a vulnerability in the system.

The database connects job seekers with employers and contains information from about 253,000 people in the state.

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The unemployment rate in Delaware inched up slightly to 4.4 percent in January – the first change since July when it was 4.3 percent.

That’s according to the Labor Department.

The Wilmington News Journal reports that the increase appears to be the result of people returning to the workforce faster than its expansion.

The labor force had grown by 600 people while the number employed rose by 400.

The paper reports that the figures are based on the latest monthly surveys of around 13-hundred businesses and 850 households in the First State.

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RICHMOND, Va. (AP) - Virginia Gov. Terry McAuliffe says the U.S. Department of Labor has given $200,000 to the state to expand apprenticeships.

McAuliffe's office announced the award Tuesday, saying it's part of an effort to double the number of apprenticeships nationwide by 2019.

The governor said in a statement that every dollar spent on apprenticeships generates a $1.47 return for an employer.

McAuliffe has made it a high priority to revamp Virginia's public education system to put a greater emphasis on workforce training programs.

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There’s a recommendation that the Delaware Department of Labor be overhauled in the wake of an investigation that found allegations of racism and an unhealthy work environment.

The Wilmington News Journal reports that it has learned under a Freedom of Information Act request that the deputy director of the Office of Management and Budget has called for changes to deal with a lack of professionalism and cultural insensitivity.

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Delaware Labor Secretary John McMahon is stepping down amidst allegations of workplace racism in his agency.

He announced yesterday that he will be retiring at the age of 73.

The issue of racism in Delaware state government has gotten the attention of Governor Jack Markell who recently received a report by African American leaders that found state employees complaining of a racially hostile environment.

The Wilmington News Journal reports that Markell is expected to name a replacement in the coming days and he praised him for his work during the Great Recession.

Don Rush

RICHMOND, Va. (AP) - Virginia's jobless rate fell to 4.8 percent in December, marking the state's lowest unemployment rate since October 2008.

The state's seasonally adjusted unemployment rate was down from 5 percent in November and down from 5.2 percent a year ago.

The Virginia Employment Commission says job gains were seen in six major industries, including leisure and hospitality and total government. Job losses were recorded in five other industries, including construction.