Friday, January 30, 2004
A death in the family is going to require me to go back to Iowa for the next few days. Therefore, I will be very limited in the amount of time and content I can devote to the blog. I'll do my best to put up the "Hot headlines from the weekend," but my biggest goal is to simply survive the arctic winter that has recently hit the Midwest.
In the meantime, I heard on the radio today a George Bush sound bite where he exclaimed it is an exciting time for the economy. I don't know that 3,500 employees of KB Toys would agree now that they're out of work since the company decided to shut down 375 of its stores.
Also, for all the fuss you hear about outsourcing to India and China, a majority of American jobs are still going to Mexico as once again evidenced by Black and Decker's decision to move its Kwikset plants from Oklahoma to Mexico causing 1,000 Okies to lose their jobs.
Lost often times in these plant closures are not only the impact it has on the many people now out of work, but also the damage it does to the small communities that depend on manufacturing.
"Mayor Judy Elias said the plant closing would be a blow to the city."
"Like most cities we run on the revenue we receive from sales taxes and our water sales," she said.
"Elias said approximately 25 percent of the revenue the city receives from water sales are derived from Kwikset."
The mayor expects the city to bounce back. My advice to the mayor is to lobby hard for a state or federal prison or polish off the resume because small town America is about to become the next endangered species.
In the meantime, I heard on the radio today a George Bush sound bite where he exclaimed it is an exciting time for the economy. I don't know that 3,500 employees of KB Toys would agree now that they're out of work since the company decided to shut down 375 of its stores.
Also, for all the fuss you hear about outsourcing to India and China, a majority of American jobs are still going to Mexico as once again evidenced by Black and Decker's decision to move its Kwikset plants from Oklahoma to Mexico causing 1,000 Okies to lose their jobs.
Lost often times in these plant closures are not only the impact it has on the many people now out of work, but also the damage it does to the small communities that depend on manufacturing.
"Mayor Judy Elias said the plant closing would be a blow to the city."
"Like most cities we run on the revenue we receive from sales taxes and our water sales," she said.
"Elias said approximately 25 percent of the revenue the city receives from water sales are derived from Kwikset."
The mayor expects the city to bounce back. My advice to the mayor is to lobby hard for a state or federal prison or polish off the resume because small town America is about to become the next endangered species.
Tuesday, January 27, 2004
This blog has seen many a discouraging trend in terms of unemployment and the job hunt. If it isn't outsourcing, it has been the large number of people who are so discouraged with the job market that they stop looking for work. It's not that they don't want to work, they've just lost faith in a country founded on the hope of creating a new life.
For those who have broken through a stretch of long-term unemployment, finding a job is literally like finding a new lease on life, a new start, a chance to live the life lost when the job went away. There's no question finding a new job can bring relief, however, that new job may not provide enough of what we need, and that new job may leave some wondering whether it's even worth it.
A recently released study from the Economic Policy Institute better illustrates my point. The EPI has found that in 48 of 50 states, job shifts are more likely to result in a person moving from a higher paying job to a lower paying job.
The text of a summary of the study is listed below.
"In 48 of the 50 states, jobs in higher-paying industries have given way to jobs in lower-paying industries since the recession ended in November 2001. Nationwide, industries that are gaining jobs relative to industries that are losing jobs pay 21 percent less annually. For the 30 states that have lost jobs since the recession purportedly ended, this is the other shoe dropping—not only have jobs been lost, but in 29 of them the losses have been concentrated in higher paying sectors. And for 19 of the 20 states that have seen some small gain in jobs since the end of the recession, the jobs gained have been disproportionately in lower-paying sectors.
"States with particularly worrisome job markets—where there have been substantial declines in the number of jobs and where the difference in wages between job-gaining and job-losing industries is particularly high—include:
"New Hampshire, which still has fewer jobs than when the recession ended, and where the wages in industries gaining jobs are 35 percent lower than wages in industries losing jobs.
"Delaware, which, likewise, has lost jobs since the recession ended and where job-gaining industries have wages 43 percent below those in job-losing industries.
"Colorado, which has lost almost 2 percent of its jobs since the end of the recession and where job-gaining industry wages are 35 percent below the wages in job-losing industries.
"West Virginia, which has lost 1.7 percent of its jobs since the end of the recession and
where wages in job-gaining industries are 33 percent below wages in job-losing industries.
"The shift in jobs from higher-paying industries to lower-paying industries has affected nearly every state. This dynamic has the potential to significantly slow the growth of living standards for working families."
This can't be overlooked, this high to low wage trade-off for the unemployed occurs in 48 of 50 states. For those interested, the two states that have seen a reverse in this trend are Nebraska and Nevada. As seen in the state list to your left, Nebraska and Nevada also enjoy low unemployment rates, 3.7 and 4.4 respectively.
So should more of the unemployed join the thousands of others in throwing in the towel based on these numbing figures? An editorial in Tuesday's Washington Post argues that the best days are still ahead in the jobless recovery.
"... the bigger question is whether jobless recoveries are a bad thing. They are, after all, the flip side of good news. There is less cyclical unemployment these days, so recessions are milder; fewer jobs are being created now because fewer jobs were destroyed during the downturn. Moreover, a jobless recovery means, by definition, that each worker is producing more. Higher productivity, in turn, is the best promise possible of higher wages and employment in the future. Just look at the past decade: The jobless recovery of 1991-92 ushered in the longest economic expansion of the postwar period, which drove unemployment down to previously unheard-of levels, and fueled improvements in poverty, crime and other social indicators."
Read into that what you want, I take it as its great news for those currently employed, higher wages, but as the editorial goes on to say, the search for a job in our current economy is being met with a great wait. This recovery will be slow, and with a runaway federal deficit and the service and technology sectors being stripped of their place in the American workforce by outsourcing, the recovery may be more difficult than previous economic downturns.
"If a U.S. firm shifts employment abroad, the savings flow back to the United States in the form of lower prices for consumers and higher dividends for shareholders; the consumers and shareholders will direct their new spending power at things that create employment. Meanwhile, the fall in prices will allow the Federal Reserve to keep interest rates lower, boosting the job-creation engine.
"Offshoring, like trade, creates winners and losers, which is why open trade should be accompanied by social safety nets. But the winners will outnumber the losers, because the adjustment creates new efficiencies. Each worker can produce more, meaning that he or she can be paid more."
Again, great news for the currently employed, but the unemployed must continue to wait for these "savings to flow back to the United States." And how long should that take? A year, two, five? Using the previous information from the Economic Policy Institute, the unemployed can also expect to possibly start out below their own personal market value.
I wouldn't take an opposing view to the thoughts expressed in this editorial, the economy may be recovering, and wages may someday improve. But, for the unemployed, once again there's little there to lift the spirits, there's still too little room for hope.
For those who have broken through a stretch of long-term unemployment, finding a job is literally like finding a new lease on life, a new start, a chance to live the life lost when the job went away. There's no question finding a new job can bring relief, however, that new job may not provide enough of what we need, and that new job may leave some wondering whether it's even worth it.
A recently released study from the Economic Policy Institute better illustrates my point. The EPI has found that in 48 of 50 states, job shifts are more likely to result in a person moving from a higher paying job to a lower paying job.
