Friday, November 2, 2012

Unemployment in October Ticks Up to 7.9%

Read the report from the BLS here.

This is the big picture:

"Total nonfarm payroll employment increased by 171,000 in October. Employment growth has averaged 157,000 per month thus far in 2012, about the same as the average monthly gain of 153,000 in 2011. In October, employment rose in professional and business services, health care, and retail trade."

The average jobs added per month of 155,000 in the last two years has been insufficient to alter significantly the rate of unemployment, seeing that unemployment ticked up 0.1 points from September. All year the unemployment rate has been no higher than 8.3%, and no lower than 7.8%.

Meanwhile the long-term unemployed, those part-timed, those no longer in the labor force and those entering the labor force for the first time, who all number in the tens of millions, fight for that small pool of jobs. At 300,000 new jobs per month, double the current rate, it would take over 8 years to suck up 30 million people.

There remains no driver for jobs in an economy barely growing at all at 2.0%.