Disappointing jobs report -- with silver linings
Unemployment rose and employers added fewer jobs than expected last month, the Labor Department announced this morning. Employers added only 39,000 jobs last month. Analysts had expected a bump of about 150,000. In prior months this year you could blame poor employment results on the Census. The program was laying off tens of thousands of temporary workers, which depressed the overall job-growth results. The the Census has pretty much downsized by now, so the shrinkage in government jobs last month is about something else -- perhaps states laying off employees now that federal stimulus money is running out.
But there are some slightly bright spots. Private employers added another 50,000 jobs last month, indicating that at least some businesses see growth perking up. The increase in unemployment from 9.6 percent to 9.8 percent may actually be (sort of) a silver lining if it indicates people are returning to the job market because they see prospects picking up. (The Labor Department counts you as unemployed only if you're actively looking for a job.) Of course the impending termination of unemployment benefits for many Americans may be a more likely reason for more people seeking jobs.
Other reasons to not be completely dejected: New applications for unemployment benefits have been falling substantially recently. And the Labor Department has shown a pattern this year of underestimating payroll job growth, a pattern that was repeated in recent months. October job growth was 172,000, revised upward from 151,000. And September's job loss was revised from 41,000 to 24,000. Still, we're trying to put makeup on a warthog, here. The economy needs to be adding at least 200,000 jobs a month to reduce unemployment, and it's clear that's not happening.
Comments
Jay, please, there is NO SILVER LINING with this administration. Stop kidding yourself. The Govt is printing so much money, it's not even funny, oh wait yes it is, it's funny money, that's only going to kill our economy even more with inflation going out of control, and please don't tell me that there is no inflation because the Govt. says so. Isn't it curious that when they put out inflation numbers it doesn't include food & energy? DUH!!!
Posted by: bob k | December 3, 2010 11:03 AM
The expiration of unemployment benefits for so many must be part of the reason that folks are returning to "the hunt" and thus being included in unemployment statistics.
I almost lost it the other day when I read the article about unemployment benefits expiring in December after many had been on for more than a full year. Makes me feel like a chump for working this whole time when I could have been on the dole...
Posted by: John J. Walters | December 3, 2010 12:18 PM
The uncomfortable truth in all this is less the reality of the jobless... that that doesn't seem to be enough meaningful or at least rewarding work for those who need it... the harder thing to accept and reconcile within our systems is that there are simply too many people.
A whole lot too many people.
With less competition for the work that actually NEEDS doing and less competition for the work that might actually benefit us... those jobs would pay better and have better benefits and still might manage to get accomplished in just 4 days or 32 hours per week as well.
At the same time that the manufacturing and industrial base of the country was retrenching and even the more technical fields were gaining both competencies and efficiencies unheard of before... the mass of our population kept pumping out and pumping out more and more for whom there imply aren't enough jobs to go around to.
A whole lot fewer than enough.
Let alone the wages and benefits.
During the last forty years the broadest achievement of our domestic economy has been centered on housing and autos and road miles for these masses of people to all have their own bedroom, their own car and room on the highway to not too inconveniently get from their ticky-tacky suburban home to their their job making or supporting th making of more homes and more autos and more appliances and more road miles that asphalt over ever more farmland at the same time that ever more people are eating poorly or not at all.
Too many people.
Posted by: MrRational | December 3, 2010 9:35 PM