The text of a summary of the study is listed below.
"In 48 of the 50 states, jobs in higher-paying industries have given way to jobs in lower-paying industries since the recession ended in November 2001. Nationwide, industries that are gaining jobs relative to industries that are losing jobs pay 21 percent less annually. For the 30 states that have lost jobs since the recession purportedly ended, this is the other shoe dropping—not only have jobs been lost, but in 29 of them the losses have been concentrated in higher paying sectors. And for 19 of the 20 states that have seen some small gain in jobs since the end of the recession, the jobs gained have been disproportionately in lower-paying sectors.
"States with particularly worrisome job markets—where there have been substantial declines in the number of jobs and where the difference in wages between job-gaining and job-losing industries is particularly high—include:
where wages in job-gaining industries are 33 percent below wages in job-losing industries.
"The shift in jobs from higher-paying industries to lower-paying industries has affected nearly every state. This dynamic has the potential to significantly slow the growth of living standards for working families."
This can't be overlooked, this high to low wage trade-off for the unemployed occurs in 48 of 50 states. For those interested, the two states that have seen a reverse in this trend are Nebraska and Nevada. As seen in the state list to your left, Nebraska and Nevada also enjoy low unemployment rates, 3.7 and 4.4 respectively.
So should more of the unemployed join the thousands of others in throwing in the towel based on these numbing figures? An editorial in Tuesday's Washington Post argues that the best days are still ahead in the jobless recovery.
"... the bigger question is whether jobless recoveries are a bad thing. They are, after all, the flip side of good news. There is less cyclical unemployment these days, so recessions are milder; fewer jobs are being created now because fewer jobs were destroyed during the downturn. Moreover, a jobless recovery means, by definition, that each worker is producing more. Higher productivity, in turn, is the best promise possible of higher wages and employment in the future. Just look at the past decade: The jobless recovery of 1991-92 ushered in the longest economic expansion of the postwar period, which drove unemployment down to previously unheard-of levels, and fueled improvements in poverty, crime and other social indicators."
Read into that what you want, I take it as its great news for those currently employed, higher wages, but as the editorial goes on to say, the search for a job in our current economy is being met with a great wait. This recovery will be slow, and with a runaway federal deficit and the service and technology sectors being stripped of their place in the American workforce by outsourcing, the recovery may be more difficult than previous economic downturns.
"If a U.S. firm shifts employment abroad, the savings flow back to the United States in the form of lower prices for consumers and higher dividends for shareholders; the consumers and shareholders will direct their new spending power at things that create employment. Meanwhile, the fall in prices will allow the Federal Reserve to keep interest rates lower, boosting the job-creation engine.
"Offshoring, like trade, creates winners and losers, which is why open trade should be accompanied by social safety nets. But the winners will outnumber the losers, because the adjustment creates new efficiencies. Each worker can produce more, meaning that he or she can be paid more."
Again, great news for the currently employed, but the unemployed must continue to wait for these "savings to flow back to the United States." And how long should that take? A year, two, five? Using the previous information from the Economic Policy Institute, the unemployed can also expect to possibly start out below their own personal market value.
I wouldn't take an opposing view to the thoughts expressed in this editorial, the economy may be recovering, and wages may someday improve. But, for the unemployed, once again there's little there to lift the spirits, there's still too little room for hope.
Sunday, January 25, 2004
Hot headlines from the weekend:
Railroads on Track to Add 2,000 Jobs Why not kick off the weekend review of headlines with a little good news? The rail industry, not exactly the most high-tech industry of them all, just keeps ticking along with bright prospects for employment. In addition to the 2,000 jobs in the hard-hit Chicago area, the industry expects to tack on another 25,000 in the next five years.
Meijer cuts 1,900 manager positions You know I couldn't go too far into the headlines without bringing it all back to reality. My pick for the next industry to be going, going, gone are the grocers. Meijer, for those of you who have never had the pleasure, is a great chain of grocery stores that had the foresight to know it needed to become more than just a grocery store. However, Wal-Mart has absolutely locked that sector up and isn't in the business of letting go of its ... monopoly?
Kraft to cut 6,500 jobs, boost marketing, analysts say "Kraft currently has more than 60 brands, each with sales of more than $100 million in some 150 countries. It employs more than 100,000 people, and has 218 processing facilities worldwide, with 100 in North America."
There's nothing small about those numbers so it shouldn't come as a surprise that Kraft also decides to lay off such a large number of people. Still, you can't help but feel for those 6,500 people who just got the S-H-A-F-T.
America's Prison Habit The correctional industry employs more people than GM, Ford and Wal-Mart ... combined! However, the people released from prisons are often denied the right to work in fields such as real estate, medicine, nursing, engineering, education and dentistry. Former prisoners also have no rights to student loans, welfare or federal housing.
There's nothing like keeping an industry growing at the expense 2 million people who are being recycled instead of rehabilitated. I'm all for keeping as many jobs as we can, but our correctional system is a national disgrace.
Bush address offers little to unemployed Yes, I have given my support for President Bush's “Jobs for the 21st Century” (as seen on this blog below), as the program speaks to our problem of a lack of job training in many industrial fields that rely more and more on technology. However, I admit this program does nothing for the millions of people still unemployed in the U.S.
The better move would have been for Bush to call on Congress to extend unemployment benefits for the long-term unemployed and what better setting than the State of the Union? The unemployed shouldn't just expect more from this president, they should demand it.
Railroads on Track to Add 2,000 Jobs Why not kick off the weekend review of headlines with a little good news? The rail industry, not exactly the most high-tech industry of them all, just keeps ticking along with bright prospects for employment. In addition to the 2,000 jobs in the hard-hit Chicago area, the industry expects to tack on another 25,000 in the next five years.
Meijer cuts 1,900 manager positions You know I couldn't go too far into the headlines without bringing it all back to reality. My pick for the next industry to be going, going, gone are the grocers. Meijer, for those of you who have never had the pleasure, is a great chain of grocery stores that had the foresight to know it needed to become more than just a grocery store. However, Wal-Mart has absolutely locked that sector up and isn't in the business of letting go of its ... monopoly?
Kraft to cut 6,500 jobs, boost marketing, analysts say "Kraft currently has more than 60 brands, each with sales of more than $100 million in some 150 countries. It employs more than 100,000 people, and has 218 processing facilities worldwide, with 100 in North America."
There's nothing small about those numbers so it shouldn't come as a surprise that Kraft also decides to lay off such a large number of people. Still, you can't help but feel for those 6,500 people who just got the S-H-A-F-T.
America's Prison Habit The correctional industry employs more people than GM, Ford and Wal-Mart ... combined! However, the people released from prisons are often denied the right to work in fields such as real estate, medicine, nursing, engineering, education and dentistry. Former prisoners also have no rights to student loans, welfare or federal housing.
There's nothing like keeping an industry growing at the expense 2 million people who are being recycled instead of rehabilitated. I'm all for keeping as many jobs as we can, but our correctional system is a national disgrace.
Bush address offers little to unemployed Yes, I have given my support for President Bush's “Jobs for the 21st Century” (as seen on this blog below), as the program speaks to our problem of a lack of job training in many industrial fields that rely more and more on technology. However, I admit this program does nothing for the millions of people still unemployed in the U.S.
