Tag Archives: unemployment

DECEMBER JOBS NUMBERS – DECEIVING US AGAIN?

0110jobsreportBY: Adam Gavriel

December’s numbers on United States unemployment percentages show just how much you need to question the reports. Despite adding just 74,000 jobs in December, the US Unemployment rated dropped 0.3% to 6.7% from 7%.

The 74,000 jobs that were added came in at 123,000 LESS than expected job adds for the month, according to Forbes. On top of the unemployment rate, the labor force participation dropped to 62.8%, the lowest rate in more than 35 years. The labor force participation rate is defined as the ratio between the labor force and the overall size of the population.

“’This has been a two steps forward and one step back recovery,’ said Mark Hamrick, Washington bureau chief at Bankrate.com, in a phone interview. While the lowest since October 2008 unemployment rate looks strong that survey only counts people who are looking for work as unemployed, suggesting many people left the labor market last month. The number of unemployed declined by 490,000 to 10.4 million”

Chief US Economist Paul Ashworth believes the low job numbers could be attributed to the poor weather the nation experienced in December. In a survey, 273,000 people reported not being able to work due to weather in December. In November, this number was just 37,000.

“In a phone conversation, PNC Chief Economist Stuart Hoffman urged people to take the new data in stride, noting that if you average the October, November and December numbers you get 172,000 jobs added a month, not far from the 182,000 per month average for the year. ‘Maybe it does mean you curb your enthusiasm a little bit about the economy being ready to break out on the upside, but I don’ t think there is any last weakness.’ He also expects upward revisions to December and 2013.”

The article dissected the numbers a bit further, and reported:

“The jobs that were added came largely from retail and wholesale trade which gained 55,000 and 15,000 jobs respectively. In retail, food stores and clothing stores added 12,000 each, general merchandisers added 8,000 and care dealers added 7,000. The holiday season hiring beat the retail 2013 average by 23,000… manufacturing and mining also added jobs.”

So while on the surface, the 6.7% unemployment is a great thing, looking a little deeper at the numbers could reveal a different story. The unemployment rate never accounts for Americans who have left the job force, and you have to believe with just 74,000 jobs added in December, and the Unemployment rate shrinking, that might have been a figure quite high for Americans liking.

At Crossroads Consulting, we wait, eager and ready to help America’s unemployment rate decline the right way. With nearly 50 positions we are looking to fill TODAY, get in touch with one of our recruiters. Don’t hesitate to reach out about any of our services, including our recommended resume building service, or any job we have you may be interested in.

At Crossroads Consulting, we are making it our mission to put the ‘human’ back into ‘human resources

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THE TAYLOR RULE… JOHN’S NOT OPIE’S

220px-JohnBTaylorOLYMPUS DIGITAL CAMERABY: Adam Gavriel

In the United States, the unemployment rate continues to fall at a steady pace. There is a subliminal meaning in that however, as it is always important to note where these “lost” unemployed Americans are going. Are they all getting jobs? No way. Some of the decline in the unemployment rate is due to Americans who have left the workforce altogether.

In a editorial column on the Huffington Post, contributor Jared Bernstein offers a look into some of the deeper analytics of the unemployment rate. Mr. Bernstein notes specifically the effect of the Taylor Rule, and where the Federal Funds Rate (FFR) currently stands. Continue reading

SHUTDOWN AND UNEMPLOYMENT NUMBERS

CNNMoney NewsroomBY: Adam Gavriel

For the first time, we can finally see what the Government Shutdown has done to the US Economy in a tangible way.

According to a report released from CNN Money, 374,000 people filed for their first week of unemployment benefits last week, the highest one-week rise since super-storm Sandy hit the nation almost a year ago.

Speaking strictly from an economic standpoint, this shutdown could not have come at a worse time as the economy had been slowly, but surely, doing better in recent months.

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 Not to be all blamed on the government shutdown though, as other factors have certainly contributed to the 66,000 person rise in unemployment claims.

The state of California, which accounted for half of the new claims, continues to have problems with processing unemployment checks.

The 500,000 federal workers who remain in furlough are allowed to file for unemployment benefits, however if Congress grants them retroactive pay, most states will ask the furloughed workers to pay back the benefits that they receive. The report released today of 374,000 does NOT include any furloughed federal government employee who has filed for unemployment.

Hypothetically speaking, without taking the government shutdown into effect, economists believe that this number would have been roughly in line with the average number we have been seeing in the slow recovery.

“’The broader picture is still that labor market conditions are improving, albeit not quite as much as we previously thought,’ said Paul Ashworth, chief U.S. economist for Capital Economics, in a research note”. 

Sure is a tough hypothetical situation to picture though, as the U.S. remains mired in the wake of the government shutdown.

