Did You See This Morning’s Jobs Report; the Worst So Far of the Year? – Yahoo! Small Business Advisor
By Michael Lombardi
Instead of the employment picture getting better in this country, it’s getting worse!
In today’s jobs report, we’re told 169,000 jobs were added in the U.S. jobs market in August. (Source: Bureau of Labor Statistics, September 6, 2013.) Aside from the fact we need a minimum of 200,000 jobs a month to see a substantial change in the U.S. jobs market, the details in this morning’s report are particularly weak and concerning.
Actually, let’s start with the previous month’s downward revision in employment. The revised numbers that came out this morning show the U.S. economy added only 104,000 new jobs in July, not the 162,000 we were originally told were created in that month.
Moving to August, this morning’s jobs market report shows the only growth in jobs is in the low-wage-paying sectors. Add up all the new retail, health care, business services, and hospitality jobs, and 71% of all jobs created in August were in the low-paying sectors!
The underemployment rate, which includes those people who have given up looking for work or who have part-time jobs because they can’t get full-time jobs, still sits near 14%! (The politicians will never talk about the underemployment rate—what economists like me consider the real employment rate—because this number shows the jobs market is not improving.)