The better move would have been for Bush to call on Congress to extend unemployment benefits for the long-term unemployed and what better setting than the State of the Union? The unemployed shouldn't just expect more from this president, they should demand it.
Wednesday, January 21, 2004
You've heard plenty about President Bush's "Jobs for the 21st Century," but I thought I would present you with the plan verbatim as the White House released it so you can make your own judgments about the effectiveness of the plan.
Fact Sheet: Jobs for the 21st Century
Presidential Action:
In his State of the Union Address, President Bush announced Jobs for the 21st Century -- a comprehensive plan to better prepare workers for jobs in the new millennium by strengthening post-secondary education and job training and improving high school education. This plan includes over $500 million in new funding for education and job training programs.
Strengthening Access to Post-Secondary Education and Job Training: The President's plan will expand opportunities for workers to access post-secondary education to get the job training and skills to compete in a changing and dynamic economy and fill jobs in emerging industries -- including $250 million to fund partnerships between community colleges and employers in high-demand job sectors, and $33 million for expanded Pell Grants for low-income students who complete rigorous coursework in high school.
Improving High School Education: The President's plan will also improve the quality of education at our Nation's high schools and better prepare students for success in higher education and the job market -- including $100 million to help striving readers and $120 million to improve math education.
Higher Education
Background: Post-secondary education and training has become an essential requirement for a steadily increasing percentage of jobs. According to the Bureau of Labor Statistics 80% of the fastest-growing jobs in the United States require some sort of higher education after high school, and many of these jobs require a strong foundation in math and science. Because they are so adaptable and accessible, community colleges are increasingly critical providers of job training, both for degree-seekers and for workers seeking to retool, refine, and broaden their skills.
The Challenge: High school graduates are not entering college and the workforce with the skills they need to compete in a changing economy. A recent report by the National Center for Education Statistics found that 42% of entering freshmen at public two-year colleges and 20% of entering freshmen at four-year public institutions enrolled in at least one remedial course in 2000. Research from the U.S. Department of Education also shows that there is a strong link between the courses completed in high school and the completion of a post-secondary degree.
President Bush's Plan: President Bush wants to expand access to post-secondary education for low-income students, and he wants to foster a new generation of job training partnerships between community colleges and the employers in industries with the most demand for skilled workers. His plan includes:
Community-based Job Training Grants Building on the successes of the President's High-Growth Job Training Initiative, a strategic approach that has provided seed money to fund job training partnerships between community colleges and local high-growth industries, the President proposes $250 million in 2005 to strengthen the role of community colleges in workforce development. These new competitive Community-based Job Training grants would be used for training in community and technical colleges that are linked with local employers looking for more skilled workers.
Enhanced Pell Grants The Bush Administration proposes to establish a $33 million program to enhance Pell Grants to reward low-income students who participate in the State Scholars Program by taking a rigorous high school curriculum. This program would provide up to an additional $1,000 per year to students in the first two years of college who complete the rigorous State Scholars curriculum in high school, enroll in college full time, and are Pell Grant recipients. Next year, approximately 36,000 low-income graduating high school seniors would be eligible to receive an enhanced Pell Grant under this proposal.
High School Initiatives
Background: The No Child Left Behind Act is providing accountability and resources to improve the achievement of America's elementary and secondary students. These reforms are already beginning to show results in elementary reading and math scores, but President Bush also wants to ensure that all high school students will be better prepared to enter higher education or the workforce. Unfortunately, recent results from the National Assessment of Educational Progress (NAEP) demonstrate that, while achievement for our Nation's fourth- and eighth-graders is on the rise, scores for twelfth graders have declined in both reading and mathematics.
Reading
The Challenge: Many struggling students are at risk of dropping out of school in part because of deficient reading skills. A 2002 study done by researchers at Johns Hopkins University estimates almost one-third of entering ninth-grade students need additional help in reading. In high-poverty high schools, this problem can be even worse, with some studies showing students entering high school three or more grade levels behind in reading. A 1999 study by Andrew Sum of Northeastern University confirms that literacy is highly correlated with the probability of ever earning a high school diploma, the probability of ever earning a higher education degree, and with future earnings.
The President's Plan: The Administration is proposing a new $100 million Striving Readers Initiative that would make competitive grants to develop, implement, and evaluate effective reading interventions for middle or high school students reading significantly below grade level. This program would complement the Reading First State Grants program, which provides comprehensive reading instruction for children in kindergarten through third grade that is grounded in scientifically based reading research. The proposal would provide funds to approximately 50 to 100 school districts for reading intervention programs to help middle and high school students catch up to their peers in reading.
Math
The Challenge: Research indicates many students who drop out of school lack basic skills in mathematics. A 2002 study done by researchers at Johns Hopkins found that "[i]n almost every State, there is at least a 35 percent difference between the percent of white eighth graders and the percent of eighth graders in the State's largest minority groups scoring at the basic level in mathematics on the NAEP test." Further, a 2001 study of Third International Mathematics and Science Study (TIMSS) data revealed that 40 percent of the Nation's 13-year olds fail to perform as well as the average student worldwide in mathematics. Many jobs of the future, however, require a strong background in math and science.
The President's Plan: The Administration is proposing a $120 million increase for the Mathematics and Science Partnership program authorized in the No Child Left Behind Act. The increase would support direct Federal competitive grants to partnerships to increase achievement in mathematics for secondary students. The new 3-year competitive grants would support projects that have significant potential to accelerate the mathematics achievement of all secondary students, but especially low-achieving students. The initiative would focus on ensuring that States and school districts implement professional development projects for mathematics teachers that are strongly grounded in research and that help mathematics teachers to strengthen their skills.
Advanced Placement
The Challenge: Low-income students who participate in Advanced Placement (AP) programs, which give students the opportunity to take college-level courses in high school, are much more likely to enroll and be successful in college than their peers. While enrollment in AP courses has nearly tripled over the past decade, studies show that minority students participate in AP classes and tests at rates far below those of non-minority students, since many students from low-income families attend schools that do not offer AP classes.
President Bush's Plan: Advanced Placement programs not only encourage the growth of Advanced Placement (AP) and International Baccalaureate (IB) courses, but also serve as a mechanism for upgrading the entire high school curriculum for all students. The Administration is proposing a $28 million increase for the Advanced Placement program authorized in the No Child Left Behind Act bringing spending on it to nearly $52 million a year. The increase in funds will ensure that teachers in low-income schools are well-trained to teach AP and IB courses. This program has two components: Advanced Placement Test Fee and Advanced Placement Incentive grants. The purpose of both programs is to support State and local efforts to increase access to advanced placement classes and tests for students in low-income schools, as well as other programs with challenging curricular and end-of-course examinations such as the International Baccalaureate program.
Adjunct Teacher Corps
The Challenge: Job growth is expected to occur in occupations requiring a strong foundation in math and science. According to the Department of Education's 1999-2000 Schools and Staffing Survey, 52 percent of middle school and 15 percent of high school mathematics teachers did not have a major or minor in mathematics and 40 percent of middle school and 11 percent of high school science teachers did not have a major or minor in science.
