The media misleading about job growth: Full-time jobs falling, part-time service sector jobs up

The media talks about what a great jobs report came out today.  Take CNN's headline: "Great jobs report: Strong hiring, unemployment down"
The U.S. economy added 288,000 jobs in June, the Bureau of Labor Statistics reported Thursday. 
That number beats economists' expectations and comes along with other good news: Job growth was revised higher for both May and April. 
Taken altogether, that means employers added 1.4 million jobs in the first six months of the year. 
That's the strongest six months for job growth since 2006.  
Meanwhile, the unemployment rate is now 6.1%, down from 6.3% in May. The drop came for the right reasons: More Americans said they had jobs, plus more people joined the labor force. . . .
Barron's has the title "Dow Tops 17,000 on Stellar Jobs Report"
Jobs did rise, but they are part-time, not full-time jobs.  Indeed, full-times jobs has fell significantly and has been down slightly since the beginning of the year.

Unfortunately, the jobs are not only part-time, but about 80 percent are service sector jobs.

It is pretty amazing how the media keeps on making the economy look better than it is.

One thing that is clear is that the percentage of long term unemployed as declined since the long term unemployment insurance benefits were reduced.

Labels: , ,


Post a Comment

<< Home