Reaction to the latest jobs report (feat. Sellinger School finance professor Mark Johnson) — KBTV
When will we finally see more jobs createdand fewer people out of work? According to the Bureau of Labor Statistics, 11.
8 millionpeople remain unemployed.
And that does not take into consideration those who’ve abandonedthe job market or are unemployed.
We’re still nowhere near, we’re still nowherenear where we need to to push down the levels of unemployment not seen since the start ofthe recession, 5 years ago.
Think for a moment that the economy is a patientin the hospital no longer on emergency room life support but, on some days, still in needof critical care.
Yes, the housing market has rebounded somewhat, and fewer companiesare laying off workers than in 2010 or 2011.
But Stephen Isburgh, a finance expert, saysAmerica can’t depend on housing construction for new job growth the way it did before thefinancial collapse of 2008.
You keep hearing things about, well, we needto get the housing market going again.
Even the housing market won’t do it because that’sonly about 15% of total construction jobs.
And, you know, housing construction is atabout half of what it was.
One of the factors why unemployment remainsstuck at 7.
The irony behind this, according to the Bureauof Labor Statistics, there are actually more job openings, 3.
7 million, then there arelooking for a job.
In April, there were about 2.
4 million out of work than looking for ajob.
The number of unemployed must fall between5 and 6 percent before, economists say, we will see full restoration of the labor markets.
And to get there, the US would have to create 250,000 jobs a month.
In May, one of the strongestmonths for hiring, just 175,000 new jobs were created.
This year, 2013, we’ll just tread water and go sideways, possibly, but it may be anothertwo years before we start to see significant improvements.
Isburgh says without more robust manufacturing and construction industries, we are likelythree years, not two, away from a full recovery.
I’m Christine Frazao, reporting.