President Bush's Plan: Many school districts need opportunities and the personnel to strengthen instruction in middle and high schools in the core academic subjects, especially mathematics and science. The Adjunct Teacher Corps would help alleviate this critical situation by bringing professionals with subject-matter knowledge and experience into the classroom. The Administration is proposing a new $40 million initiative to provide competitive grants to partnerships of school districts and public or private institutions to create opportunities for professionals to teach middle and high school courses in the core academic subjects, particularly in mathematics and science.
Grants would be used to: (1) identify, as adjunct teachers, well-qualified individuals outside of the K-12 educational system, including outstanding individuals at the height of their careers in business, government, and institutions of higher learning; and (2) facilitate arrangements for these individuals to function in this capacity, for example, by teaching one or more courses at a school site on a part-time basis, teaching full-time in middle and high schools while on leave from their jobs, or teaching courses that would be available online or through other distance-learning arrangements. The proposal would provide for approximately 60 to 100 awards for partnerships to create and implement arrangements for using well-qualified individuals as teachers on an adjunct basis as is done in our institutions of higher education.
State Scholars
The Challenge: Students are not entering college with the skills necessary to succeed in and complete a post-secondary education. According to a recent study by the Manhattan Institute, 70% of all students in public high schools graduate, but only 32% of all students leave high school academically prepared to attend college. College readiness for minority students is even lower: 51% of all black students graduate, but only 20% leave high school college-ready; and 52% of all Hispanic students graduate, but only 16% leave high school college-ready.
President Bush's Plan: The Administration proposes $12 million in funding for the State Scholars program to make grants available nationwide. In August 2002, President Bush announced the State Scholars Initiative, modeled on the successful Texas Scholars program, to encourage high school students to take more rigorous high school courses. Under the State Scholars Initiative, 12 States have already received assistance in developing and promoting strong courses of study, as well as providing special incentives for students enrolled in these programs.
Fact Sheet: Jobs for the 21st Century
Presidential Action:
In his State of the Union Address, President Bush announced Jobs for the 21st Century -- a comprehensive plan to better prepare workers for jobs in the new millennium by strengthening post-secondary education and job training and improving high school education. This plan includes over $500 million in new funding for education and job training programs.
Strengthening Access to Post-Secondary Education and Job Training: The President's plan will expand opportunities for workers to access post-secondary education to get the job training and skills to compete in a changing and dynamic economy and fill jobs in emerging industries -- including $250 million to fund partnerships between community colleges and employers in high-demand job sectors, and $33 million for expanded Pell Grants for low-income students who complete rigorous coursework in high school.
Improving High School Education: The President's plan will also improve the quality of education at our Nation's high schools and better prepare students for success in higher education and the job market -- including $100 million to help striving readers and $120 million to improve math education.
Higher Education
Background: Post-secondary education and training has become an essential requirement for a steadily increasing percentage of jobs. According to the Bureau of Labor Statistics 80% of the fastest-growing jobs in the United States require some sort of higher education after high school, and many of these jobs require a strong foundation in math and science. Because they are so adaptable and accessible, community colleges are increasingly critical providers of job training, both for degree-seekers and for workers seeking to retool, refine, and broaden their skills.
The Challenge: High school graduates are not entering college and the workforce with the skills they need to compete in a changing economy. A recent report by the National Center for Education Statistics found that 42% of entering freshmen at public two-year colleges and 20% of entering freshmen at four-year public institutions enrolled in at least one remedial course in 2000. Research from the U.S. Department of Education also shows that there is a strong link between the courses completed in high school and the completion of a post-secondary degree.
President Bush's Plan: President Bush wants to expand access to post-secondary education for low-income students, and he wants to foster a new generation of job training partnerships between community colleges and the employers in industries with the most demand for skilled workers. His plan includes:
Community-based Job Training Grants Building on the successes of the President's High-Growth Job Training Initiative, a strategic approach that has provided seed money to fund job training partnerships between community colleges and local high-growth industries, the President proposes $250 million in 2005 to strengthen the role of community colleges in workforce development. These new competitive Community-based Job Training grants would be used for training in community and technical colleges that are linked with local employers looking for more skilled workers.
Enhanced Pell Grants The Bush Administration proposes to establish a $33 million program to enhance Pell Grants to reward low-income students who participate in the State Scholars Program by taking a rigorous high school curriculum. This program would provide up to an additional $1,000 per year to students in the first two years of college who complete the rigorous State Scholars curriculum in high school, enroll in college full time, and are Pell Grant recipients. Next year, approximately 36,000 low-income graduating high school seniors would be eligible to receive an enhanced Pell Grant under this proposal.
High School Initiatives
Background: The No Child Left Behind Act is providing accountability and resources to improve the achievement of America's elementary and secondary students. These reforms are already beginning to show results in elementary reading and math scores, but President Bush also wants to ensure that all high school students will be better prepared to enter higher education or the workforce. Unfortunately, recent results from the National Assessment of Educational Progress (NAEP) demonstrate that, while achievement for our Nation's fourth- and eighth-graders is on the rise, scores for twelfth graders have declined in both reading and mathematics.
Reading
The Challenge: Many struggling students are at risk of dropping out of school in part because of deficient reading skills. A 2002 study done by researchers at Johns Hopkins University estimates almost one-third of entering ninth-grade students need additional help in reading. In high-poverty high schools, this problem can be even worse, with some studies showing students entering high school three or more grade levels behind in reading. A 1999 study by Andrew Sum of Northeastern University confirms that literacy is highly correlated with the probability of ever earning a high school diploma, the probability of ever earning a higher education degree, and with future earnings.
The President's Plan: The Administration is proposing a new $100 million Striving Readers Initiative that would make competitive grants to develop, implement, and evaluate effective reading interventions for middle or high school students reading significantly below grade level. This program would complement the Reading First State Grants program, which provides comprehensive reading instruction for children in kindergarten through third grade that is grounded in scientifically based reading research. The proposal would provide funds to approximately 50 to 100 school districts for reading intervention programs to help middle and high school students catch up to their peers in reading.
Math
The Challenge: Research indicates many students who drop out of school lack basic skills in mathematics. A 2002 study done by researchers at Johns Hopkins found that "[i]n almost every State, there is at least a 35 percent difference between the percent of white eighth graders and the percent of eighth graders in the State's largest minority groups scoring at the basic level in mathematics on the NAEP test." Further, a 2001 study of Third International Mathematics and Science Study (TIMSS) data revealed that 40 percent of the Nation's 13-year olds fail to perform as well as the average student worldwide in mathematics. Many jobs of the future, however, require a strong background in math and science.
The President's Plan: The Administration is proposing a $120 million increase for the Mathematics and Science Partnership program authorized in the No Child Left Behind Act. The increase would support direct Federal competitive grants to partnerships to increase achievement in mathematics for secondary students. The new 3-year competitive grants would support projects that have significant potential to accelerate the mathematics achievement of all secondary students, but especially low-achieving students. The initiative would focus on ensuring that States and school districts implement professional development projects for mathematics teachers that are strongly grounded in research and that help mathematics teachers to strengthen their skills.
Advanced Placement
The Challenge: Low-income students who participate in Advanced Placement (AP) programs, which give students the opportunity to take college-level courses in high school, are much more likely to enroll and be successful in college than their peers. While enrollment in AP courses has nearly tripled over the past decade, studies show that minority students participate in AP classes and tests at rates far below those of non-minority students, since many students from low-income families attend schools that do not offer AP classes.
