WASHINGTON (AP) — The total number of people on the unemployment insurance rolls dropped for the first time since early January, the government said Thursday, while new claims for benefits rose slightly.
This reporting is so dishonest it makes me want to scream – notice the report dsoes not state that the total number of unemployed has droped – just the number “on the unemployment rolls has decreased”. Please Read On ….
Nearly half (50%) of recipients at the end of last month had exhausted the 26 weeks of benefits provided under the regular state program without finding work, according to Labor Department data. That’s a record and compared with about 36 percent in December 2007, when the recession began. (A 14% percent increase)
The reason the number of people “on the jobless rolls” has dropped is because over a million of the unemployed exhausted the last of their benefits, both State and Federal extensions, thgis past month and are without any unemployment benefit whatsoever … Please read on.
“It is unlikely that new hiring has picked up in any meaningful fashion,” Joshua Shapiro, chief economist with MFR Inc., a consulting firm, wrote in a note to clients.
The department said the total unemployment insurance rolls fell by 148,000 to 6.69 million in the week ending June 6, the largest drop in more than seven years. The number of new “claims” toppped 600,000 for the 21st straight week, however, the number of individuals being removed from the rolls because they have either exhausted their benefits or been disqualified from receiving additional benefits, topped 750,000, resulting in what this report claims is a 148,000 person reduction on the “unemployment rolls. This is a classic example of unethical reporting, a politically motivated attempt to create a “positive political spin”.
The drop also breaks a string of 21 straight increases in continuing claims, the last 19 of which were records. A dip in continuing claims several weeks ago was later revised higher. Initial claims rose by 3,000 to a seasonally adjusted 608,000 in the week ending June 13, above analysts’ expectations. The four-week average, which smooths fluctuations, fell by 7,000 to 615,750. Continuing claims data lags initial claims by one week. State laws provide for 26 weeks of unemployment benefits. The Federal Government, as part of the stimulus package, provided an additional 13 week extension. Those benefits are now being exhausted and this report implies that the individuals that have exhausted their benefits are no longer unemployed. We are now in the 22nd week in a row where the “new claims average” have topped 600,000.
Still, millions of Americans are receiving unemployment compensation under an emergency federal program authorized by Congress last summer and extended by the Obama administration’s stimulus package.
About 2.4 million people received benefits under that program in the week ending May 30, an increase of more than 102,000 from the previous week. That’s in addition to the 6.7 million people receiving benefits under the 26-week program typically provided by states.
First-time jobless claims are a measure of the pace of layoffs and are seen as a timely, if volatile, indicator of the economy’s health. Initial claims stood at 390,000 a year ago. First time jobless claims stand at 615,000 today. If these same reporters declared last years economy “the worst ever”, how dare they claim an improvement today.
Companies have cut a net total of 6 million jobs since the downturn began in December 2007.
NO ONE WILL CLAIM THAT EMPLOYMENT HAS INCREASED – IT HAS NOT – THE GOVERNMENT TRACKS THOSE NUMBERS ALSO – THERE IS SIMPLY NOTHING TO REPORT IN REGARD TO NEW HIRING OR JOB CREATION.
The Country, as a whole, lost a net 300,000 jobs last month:
In April, nonfarm payroll employment decreased in 44 states and the District of Columbia and rose in 6 states. The largest over-the-month employment decrease occurred in California (-63,700), followed by Texas (-39,500), Michigan (-38,400), Ohio (-25,200), Illinois (-23,100), and Wisconsin (-21,100). Michigan experienced the largest over-the-month percentage decrease in employment (-1.0 percent), followed by New Mexico (-0.9 percent) and Kansas, New Hampshire, and Wisconsin (-0.8 percent each). http://www.bls.gov/news.release/laus.nr0.htm
The City of Detroit is repsonsible for the Officials it has elected over the last decade and the mismanagement and corruption they have brought to the City (http://www.detnews.com/article/20090618/METRO/906180473/1409/METRO ) and the people of the State of Michigan are responsible for re-electing their current Governor, Governor Granholm’s policies have helped destroy Michigan’s economy over the last 7 years, that said, the facts are this, the City of Detroit claims a population of 900,000 (after years of artficially high census counts, the City’s attempt to artificially increase the amount of Federal funding it receives). At present the unemployment rate is 22.8% , 207,000 Detroit residents are currently “counted” on the “unemployment rolls”. Food Stamps are being provided to 30% of the City’s residents (300,000 residents). http://online.wsj.com/article/SB124510185111216455.html
An additional 185,000 residents have exhausted their available unemployment benefits and are unemployed, but not counted as being “on the rolls” – that is an additional 20.5% of the population. The “true unemployment rate” in the City of the Detroit is approximately 45%, out of every 10 residents, 4 1/2 are either receiving unemployment or have exhausted their available benefits. THE RECENT SHUT DOWN OF THE AUTO PLANTS IS NOT REFLECTED IN THESE NUMBERS.(Most of the Detroit 3 Plants are not actually located in Detroit, as is falsely reported – they are located in surrounding communities – 7 of GM’s 14 “national” plant closing will take place in Oakland County, a County north of Detroit. Detroit is located in actually located in Wayne County). http://online.wsj.com/article/SB124510185111216455.html , http://detnews.com/article/20090601/AUTO01/906010376/1411/Oakland-County-staggered-by-an-estimated-6-600-GM-job-losses
Michigan’s “statewide” unemployement rate is above 14%, that means 1 out of every 7 workers is currently receiving State or Ferderal unemployed benefits. http://www.mlive.com/business/index.ssf/2009/06/michigan_unemployment_rate_hig.html . The “uncounted” unemployed in Michigan may double the total number.
People are falling out of the frying pan and into the fire and all this type of reporting does is mask the true level of suffering being encountered in Middle America today.