David Kirkpatrick

August 2, 2010

The Great Recession, animated

A chilling look at unemployment from January 2007 to May 2010.

March 6, 2009

Jobless rate highest in quarter century

Filed under: Business — Tags: , , , , — David Kirkpatrick @ 10:35 am

Not unexpected, but still daunting. Unemployment rises to over eight percent, the highest since the end of 1983. Like I blogged earlier this week, I was talking to a group of executives who all predict the rate of increase in unemployment will slow considerably, but the number will continue to rise through 2010.

This is only a prediction, but let that sink in for a minute — the percentage of unemployed Americans will continue to rise for at least 22 more months. Now that’s daunting.

From the link:

Another 651,000 jobs were lost in February, adding to the millions of people who have been thrown out of work as the economic downturn deepens.

In a stark measure of the recession’s toll, the Bureau of Labor Statistics reported on Friday that the national unemployment rate surged to 8.1 percent last month, its highest in 25 years. The economy has now shed more than 4.4 million jobs since the recession started in December 2007.

And economists expect that unemployment will continue to rise for the rest of the year and into early 2010, with the unemployment rate reaching 9 to 10 percent by the time a recovery begins. But even then, with so many job losses centered in manufacturing, economists say that many positions devoured during this recession will not be coming back.

“This is not people being on furlough for six weeks or a month or two — this is permanent job losses, and that is what makes this so difficult,” said John Silvia, chief economist at Wachovia. “That is very telling in terms of how we’re really restructuring the overall economy.”