President Bush's Plan: Advanced Placement programs not only encourage the growth of Advanced Placement (AP) and International Baccalaureate (IB) courses, but also serve as a mechanism for upgrading the entire high school curriculum for all students. The Administration is proposing a $28 million increase for the Advanced Placement program authorized in the No Child Left Behind Act bringing spending on it to nearly $52 million a year. The increase in funds will ensure that teachers in low-income schools are well-trained to teach AP and IB courses. This program has two components: Advanced Placement Test Fee and Advanced Placement Incentive grants. The purpose of both programs is to support State and local efforts to increase access to advanced placement classes and tests for students in low-income schools, as well as other programs with challenging curricular and end-of-course examinations such as the International Baccalaureate program.
Adjunct Teacher Corps
The Challenge: Job growth is expected to occur in occupations requiring a strong foundation in math and science. According to the Department of Education's 1999-2000 Schools and Staffing Survey, 52 percent of middle school and 15 percent of high school mathematics teachers did not have a major or minor in mathematics and 40 percent of middle school and 11 percent of high school science teachers did not have a major or minor in science.
President Bush's Plan: Many school districts need opportunities and the personnel to strengthen instruction in middle and high schools in the core academic subjects, especially mathematics and science. The Adjunct Teacher Corps would help alleviate this critical situation by bringing professionals with subject-matter knowledge and experience into the classroom. The Administration is proposing a new $40 million initiative to provide competitive grants to partnerships of school districts and public or private institutions to create opportunities for professionals to teach middle and high school courses in the core academic subjects, particularly in mathematics and science.
Grants would be used to: (1) identify, as adjunct teachers, well-qualified individuals outside of the K-12 educational system, including outstanding individuals at the height of their careers in business, government, and institutions of higher learning; and (2) facilitate arrangements for these individuals to function in this capacity, for example, by teaching one or more courses at a school site on a part-time basis, teaching full-time in middle and high schools while on leave from their jobs, or teaching courses that would be available online or through other distance-learning arrangements. The proposal would provide for approximately 60 to 100 awards for partnerships to create and implement arrangements for using well-qualified individuals as teachers on an adjunct basis as is done in our institutions of higher education.
State Scholars
The Challenge: Students are not entering college with the skills necessary to succeed in and complete a post-secondary education. According to a recent study by the Manhattan Institute, 70% of all students in public high schools graduate, but only 32% of all students leave high school academically prepared to attend college. College readiness for minority students is even lower: 51% of all black students graduate, but only 20% leave high school college-ready; and 52% of all Hispanic students graduate, but only 16% leave high school college-ready.
President Bush's Plan: The Administration proposes $12 million in funding for the State Scholars program to make grants available nationwide. In August 2002, President Bush announced the State Scholars Initiative, modeled on the successful Texas Scholars program, to encourage high school students to take more rigorous high school courses. Under the State Scholars Initiative, 12 States have already received assistance in developing and promoting strong courses of study, as well as providing special incentives for students enrolled in these programs.
Another year in the presidency, another State of the Union speech. Before we focus on President Bush's plans related to jobs and unemployment, let me first acknowledge that it was nice to finally here something from the President regarding job growth that didn't also mention his tax cuts. I know he still says the tax cuts are the stimulus to job growth and creation, as if, but he did have something new to offer.
The same can't always be said for the field of Democratic candidates who have yet to make the jobs issues their number one weapon of choice in their quest to unseat Bush.
Bush did roll out in general terms his plans to funnel $250 million into community colleges for job training.
"I propose increasing our support for America's fine community colleges, so they can train workers for the industries that are creating the most new jobs."
Although I believe he's done a terrible job in regards to the unemployment situation in the U.S., he's absolutely correct in earmarking money towards programs that will allow students and workers to acquire new skills in professions that are sorely lacking in qualified, skilled candidates. Too often forgotten are the many industrial jobs that remain unfilled despite decent wages and benefits. Welders, auto mechanics, technicians, office equipment repair, and on and on it goes. These jobs not only exist, the employers with openings are desperate to find people to do the work.
When companies begin sending equipment overseas for repairs, we'll then know we're really in trouble.
As I've said before, much of the blame of the lack of skilled workers in highly technical yet blue collar fields lies at the feet of our public education system. The focus of our public schools remains fixated on the notion that every student must strive to move on to college to earn a four-year degree. Meanwhile, some of the best opportunities that exist in the current job market do not require a college degree, only the training and knowledge that should be acquired through programs offered not only at community colleges, but also in post-elementary school settings.
What's happened to the U.S. public schools is the focus of a child's education has changed from preparing them for life after school, whether that is in college or in the workforce, to preparing them for standardized tests.
We may not build or create as much in this country as we used to, but our kids can sure fill in those bubbles better than any group on foreign students found anywhere else on the planet! If only we could make everything work with the use of a number two pencil, there really would be a job for every person who wants one.
Naturally, the Democrats are none to impressed with Bush's plans as evidenced by the Democratic response from Senate Democratic leader Tom Daschle.
"Our first challenge is to strengthen the economy, the right way. The true test of America's economic recovery is not measured simply in quarterly profit reports; it's measured in jobs. The massive tax cuts that were supposed to spark an economic expansion have instead led to an economic exodus. To make up for the 3 million private-sector jobs that have been lost on President Bush's watch, the economy would have to create 226,000 jobs a month through the end of his term. Last month, the economy created only 1,000 new jobs. That's not good enough.
"America can't afford to keep rewarding the accumulation of wealth over the dignity of work. Instead of borrowing even more money to give more tax breaks to companies so that they can export even more jobs, we propose tax cuts and policies that will strengthen our manufacturing sector and create good jobs at good wages here at home. We can also show our patriotism while strengthening agriculture and rural America by labeling all food products with their country of origin."
I don't know where Daschle is going with this food label idea; everyone usually makes food choices based on the price tag. Mix in a coupon and we're really cooking with gas!
What strikes me most about the Democratic response from Daschle and House Democratic leader Nancy Pelosi is while criticizing Bush, they fail to bring any new programs to the table themselves. Daschle's theme for the Democratic ideal for America is an "opportunity society" where people can find jobs, affordable health care and properly supported schools. All ideas anyone should be willing to support, however, you can't just keep banging away at the president without bringing more to the unemployment discussion than your best Sir Thomas More impression.
I wouldn't give Bush passing grades for how he's handled the economy or the unemployment situation, but the when it comes to what I'm seeing most often from the Democrats currently in office, I would have to give them an incomplete.
The same can't always be said for the field of Democratic candidates who have yet to make the jobs issues their number one weapon of choice in their quest to unseat Bush.
Bush did roll out in general terms his plans to funnel $250 million into community colleges for job training.
"I propose increasing our support for America's fine community colleges, so they can train workers for the industries that are creating the most new jobs."
Although I believe he's done a terrible job in regards to the unemployment situation in the U.S., he's absolutely correct in earmarking money towards programs that will allow students and workers to acquire new skills in professions that are sorely lacking in qualified, skilled candidates. Too often forgotten are the many industrial jobs that remain unfilled despite decent wages and benefits. Welders, auto mechanics, technicians, office equipment repair, and on and on it goes. These jobs not only exist, the employers with openings are desperate to find people to do the work.
