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Watercooler – October Added Jobs, But Unemployment Remains Steady

7:18 pm in Economy, Executive Branch, Government by Jim Moss

photo: solid state via Flickr

ADP, a privately run employment report, just released it’s findings for October:

Private-sector employment increased by 43,000 from September to October on a seasonally adjusted basis, according to the latest ADP report released today. The estimated change of employment from August to September was revised up from the previously reported decline of 39,000 to a smaller decline of 2,000. Since employment began rising in February, the monthly gain has averaged 34,000 with a range of -2,000 to +65,000 during the period.

October’s figure is within this recent range and is consistent with the deceleration of economic growth that occurred in the spring. Employment gains of this magnitude are not sufficient to lower the unemployment rate. Given modest GDP growth in the second and thirds quarters, and the usual lag of employment behind GDP, it would not be surprising to see several more months of lethargic employment gains, even if the economic recovery gathers momentum.

The longer this sloth-like recovery continues, the more people will be dealing with long-term unemployment and will slip over that cliff from middle class into poverty. This isn’t going to be pretty for anyone, but perhaps it will generate enough populist momentum to break the two-party/corporate stranglehold on public policy.

What’s on your mind tonight?

Economism and The Idolatry of The Oil Industry

8:00 am in Uncategorized by Jim Moss

In overturning Obama’s offshore drilling moratorium, Judge Martin Feldman pointed to the jobs that depend on continued deepwater exploration:

"Oil and gas production is quite simply elemental to gulf communities. Some of the plaintiffs’ contracts have been affected; the court is persuaded that it is only a matter of time before more business and jobs and livelihoods will be lost. The effect on employment, jobs, loss of domestic energy supplies caused by the moratorium as the plaintiffs (and other suppliers, and the rigs themselves) lose business, and the movement of the rigs to other sites around the world will clearly ripple throughout the economy in this region.”

Clearly, for Feldman and for others who support continued drilling, preserving jobs (and profits) in a tough economy is the top priority, perhaps even the only priority. Nevermind the eleven people who died in the Deepwater Horizon explosion. Nevermind the environmental damage that has already been done. Nevermind the fact that nobody knows how terrible and how widespread this catastrophe will get. And nevermind the fact that deepwater drilling remains a risky and uncertain business. We must continue production, goes the thinking. We must maintain profits, and we must preserve jobs – no matter what the environmental, health, or social costs.

Such an absolute emphasis on economics above all over factors is called economism. It assumes that the overriding purpose of human society is to produce and consume goods, and to build material and financial wealth – the more the better. Economism is why we measure an individual’s worth by their monetary assets, a corporation’s success by the size of it’s bottom line, and a nation’s strength by it GDP.

Now don’t get me wrong. As someone who has just weathered a brief stint of unemployment, I know what it feels like to have your source of income yanked out from underneath. I’m not saying that jobs are not important, and that in times of disaster such as this, we shouldn’t make preserving them a priority. The problem comes when we make jobs and industry the ONLY priority, and when our politicians and judges play the "job card" as if there is nothing else that should be guiding our decision making.

It seems clear that the environmental devastation of an entire region should take priority over the continued operation of an industry that is mired in corruption and recklessness. Perhaps it is fair that they lose some profits and some jobs as a result of this disaster.

Economism dictates that we continue drilling and perpetuate the production and consumption of oil that we have grown dependent upon. Common sense, however, dictates that concerns such as saving The Gulf of Mexico, overcoming our destructive oil addiction, and moving toward an overall path of sustainabilty should take priority.

Social critic Jay Albert Nock summed up the problem of economism like this:

I have sometimes thought that here may be the rock on which Western civilization will finally shatter itself. Economism can build a society which is rich, prosperous, powerful, even one which has a reasonably wide diffusion of material well-being. It can not build one which is lovely, one which has savor and depth, and which exercises the irresistible power of attraction that loveliness wields. Perhaps by the time economism has run its course the society it has built may be tired of itself, bored of its own hideousness, and may despairingly consent to annihilation, aware that it is too ugly to be let live any longer.

Watercooler – May Employment Numbers Not As Strong As Expected

7:00 pm in Uncategorized by Jim Moss

The US Bureau of Labor Statistics has released its employment report for May. The highlights:

431,000 jobs were created - but 411,000 of those were for temporary census workers.

The private sector added only 41,000 jobs - many economists had hoped for 200-300K.

Unemplyment dipped from 9.9% to 9.7% – again, mostly due to census hiring.

The number of long-term unemployed (27 or more weeks) was unchanged at 6.8 million.

As Obama said, these numbers are "moving in the right direction," but many experts are concerned that jobs need to come back at a much faster rate if we are going to fully recover from this recession.

How do you feel? Encouraged or worried? What’s on your mind tonight?

Watercooler – All Dressed Up And No Place To Go

6:58 pm in Business, Education, Financial Crisis by Jim Moss

It’s graduation time again, and The Christian Science Monitor assesses the job prospects for this year’s college seniors:

It’s holding steady or showing slight improvement compared with last year. But the job market was particularly dismal then, so much of the class of 2010 will probably be joining friends from ’09 in the hunt for work.

Employers surveyed last fall planned to hire an average of 26.2 graduates this spring, compared with 26.8 in 2009, according to the Collegiate Employment Research Institute (CERI) at Michigan State University. In a March survey, the National Association of Colleges and Employers (NACE) found a 5.3 percent uptick in expected hiring, the first since October 2008.

The picture may improve in coming months, says CERI director Philip Gardner. “It’s been a long year for these seniors,” he says. “Some of them are discouraged, and they bailed out quickly to graduate school…. [But] if they have a strategy to look for work … there are going to be jobs opening up now through the summer.”

Since the class of 2009 faced the worst job market since the Great Depression, this is hardly an occasion to break out the bubbly. Life still sucks for a lot of young people who did everything that was expected of them and are nonetheless getting the shaft.

What’s on your mind tonight?

Watercooler – Can We Feel Good About The Jobs Number Yet?

7:00 pm in Uncategorized by Jim Moss

The Labor Department’s March employment report came out today. 162,000 jobs were added as the unemployment rate remained steady at 9.7% – due to the fact that people are starting to reenter the job market. I have a few questions:

1) Are there any statistics out there showing whether these new jobs are of the same quality as the jobs that were lost?

2) Where is the second round of massive job losses that have been predicted by naysayers on the right and left?

3) Is it fair to give Obama praise for the fact that we have not entered a Great Depression as many feared we would?

What are your thoughts on the new jobs numbers? What’s on your mind tonight?

Seminal Watercooler – A Graph Is Worth A Thousand Words

7:00 pm in Uncategorized by Jim Moss

economic 2

 

Click here for a full-resolution image.  What’s on your mind tonight?

Seminal Watercooler – You Know Times Are Hard When…

7:00 pm in Uncategorized by Jim Moss

42-16974623"Welcome to Applebee’s! May I take your order?" A shocking number of people in New York City wish they could be saying those words:

Statistically, it was more difficult to land a job at the Applebee’s restaurant that opened this summer at Fordham Plaza in the Bronx than it was to get into the freshman class at Harvard a few weeks later. More than 6500 people applied for 120 jobs (the staff has since been whittled to about 80). Most work for tips or minimuim wage, and have the opportunity to buy health insurance through the company’s policy.

The New York Times article goes on to profile a few of the lucky 1.8% that were hired. When I worked at a Ruby Tuesday’s during the Clinton years, restaurants were desperate for competent people to fill out their staffs. Today, it’s the applicants who are desperately scrambling just to be able to fill out a time sheet.

What’s on your mind tonight?