BY: Adam Gavriel
After Wednesday night’s debate, where Governor Mitt Romney was declared the winner, President Barack Obama got what he would say is some good news Friday. The September jobs report was released, the United States jobless rate dipped below 8% for the first time since the POTUS took office. The US jobless rate, which some despute how they came to those numbers, is on the surface at its lowest point since 2009 dropping from 8.1% in August to 7.8%. The report also shows that the economy added 114,000 jobs although that number was 86,000 fewer than were created in July, and less than in June. The number also does NOT take into account the number of Americans who’ve stopped looking for jobs at all.
But the Labor Department on Friday revised their findings to reveal that the figures reported for August and July were a bit higher than they had previously reported.
“The number of new jobs created in August was revised up to 142,000 from an original estimate of 96,000. July’s figure was revised up to 181,000 from 141,000.”
The market responded Friday morning with U.S. stocks opening higher after the release of the reports.
What appears to be a clear PR win for President Obama however has two sides. This is just the second time in President Obama’s four year tenure that the unemployment rate was below 8%. In fact, the last time US unemployment was less than 8% was at the very beginning of the president’s tenure back in January of 2009.
This news however is a marginal improvement for the US employment spectrum if you believe the numbers as they are reported. Companies are still not adding workers as fast as they did earlier in the calendar year. There is also not much reason to believe that job creation will continue to grow before the end of the year. And arguably the most important factor, consumer spending has leveled causing many industries and businesses to delay hiring and investment decisions until after the election this November.
According to the report on marketwatch.com it would take 28 months at this pace for the US to recoup all the jobs that were lost during the recession. Another thorn in the president’s side, despite the good news, is that the U6 jobless rate (includes those who can only find part-time jobs or have given up looking for work) remained unchanged last month at a dismal 14.7%
At Crossroads Consulting we are trying to do our part to keep the unemployment rate dropping. We have job openings across the nation that are updating every day, and we want to help you get that job. Our employees will help you every step of the way from making sure your resume is right, to placing you right into the company.
Remember, we’re here to put the ‘human’ back into ‘human resources.’