When companies begin sending equipment overseas for repairs, we'll then know we're really in trouble.
As I've said before, much of the blame of the lack of skilled workers in highly technical yet blue collar fields lies at the feet of our public education system. The focus of our public schools remains fixated on the notion that every student must strive to move on to college to earn a four-year degree. Meanwhile, some of the best opportunities that exist in the current job market do not require a college degree, only the training and knowledge that should be acquired through programs offered not only at community colleges, but also in post-elementary school settings.
What's happened to the U.S. public schools is the focus of a child's education has changed from preparing them for life after school, whether that is in college or in the workforce, to preparing them for standardized tests.
We may not build or create as much in this country as we used to, but our kids can sure fill in those bubbles better than any group on foreign students found anywhere else on the planet! If only we could make everything work with the use of a number two pencil, there really would be a job for every person who wants one.
Naturally, the Democrats are none to impressed with Bush's plans as evidenced by the Democratic response from Senate Democratic leader Tom Daschle.
"Our first challenge is to strengthen the economy, the right way. The true test of America's economic recovery is not measured simply in quarterly profit reports; it's measured in jobs. The massive tax cuts that were supposed to spark an economic expansion have instead led to an economic exodus. To make up for the 3 million private-sector jobs that have been lost on President Bush's watch, the economy would have to create 226,000 jobs a month through the end of his term. Last month, the economy created only 1,000 new jobs. That's not good enough.
"America can't afford to keep rewarding the accumulation of wealth over the dignity of work. Instead of borrowing even more money to give more tax breaks to companies so that they can export even more jobs, we propose tax cuts and policies that will strengthen our manufacturing sector and create good jobs at good wages here at home. We can also show our patriotism while strengthening agriculture and rural America by labeling all food products with their country of origin."
I don't know where Daschle is going with this food label idea; everyone usually makes food choices based on the price tag. Mix in a coupon and we're really cooking with gas!
What strikes me most about the Democratic response from Daschle and House Democratic leader Nancy Pelosi is while criticizing Bush, they fail to bring any new programs to the table themselves. Daschle's theme for the Democratic ideal for America is an "opportunity society" where people can find jobs, affordable health care and properly supported schools. All ideas anyone should be willing to support, however, you can't just keep banging away at the president without bringing more to the unemployment discussion than your best Sir Thomas More impression.
I wouldn't give Bush passing grades for how he's handled the economy or the unemployment situation, but the when it comes to what I'm seeing most often from the Democrats currently in office, I would have to give them an incomplete.
Tuesday, January 20, 2004
From Joe Klein, Time magazine columnist:
"Having watched Kerry campaigns in Massachusetts, people always call him aloof and patrician and aristocratic, but he always wins the working-class vote. And that happened tonight. It shows you, I think, something of the waning strength of the industrial unions in this country."
My thoughts (below) exactly.
"Having watched Kerry campaigns in Massachusetts, people always call him aloof and patrician and aristocratic, but he always wins the working-class vote. And that happened tonight. It shows you, I think, something of the waning strength of the industrial unions in this country."
My thoughts (below) exactly.
It wasn't even that close.
John Kerry and John Edwards leave Iowa triumphant following their 1-2 finish in the Iowa Caucuses. The Dean train is only momentarily derailed and Dick Gephardt may want to consider retirement now that his Midwest neighbor has served him a resounding defeat.
While Kerry and Edwards surge to the top sets up an even more intriguing New Hampshire primary, My focus is the disappointing finishes for Dean and Gephardt and what those finishes represent.
Both Dean and Gephardt were backed by the unions with the unions all but guaranteeing victory for either man based on the amount of support unions could bring to the Caucuses. I know it was cold, but did union members not stock up on the antifreeze or is it now time to face reality ... unions have less pull today than ever.
Unions and farmers owned the Iowa Caucuses for years and nothing could rally the troops and circle the wagons quite like a union. But on a bitterly cold day, a day that required strong-willed people to forsake their comfort to be heard in churches, schools and community halls throughout the Hawkeye State, the unions got outworked and outmuscled.
What a sad day for unions when I can drop a line like that on them. How humiliating it must be that unions get dismissed inside of places their members probably built.
If unions are getting punked within the ranks of the Democratic Party, what type of power are they wielding at the bargaining tables? If Jimmy Hoffa really were in a grave, he'd be spinning in it today.
How weak is the pull of the unions? Fox News cites a perfect example.
"Union households, an important voting group in Iowa, made up 23 percent of caucus attendees. Both Dean and Missouri Rep. Dick Gephardt received endorsements from union groups, but they weren’t enough to help these candidates capture top billing. A plurality of caucus goers from union households supported Kerry (29 percent) followed by Edwards (22 percent), Gephardt (22 percent), and Dean (19 percent)."
Unions can't even get their members to vote for their endorsed candidates! So not only did unions pull in just a fourth of the total number of caucus-goers, but still less than half of those members voted for the union-backed candidates.
Just when did the backbones of the unions turn to jelly?
I'm not saying unions are dead, they're just choking, repeatedly choking.
John Kerry and John Edwards leave Iowa triumphant following their 1-2 finish in the Iowa Caucuses. The Dean train is only momentarily derailed and Dick Gephardt may want to consider retirement now that his Midwest neighbor has served him a resounding defeat.
While Kerry and Edwards surge to the top sets up an even more intriguing New Hampshire primary, My focus is the disappointing finishes for Dean and Gephardt and what those finishes represent.
Both Dean and Gephardt were backed by the unions with the unions all but guaranteeing victory for either man based on the amount of support unions could bring to the Caucuses. I know it was cold, but did union members not stock up on the antifreeze or is it now time to face reality ... unions have less pull today than ever.
Unions and farmers owned the Iowa Caucuses for years and nothing could rally the troops and circle the wagons quite like a union. But on a bitterly cold day, a day that required strong-willed people to forsake their comfort to be heard in churches, schools and community halls throughout the Hawkeye State, the unions got outworked and outmuscled.
What a sad day for unions when I can drop a line like that on them. How humiliating it must be that unions get dismissed inside of places their members probably built.
If unions are getting punked within the ranks of the Democratic Party, what type of power are they wielding at the bargaining tables? If Jimmy Hoffa really were in a grave, he'd be spinning in it today.
How weak is the pull of the unions? Fox News cites a perfect example.
"Union households, an important voting group in Iowa, made up 23 percent of caucus attendees. Both Dean and Missouri Rep. Dick Gephardt received endorsements from union groups, but they weren’t enough to help these candidates capture top billing. A plurality of caucus goers from union households supported Kerry (29 percent) followed by Edwards (22 percent), Gephardt (22 percent), and Dean (19 percent)."
Unions can't even get their members to vote for their endorsed candidates! So not only did unions pull in just a fourth of the total number of caucus-goers, but still less than half of those members voted for the union-backed candidates.
Just when did the backbones of the unions turn to jelly?
I'm not saying unions are dead, they're just choking, repeatedly choking.
