The Bureau of Labor Statistics released the unemployment numbers on Friday, December 2, 2011. The unemployment rate fell by .4 percent to 8.6%. The range April through October was 9% to 9.2%.
The number of unemployed persons, at 13.3 million, was down by 594,000 in November. We’ll have to wait for the adjusted numbers, but on the surface, things would appear to be improving. While the 8.6% rate is the lowest in 2.5 years, it is good news for markets, bad news for the unemployed. You need to look past the headlines and dig into the numbers.
315,000 workers fell out of the labor market in November. This means they just gave up looking for jobs. The participation rate (Labor Force/Those who can Work) is at 64%, down from 64.2% in October.
The number of people who want a job was up by 3% over October, an increase of 192,000. This is a new 5 month high.
The underemployment rate (a situation in which a worker is employed, but not in the desired capacity, whether in terms of compensation, hours, or level of skill and experience. While not technically unemployed, the underemployed are often competing for available jobs) is averaging 16.1% over the past 5 months.
The average duration that individuals have been unemployed is 40.9 weeks, up from 39.4 in October. The median, (the middle) is 21.6, up from 20.8 in October.
Still very sobering and painful statistics. Read the headlines, look at the underlying numbers and trends. Sua Sponte.
Bradford C. Bruner for Sua Sponte Wealth Management
The number of unemployed persons, at 13.3 million, was down by 594,000 in November. We’ll have to wait for the adjusted numbers, but on the surface, things would appear to be improving. While the 8.6% rate is the lowest in 2.5 years, it is good news for markets, bad news for the unemployed. You need to look past the headlines and dig into the numbers.
315,000 workers fell out of the labor market in November. This means they just gave up looking for jobs. The participation rate (Labor Force/Those who can Work) is at 64%, down from 64.2% in October.
The number of people who want a job was up by 3% over October, an increase of 192,000. This is a new 5 month high.
The underemployment rate (a situation in which a worker is employed, but not in the desired capacity, whether in terms of compensation, hours, or level of skill and experience. While not technically unemployed, the underemployed are often competing for available jobs) is averaging 16.1% over the past 5 months.
The average duration that individuals have been unemployed is 40.9 weeks, up from 39.4 in October. The median, (the middle) is 21.6, up from 20.8 in October.
Still very sobering and painful statistics. Read the headlines, look at the underlying numbers and trends. Sua Sponte.
Bradford C. Bruner for Sua Sponte Wealth Management
