A TALE OF TWO ECONOMIES

BY: Adam Gavriel

The American unemployment numbers for May have been released, and they tell an interesting story. While May’s unemployment rate rose from April’s (7.5%) to 7.6%, payrolls also increased by 175,000 in America. This is just a mere fraction of the story, as many Americans came in and flooded the labor force.

As many economists have been saying, the unemployment numbers must be taken as a grain of salt since it does not account for Americans that have left the labor force or underemployed Americans. May tells the story perfectly as payrolls increased much more than expected and still the unemployment rate rose.

From Bloomberg.com:

“The economy has really held up much better than expected, considering the strong fiscal headwinds that we’re experiencing right now,” said Russell Price, senior economist at Ameriprise Financial Inc. in Detroit, who correctly projected the rise in the unemployment rate. “The underlying fundamentals of the economy are very supportive, and once these headwinds recede somewhat, that the economy can gain momentum.” 

The household survey displayed that government sequestration will continue to have an impact on government jobs. Employment at federal agencies, excluding the post office, dropped 9400 last month; while private payrolls saw an increase of 178,000 up from 157,000 the month prior.

““We’re seeing losses of government jobs,” Krueger said in an interview on Bloomberg Television. “We’re making progress, but we would do even better if Congress would get out of the way.”” 

A tale of two economies.

One story paints a picture of a recovering economy, while another shows a bleak outlook on the horizon. Gridlock in congress, and a government sequester looming in the distance can certainly slow the recover of the American economy that is oh so necessary.

Americans need to get working again, and that’s where we come in.

At Crossroads Consulting, we pride ourselves on being an employment agency that is dedicated to putting the ‘human’ back into ‘human resources.’ We want to work with you from step one to placing you in your dream job; and we want to get started today. At Crossroads Consulting, we are also a search firm, so if we come knocking on your door, don’t worry it’s not the NSA, just us trying to help.

We are a full service employment agency. If you’re not comfortable with your resume? Contact us. If you can’t seem to find the job you’re looking for, or the human interaction in the process that you crave? Contact us. Our job is to get you working TODAY.

Remember, we’re here to put the ‘human’ back into ‘human resources.’ More importantly, we’re here to make sure the unemployment number never gets higher than 7.6% again, and for that, we need your help.

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