Another interesting look at the numbers — what do the numbers tell you? Is unemployment really going down because people are getting jobs, or is it because they have given up?
Its really hard to say — even for me — and that’s as an HR professional, hiring manager, and the girl of a guy who was laid off in 2009 and has been on a roller coaster of a ride to find work over the last few years. I can see it from all angels — but its also hard to refute what we’ve actually been through — since I’m in a unique experiencing this on both sides of the argument.
What do you think?
The nation’s unemployment rate fell this morning to 7.6%.
That’s good news…right? Home prices are rising smartly around the country. That’s good news…right? Wrong…on both counts.
Unemployment is only lower because there are fewer workers in the labor force. Single-family home prices are only higher because institutional investors are buying up distressed properties, one at a time and in bulk, as fast as their flash cash can fly.The falling unemployment rate is easy to see through. With only 88,000 jobs added in March, where estimates called for 200,000 new jobs, the ranks of the unemployed only decreased because the number of people in the total labor force decreased.Workers are still here, only they’ve given up looking for work and because they aren’t considered unemployed if they aren’t looking for work, the rate goes down. America’s labor participation rate is now 63.3%. That’s the lowest it’s been since 1979. Unemployment isn’t shrinking. The number of people looking for work who haven’t been able to find jobs for months and years and have just given up isn’t shrinking, it’s growing.