Monday, January 19, 2004
While researching some information on how the economy and job outlook is for African-Americans on this Martin Luther King Day, I stumble upon the following press release that does all the work from me. This following comes from an organization called United for a Fair Economy.
I'm not offering this up as an objective report on such matters, but it's always good to share opinions and perspective of all our situations in this economic climate.
Dedrick Muhammad is the Racial Wealth Divide Coordinator at United for a Fair Economy. Attieno Davis coordinates UFE’s Racial Wealth Divide education work. Meizhu Lui is UFE’s Executive Director, and Betsy Leondar-Wright is UFE’s Communications Director.
Black-White Gaps Still Wide - Some Even Widening - Since Dr. King's Death
"There is nothing new about poverty. What is new is that we now have the techniques and the resources to get rid of poverty. The real question is whether we have the will."
- Dr. Martin Luther King, Jr.
Racial inequities in unemployment, family income, imprisonment, average wealth and infant mortality are actually worse than when Dr. King was killed, according to United for a Fair Economy’s new report, "The State of the Dream: Enduring Disparities in Black and White," by Dedrick Muhammad, Attieno Davis, Meizhu Lui and Betsy Leondar-Wright. The report contrasts the vision of Dr. Martin Luther King, Jr. with the reality of the continued racial divide.
Progress has been made in narrowing the divide in per capita income, poverty, homeownership, education, life expectancy and median wealth, but so slowly that the gaps would take decades or even centuries to close at the current rate.
"As Americans celebrate the King Holiday and listen to President Bush’s State of the Union address, we must hold in mind the failure of the most powerful nation in the world to create opportunity for all its people," said Dedrick Muhammad. "No longer do we hear about a War on Poverty or a Great Society. It has been replaced by compassionate conservatism, which has been very conservative in its compassion."
The typical Black family had 60 percent as much income as a white family in 1968, but only 58 percent as much in 2002.
One in nine African Americans cannot find a job. Black unemployment is more than twice the white rate – a wider gap than in 1972.
Black infants are almost two-and-a-half-times as likely as white infants to die before age one – a greater gap than in 1970.
White households had an average net worth of $468,200 in 2001, more than six times the $75,700 of Black households. In 1989 (the oldest comparable data available), average white wealth was five-and-a-half times Black wealth.
"The phrase 'snail’s pace' doesn’t describe the slow progress in some black-white gaps, because snails travel faster than that," said Meizhu Lui.
At the slow rate that the Black-white poverty gap has been narrowing since 1968, it would take 150 years, until 2152, to close.
For every dollar of white per-capita income, African Americans had 55 cents in 1968 – and only 57 cents in 2001. At this pace, it would take Blacks 581 years to get the remaining 43 cents.
"African Americans have endured unbearable disparities for too long," said Attieno Davis. "581 years is too long to wait for our missing 43 cents on the dollar."
While white homeownership has jumped from 65 percent to 75 percent since 1970, Black homeownership has only risen from 42 percent to 48 percent. At this rate, it would take 1,664 years to close the homeownership gap – about 55 generations.
If current rates of incarceration continue, one out of three African American males born today will be imprisoned at some point during their lifetimes.
At the current pace, Blacks and whites will reach high school graduation parity in 2013, six decades after the Brown v. Board of Education school desegregation decision. And college graduation parity wouldn’t be reached until 2075, more than 200 years after the end of slavery.
"Dr. King worked to instill in us all a sense of moral urgency about the racial disparities in the United States," said Betsy Leondar-Wright. "We can honor his memory by shaking off our complacency and committing ourselves to racial justice."
I'm not offering this up as an objective report on such matters, but it's always good to share opinions and perspective of all our situations in this economic climate.
Dedrick Muhammad is the Racial Wealth Divide Coordinator at United for a Fair Economy. Attieno Davis coordinates UFE’s Racial Wealth Divide education work. Meizhu Lui is UFE’s Executive Director, and Betsy Leondar-Wright is UFE’s Communications Director.
Black-White Gaps Still Wide - Some Even Widening - Since Dr. King's Death
"There is nothing new about poverty. What is new is that we now have the techniques and the resources to get rid of poverty. The real question is whether we have the will."
- Dr. Martin Luther King, Jr.
Racial inequities in unemployment, family income, imprisonment, average wealth and infant mortality are actually worse than when Dr. King was killed, according to United for a Fair Economy’s new report, "The State of the Dream: Enduring Disparities in Black and White," by Dedrick Muhammad, Attieno Davis, Meizhu Lui and Betsy Leondar-Wright. The report contrasts the vision of Dr. Martin Luther King, Jr. with the reality of the continued racial divide.
Progress has been made in narrowing the divide in per capita income, poverty, homeownership, education, life expectancy and median wealth, but so slowly that the gaps would take decades or even centuries to close at the current rate.
"As Americans celebrate the King Holiday and listen to President Bush’s State of the Union address, we must hold in mind the failure of the most powerful nation in the world to create opportunity for all its people," said Dedrick Muhammad. "No longer do we hear about a War on Poverty or a Great Society. It has been replaced by compassionate conservatism, which has been very conservative in its compassion."
"The phrase 'snail’s pace' doesn’t describe the slow progress in some black-white gaps, because snails travel faster than that," said Meizhu Lui.
"African Americans have endured unbearable disparities for too long," said Attieno Davis. "581 years is too long to wait for our missing 43 cents on the dollar."
"Dr. King worked to instill in us all a sense of moral urgency about the racial disparities in the United States," said Betsy Leondar-Wright. "We can honor his memory by shaking off our complacency and committing ourselves to racial justice."
Saturday, January 17, 2004
Checking through the directory of search terms that lead people to this blog, I've noticed a rise in the number of people searching for information on the jobs and economy plans among the four leading Democratic candidates for president; Howard Dean, John Edwards, Dick Gephardt and John Kerry.
The Washington Post online has created a nifty little interactive tool titled "Comparing the Candidates," that allows you to view brief summaries of each candidates plans for a variety of issues such as foreign policy, education, abortion and so on. For our purposes, the focus is on unemployment and job creation and below is the Post's summaries of the plans of each of the Iowa Caucuses leading contenders.
Dean: Proposes a two-year $100 billion Fund to Restore America that sets out to create one million new jobs, provide more jobs through public works, research and renewable energies and provides access to capital and tax credits set aside of businesses with fewer than five employees.
Edwards: Proposes creating five million jobs in two years by giving money and tax credits to businesses willing to bring jobs to urban communities and areas of high unemployment.
Gephardt: Provides support to education and job training programs and wants to focus on job creation in the energy and transportation industries.
Kerry: Favors a manufacturing jobs credit, funding of new energy and technology industries and will host weekly job summits within first six months of presidency.
I highly recommend using the Post feature as a Cliffs Notes package for turning your vote into an educated vote.
I was sucked in again by the headlines online about how President Bush used his weekly radio address to touch on the topic of unemployment or jobs. However, after finding a transcript of the address, one realizes why it's such a scary thought that Bush only reads the headlines of newspapers, not the stories.
The topic of jobs and unemployment did come up during the address, but let's not act as if it were the dominant theme.
"Here at home, we continue to build prosperity and economic security for our people. Tax relief has helped turn our economy around. We've doubled the child tax credit, cut taxes for everyone who pays income taxes, and increased incentives for small businesses to invest in new equipment and create jobs.
