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It wouldn't make sens if it did, it would be an endless circle.
Strange thing is that sometimes, the job happiness will increase even though unemployment did increase.
Check out some of your unemployed people. Their job happiness may tend to 0, as they are unemployed and thus unhappy. Obviously, not only employed people are taken into account. Not sure about children and pupils/students.
Here's the fix however: Save your game, exit to main menu, and reload the game. Your job happiness will much higher as it should be.
To recap; Set all wages to their highest value. That's how you increase job happiness.