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Blog Post: WHAT IS THE REAL UNEMPLOYMENT RATE?


posted Friday, March 13, 2009 4:15 PM

I have some opinions on what the real unemployment rate is: I think it is 10% broken down like this: -4% are unemployable, always looking for work, homeless etc -3% are the workers people wanted to fire for years but because of past low unemployment, pulled the trigger now -3% are the workers companies had to layoff but wanted to keep So the real unemployment number is 3%. Now you have to wade through the 7%, which is a large task. That is why staffing and recruiting companies still have work becasue no one has the time and resources to commit to the screening process. A recent internet job posting we had generated 1200 resumes, for a job that clearly stated NO RESUMES. That is how you screen out candidates. We simply asked you to come to the office to interview. By the way, this was not a low paying job, so it is just not blue collar workers who cannot follow directions. We also have been given a recent order for temps and after carfully screening applicants, 2 out of 4 failed to show up for the first day...I guess reruns of Andy Grifith had a higher priority. Another posting produced 3 candidates and 2 failed a drug test for 'hippy lettuce'. Can you believe that?



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Community Comments
David McKinney Sunday, March 15, 2009 7:18 PM
Mr. Hayes seems highly uninformed and arrogant. The hundreds of thousands of qualified people losing their jobs each month that are eligible for unemployment benefits are at or near 10%. The number of unemployable/homeless he refers to are not calculated in that figure and push the actual number considerably upward ot 10. The fact is most of the positions currently available do not pay enough to replace the well paying jobs recently lost from this economical debacle at the hands of our unregulated financial sector. These same hypocrites in congress that created this environment obviosly went to the same university as Mr Hayes.
H Kerry Sunday, March 15, 2009 9:27 PM
The "real unemployment rate" according to you is 3% because the other 7% are your idea of flotsam. Your message to the world is, "Sure, unemployment is higher at the moment, but it is just because some of you are pathetic losers. If you are currently unemployed, you should figure out whether you are one of aforesaid losers and possibly off yourself to save poor staffing firms from having to 'screen' you."

You, sir, are a perfectly wonderful example of why most job seekers with one iota of self-esteem should stay well away from staffing firms.
Michael Hayes Monday, March 16, 2009 8:39 AM
Gentlemen...I respect your opinion and I wish you gave me the same courtesy. You are proving my point by your response, so thank you. I did not bash your educational background like you did to me. Please remember I see thousands of people a year and my statements come from experience and real world situations. Please remember that I already have a job.

Jeffrey Miers Monday, March 16, 2009 12:37 PM
I would still dispute these figures. If unemployment was figured the way it was in the past, the rate would be 14.8% per a radio program I listened to within the last week. I dont dispute your unemployable figure.
I have also found through networking that there is a growing disbelief in staffing agencies having the jobs for which they profess to need people.
Good luck to all searching people; I'm in the mix, too.
Michael Hayes Monday, March 16, 2009 2:40 PM
unfortunately, some staffing companies put up jobs they don't have to try to use the resume to 'hook' a new client. We think that is wrong and gives the industry a bad name. We have a responsibility to the employee and the client...and over the years we have had to fire clients for not remembering that. Thanks

Timothy Ray Tuesday, March 17, 2009 11:15 AM
I agree with David McKinney and Jeffery Miers, I have seen other documented postings stating the mean value of unemployment is near 16%. Across the board real wages have decreased for the middle class, and working class by outsourcing jobs and insourcing cheap labor. This cannot be disputed.

We are facing the worst economic situation in seventy years and the government is exacerbating the problem with increasing the national debt and throwing non- exsistent money into the wrong programs and company CEO's.

Who is getting hurt here? It's those of us that have been working for the last twenty-five years and now suddenly we are unemployed. Our bills keep mounting, healthcare for our children, mortgages, car payments, schooling, food, taxes, utilities, et al. We are expected to continue what we have built up in 25 years on half our salaries? Six figures to 0 in sixty seconds to have three jobs at the local Jack in the box and KFC and Walmart just trying to survive on $8 an hour times three? to try an earn enough to keep everything afloat?

So now the quality of life is an issue and where are we in spending time with our families to ensure healthy kids and attitudes.

Soceity and the capitalist agenda in itself is flawed just as the meaningless wages and jobs offered are.

So I would asssume that some of us are taking offense at your statement that we would rather be watching Andy Griffith reruns instead of kissing butt for a meaningless wage job that perpetuates the poor working class.

Nothing will change until reasonable jobs, and careers at reasonable living wages return and this "recession" is only the begining.

Michael Hayes Tuesday, March 17, 2009 2:44 PM
You are definitely taking the 'victim' approach which is why everyone has their handout and expects the government to take care of them. And they are by printing money. Besides you are watching to much TV and listening to all that chatter on the radio...your general 'bad attitude' comes across in your posts and for sure comes across in the interview.

Timothy Ray Tuesday, March 17, 2009 4:19 PM
I don't expect the government to hand me anything. In fact I expect the government to stop handing out everything as opposed to doing it's job of being the guiding light of prudence and regulation.

Thank you for pointing out my bad attitude. I still have ways of earning a living with my "bad attitude" I live in a free country that gives me the right to voice my opinion and not be a drone for company that niether cares, or wants to look after it's employees well being. It's bottom line has been the corporate shill that plays the game to paper profits that somehow aren't there.That's what's wrong with your assessment of us lazy, bad attitude, clients looking for handouts.

Anyone older then 40 years old knows that there is not one company anyone of us will work at for 30, 20, 10 year stretch and be able to retire with a gold watch and a pension. That was phased out in the early 60's. Along with the nuclear family.

We now live in the age of service or slave and I can provide many services.

This is not the point. The point is your assumption being the unemployment rate being around 4%. I'm sorry if that hurt your feelings if I agreed with two other posters that that is absolutely ludicris. I am just pointing out the disparidity in low wage meaningful work to that of working behind the counter of a job meant for highschoolers and retiree's

If the country is to succeed and rebound out of this dogmatic malaise it is by the act of compassion and the knowledge that we are all important and we will get further ahead if we work together then by social status of king bee and worker bee and lazy bee.

Jobs do not define us as people. It's a chore and a bore to create wealth for someone else.

If I never work for another corporation again I will be just fine.

It's the dawning of a new age, and nothing will change the fact that our country, and this state in paticular has some issues regarding the American middle class and the working class citizen.

No harm, no foul. Just how I see it.
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