At Crossroads Consulting, we are doing what we can to continue the birth of jobs in the United States. With over 50 current openings we are looking to fill today, we are hoping to hear from you. If you are a government employee who has been furloughed, and out of the job searching game for quite some time, we can help you there too. With our recommended resume and interview preparation services, you will not miss a beat stepping back into the job search.

Everything we do at Crossroads Consulting is with the main goal of putting the ‘human’ back into ‘human resources’

NUMBERS DON’T LIE – OR DO THEY?

20130202-economyBY: Adam Gavriel

When the unemployment rate falls, on the surface, the books look good. That was the story in August for the United States, as the National unemployment rate fell to 7.3%. Unfortunately, that number falling doesn’t always mean good news, and while it is a microcosm of a measure for the economy, it will never tell the whole story on its own.

According to reports, the U.S. economy added 169,000 jobs in August, and improvement from the 104,000 added in July, yet much lower than economists’ expectations for the month.

Here is where the bad news comes in…

While adding 169,000 jobs in August, reports say that the labor participation rate fell to 63.2%, the lowest rate since August 1978, when 312,000 Americans dropped out of the labor force.

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The labor rate participation has been falling since the year 2000, accelerated by the Great Recession that still mires the American economy.

“Economists say there are several reasons for the decline, including the retirement of the baby boomers and fewer students who also work. But the main reason for its recent fall is a lack of good jobs.” 

Wait a minute; people can still afford to retire?

“There are now 90.5 million Americans who don’t work and are not counted as part of the labor force. This excludes kids under the age of 16 and non civilians such as those in the military or in prison, but includes just about everyone else.”

So while the 7.3% number remains to appease the masses, the deeper measures continue to breed pessimism.

At Crossroads Consulting, we want nothing more than to see that number dip below 7% the right way. Dropping that .3% with people entering the workforce, not exiting it. It’s why we try to take such a personal approach with the clients and organizations that we work with.; and trust me, we want to work with everyone.

As an employment agency committed to putting the ‘human’ back into ‘human resources’ we implore you to contact us today. Take a look at our job openings that we are looking to fill as soon as we can, and apply to one today. If you can’t find a job that you’re looking for on your page, send your resume through anyway and we’ll do what we can to help you out.

Not confident in your resume? Well, we can help you there too with our recommended resume service.

Contact us today!

(Image courtesy of fabiusmaximus.com)

JULY UNEMPLOYMENT NUMBERS ARE IN

English: U.S. map with counties labeled by FIP...

(Photo credit: Wikipedia)

BY: Adam Gavriel

A fascinating story from NPR reports that in July, the United States unemployment rate continued to fall. The numbers for July are in and reports from the Bureau of Labor Statistics say that the unemployment rate fell to 7.4% from 7.6% and the US added 162,000 jobs in July – which came in below economists’ expectations.

From the report

Total nonfarm payroll employment increased by 162,000 in July, with gains in retail trade, food services and drinking places, financial activities and wholesale trade. Over the prior twelve months, nonfarm employment growth averaged 189,000 per month.” 

On the report as a whole, Barclays Capital economist Peter Newland called it “clearly weaker-than-expected.” He goes on to add “But one should not overstate it – the unemployment rate continues to trend down and average job growth of 175,000 will be more than enough to continue to push it lower.”

Before the report was released, economists expected an addition of 185,000 jobs to the economy.

Of course, the unemployment rate is always an imperfect way to calculate the American recovery. While it is a good measure to grasp the big picture, digging deeper may reveal a different story.

While unemployment in America continues to trend downward, underemployment remains a major issue in America, as does the situation of college graduates entering the workforce since 2008.

The number of long-term unemployed (27 weeks or more) was little changed at 4.2 million people. These 4.2 million account for 37 percent of the unemployed; and has declined just 921,000 over the past year.

Directly from the Bureau of Labor statistics release:

The number of persons employed part time for economic reasons (sometimes referred to as involuntary part-time workers) was essentially unchanged at 8.2 million in July. These individuals were working part time because their hours had been cut back or because they were unable to find a full-time job.” 

Continued, there were 988,000 discouraged workers in July, up 136,000 from a year earlier. Discouraged workers are persons not currently looking for work because they believe no jobs are available for them. That’s nearly a million Americans not looking for work because they are so pessimistic about the workforce not accepting them, and this number is UP over the past year while the unemployment rate has gone DOWN.

Again, the story always goes deeper.

Here at Crossroads Consulting, we could not be more elated that the unemployment rate continued to drop in July; but we are still distraught over the general  perception of the United States economy.

As an employment agency seeking to get Americans working TODAY, we want to re-instill the confidence in those “disgruntled” Americans.

