AOL Money & Finance

Job market expected to recover in 2014

More

The rate at which jobs were cut slowed in August, but the gap to be filled will be with us for a while. With 14.9 million people looking for jobs according to Moody's Economy.com, the unemployment rate won't hit 5% -- considered "normal" -- until 2014. To put this in perspective, we still have one presidential election and two mid-term contests between now and a full employment recovery.

Data published by the Department of Labor Friday puts the unemployment rate at 9.7%. In December 2007, it was only 4.7%. And, as BloggingStocks reported on Friday, it could pass 10% by the end of 2009. For teenagers, the unemployment rate has reached 26%. The number of job-seekers who have given up completely is above 750,000 -- the highest level since the Department of Labor started keeping score in 1994.

The average unemployed worker spends 24.9 weeks without a job -- the highest level since 1948 -- and 4.98 million people have been unemployed for more than 27 weeks, also the peak since the end of World War II. Another 9 million are underemployed -- i.e., taking part-time work despite wanting more hours or otherwise fuller employment. The average workweek has slipped to 33.1 hours, just up from the summer low of 33 hours.

To keep pace with the increase in job hunters from immigration and population growth, 125,000 jobs would need to be created every month. Replacing the lost jobs of the past two years would require an even higher rate of job creation. So, stay focused on the future ... the distant future.

Reader Comments (Page 1 of 2)

| 1 | 2 |

Add your comments

Please keep your comments relevant to this blog entry. Email addresses are never displayed, but they are required to confirm your comments.

When you enter your name and email address, you'll be sent a link to confirm your comment, and a password. To leave another comment, just use that password.

To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br /> tags.

Symbol Lookup
IndexesChangePrice
DJIA-154.4810,309.92
NASDAQ-37.612,138.44
S&P 500-19.141,091.49

Last updated: November 27, 2009: 09:17 PM

BloggingStocks Exclusives

Hot Stocks

DailyFinance Headlines

Latest from BloggingBuyouts

TheFlyOnTheWall.com Headlines

BioHealth Investor Headlines

WalletPop Headlines

My Portfolios

Track your stocks here!

Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

BloggingStocks Partners

More from AOL Money & Finance

WalletPop Headlines