The jobs are out there, and we have plenty of them. With near 50 positions nationwide that we are looking to fill TODAY, we want to hear from you. If you’re not confident in your resume, or are so disgruntled, come talk to us and utilize our recommended resume service. It is our job to get you the career you are looking for.

By putting the ‘human’ back into ‘human resources’ we are here for one reason, to make your life easier.

Please contact us today.

CITY STRUGGLES – IS YOURS AMONG THEM?

BY: Adam Gavriel

While the United States economy continues it’s slow and often frustrating climb back to mediocrity, many of the country’s cities continue to falter.  According to an article by the Huffington Post, eight US cities experienced a falling average wage of close to or over 1% in the year 2012.

“One common criticism of the recovery is that even as unemployment has declined nationally, wage inequality has risen. According to a report by the National Employment Law Project, the increase in inequality is because many people who were unemployed during the recession have accepted lower-skill and lower-pay jobs than the ones they previously had in order to make ends meet.”

This quote goes hand in hand with the United States underemployment rate, which recent reports suggest sits at 17.2%

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Here are the 8 cities struggling more than the rest of the United States:

10. Santa Cruz-Watsonville, CA
1 year wage growth: -0.8%
Decemeber 2012 unemployment: 11.2%

9. Sandusky, OH
1 year wage growth: -0.8%
December 2012 unemployment: 7.3%

8. Ocean City, NJ
1 year wage growth: -1.1%
December 2012 unemployment: 17.3%

7. Las Cruces, NM
1 year wage growth: -1.2%
December 2012 unemployment: 6.7%

6. Kennewick-Richland-Pasco, WA

1 year wage growth: -1.3%

December 2012 unemployment: 9.7%

5. Flint, MI

1 year wage growth: -1.4%

December 2012 unemployment: 9.1%

4. Atlantic City, NJ

1 year wage growh: -1.4%

December 2012 unemployment: 14.9%

3. Elizabethtown, KY

1 year wage growth: -1.8%

December 2012 unemployment: 7.3%

2. Rocky Mount, NC

1 year wage growth: -2.3%

December 2012 unemployment: 13%

1. Anniston-Oxford, AL

1 year wage growth: -2.4%

December 2012 unemployment: 6.8%

All of these numbers really hit home here in the Crossroads Consulting office. As an employment agency, we take pride in our commitment to putting the ‘human’ back into ‘human resources’ and getting Americans working again. When the unemployment goes up anywhere in America, we take it as a personal insult and commit to working harder as a search firm.

With our job postings from across the nation, and our recommended resume service, there is no reason for you NOT to contact us in the offices today. We are a great search firm, and we may find you first, but help us out and drop us an email TODAY.

 

STOCKS AND THE MARKET AND EMPLOYMENT

BY: Adam Gavriel

The best reflection of how the United States economy, and the world economy in some cases, is going is shown by the stock market. What’s even more incredible about this, is that is an instant indicator, and one that will tell a story in very few words. The stock market can make or break a fortune; but if a picture says a thousand words, how many words does a graph say?

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Here is a graph of today’s market movements so far. In blue, the Dow, in red, the NASDAQ, and in yellow, the S&P 500. All trending downward since the market opened this morning.

This is all because early Wednesday morning reports cited that the economy is continuing to “recover” at its incredibly sluggish pace.

From an article posted on Yahoo! News this morning:

“Investors have become increasingly sensitive to economic reports in the last two weeks. They are trying to anticipate when the Federal Reserve will pull back on its $85 billion of bond purchases a month. That program has supported markets this year, and on some days stocks have even rallied on speculation that an ailing economy would ensure the stimulus will remain in place.

“We’re pleased to see the market sell off on some bad news,” said John Lynch, a regional chief investment officer for Wells Fargo private bank. “The whole idea that bad news was good news was frustrating because it suggests to me that the markets are becoming too Fed-dependent.””

On Friday, the United States Department of Labor will release the employment report from the month of May. Many economists expect the Unemployment rate to continue dropping to a more manageable number. The problem will continue to lie in the speed of the recovery, which is making the economy seem more and more stagnant every month.

As an employment agency, we are seeking candidates every day to fill the open job positions that we have TODAY. We pride ourselves on being a search firm, so we may find you before you find us, but wouldn’t it be greater to meet in the middle somewhere?

At Crossroads Consulting, we firmly believe in being an employment agency that fully understands their clients on both sides of the employment spectrum, we aim to be human. That is why it is our goal as a search firm to put the ‘human’ back into ‘human resources.’

If you’re not comfortable in your resume, we can help you there with our recommended resume service.

Please do not hesitate to get in contact with us, because it is only together that we can speed up the rate at which unemployment falls!