"The results are clear. Our economy grew at its fastest pace in two decades in the third quarter of 2003. Manufacturers are seeing a rebound in new orders in factory activity. And more than a quarter-million new jobs have been created since August."
Whoa, big fella, let's not spill too much jobs information on a weekend, someone might notice.
Funny, he doesn't mention how many of those quarter-million jobs were wiped out by job losses.
Bush also provides a preview to his upcoming State of the Union address and what stands out to me isn't that he has a plan for more jobs, it's that he wants to encourage people to instead start their own businesses.
So much for baby steps, how about giving us some jobs to pack away some savings to start those businesses. Scheech.
Of course, the Democrats get to respond to the President's weekly address and Maine Congressman Mike Michaud doesn't waste the opportunity by blasting Bush over the unemployment issue in America.
"Since President Bush took office, almost 3 million American jobs have been lost. 2.6 million of those jobs were manufacturing jobs — the kind of jobs that helped build this country. And despite grandiose claims of economic recovery by the Administration, only 1,000 new jobs were created in our entire nation last month. During the Clinton Administration, the economy added about 1,000 jobs every three hours."
Ouch! This Maine Black Bear knows how to scratch. Why aren't we hearing the same rhetoric from the Democratic candidates for president? For one, it's far easier to do news stories on daily polls than provide issue oriented coverage, it's also a cop-out. However, this same field of candidates has also missed golden opportunities to discuss the unemployment issues during their series of debates.
If the search results from my blog are any indication, the good people of Iowa are looking for the candidate willing to take a stand on the issues. It's about time.
The Washington Post online has created a nifty little interactive tool titled "Comparing the Candidates," that allows you to view brief summaries of each candidates plans for a variety of issues such as foreign policy, education, abortion and so on. For our purposes, the focus is on unemployment and job creation and below is the Post's summaries of the plans of each of the Iowa Caucuses leading contenders.
Dean: Proposes a two-year $100 billion Fund to Restore America that sets out to create one million new jobs, provide more jobs through public works, research and renewable energies and provides access to capital and tax credits set aside of businesses with fewer than five employees.
Edwards: Proposes creating five million jobs in two years by giving money and tax credits to businesses willing to bring jobs to urban communities and areas of high unemployment.
Gephardt: Provides support to education and job training programs and wants to focus on job creation in the energy and transportation industries.
Kerry: Favors a manufacturing jobs credit, funding of new energy and technology industries and will host weekly job summits within first six months of presidency.
I highly recommend using the Post feature as a Cliffs Notes package for turning your vote into an educated vote.
I was sucked in again by the headlines online about how President Bush used his weekly radio address to touch on the topic of unemployment or jobs. However, after finding a transcript of the address, one realizes why it's such a scary thought that Bush only reads the headlines of newspapers, not the stories.
The topic of jobs and unemployment did come up during the address, but let's not act as if it were the dominant theme.
"Here at home, we continue to build prosperity and economic security for our people. Tax relief has helped turn our economy around. We've doubled the child tax credit, cut taxes for everyone who pays income taxes, and increased incentives for small businesses to invest in new equipment and create jobs.
"The results are clear. Our economy grew at its fastest pace in two decades in the third quarter of 2003. Manufacturers are seeing a rebound in new orders in factory activity. And more than a quarter-million new jobs have been created since August."
Whoa, big fella, let's not spill too much jobs information on a weekend, someone might notice.
Funny, he doesn't mention how many of those quarter-million jobs were wiped out by job losses.
Bush also provides a preview to his upcoming State of the Union address and what stands out to me isn't that he has a plan for more jobs, it's that he wants to encourage people to instead start their own businesses.
So much for baby steps, how about giving us some jobs to pack away some savings to start those businesses. Scheech.
Of course, the Democrats get to respond to the President's weekly address and Maine Congressman Mike Michaud doesn't waste the opportunity by blasting Bush over the unemployment issue in America.
"Since President Bush took office, almost 3 million American jobs have been lost. 2.6 million of those jobs were manufacturing jobs — the kind of jobs that helped build this country. And despite grandiose claims of economic recovery by the Administration, only 1,000 new jobs were created in our entire nation last month. During the Clinton Administration, the economy added about 1,000 jobs every three hours."
Ouch! This Maine Black Bear knows how to scratch. Why aren't we hearing the same rhetoric from the Democratic candidates for president? For one, it's far easier to do news stories on daily polls than provide issue oriented coverage, it's also a cop-out. However, this same field of candidates has also missed golden opportunities to discuss the unemployment issues during their series of debates.
If the search results from my blog are any indication, the good people of Iowa are looking for the candidate willing to take a stand on the issues. It's about time.
Thursday, January 15, 2004
There are mixed signals being given today concerning the hiring prospects for blue and white collar working in the U.S.
The beleaguered manufacturing industry is predicted to see the growth of a quarter of a million jobs in 2004 due to a weak dollar and a high demand for U.S. exports.
"The long-suffering factory sector, which has laid off workers for 41 straight months since July 2000, will boost production by about 6 percent ... the National Association of Manufacturers said in its annual economic forecast."
But give these salt of the earth workers credit for still being willing to take a shot back at a sign of good news.
"NAM President Jerry Jasinowski said even 9 percent export growth and production increases outstripping overall economic growth will not be enough to bring back many of the factory jobs lost during the slump.
"Manufacturing has lost 2.8 million jobs, and it is doubtful if more than half of those jobs will return any time soon," Jasinowski said in a statement."
From Jasinowski's lips to our ears as Weirton Steel announced today that it was moving on with its continued layoffs impacting around 800 steelworkers.
"Weirton said China, which is purchasing large amounts of coke and other raw materials to feed its rapidly growing steel industry, is contributing to the world shortage of the product."
Yet another example of how China and India's continuing advancements in industry, business and education is having such a profound effect on the American workplace.
I've heard people talk about the need for at the something to be made in the U.S. Something that is easily identifiable as an American product produced by Americans. Well, we can cross Levi Strauss jeans off of that list after the company closed it last two factories in the U.S.
"The financially troubled company, based in San Francisco, has been shifting production to overseas contractors for years to offset drooping sales in the ultra-competitive apparel market. Only two decades ago, it had 63 U.S. manufacturing plants.
"Levi Strauss spokesman Jeff Beckman said the 150-year-old company was making a delayed but unavoidable business decision."
I did say there was mixed news that suggests not all is dark in the marketplace.
For those of you who never had the heart to leave the Big Apple, there's good news perking up behind all those commercial real estate signs in Manhattan.
"While rents of class A offices in Midtown and in particular the Plaza District are up 4 percent over last quarter they are still off 6 percent from a year ago. However, with landlord concessions towards work and construction being gradually reduced and competition for choice spaces increasing, effective prices are likely to continue to rise unless the economic recovery stalls."
Rising prices in the commercial real estate sector means there's a growing interest among companies to fill those empty office floors ... and they don't normally fill those offices with zoo animals! That's the standard operating procedure for Detroit.
In case you're ever curious on the future job prospects for your town, make friends with someone in commercial real estate.
Adding some tint to the white collared crowd is the ongoing news about the big Bank One/J.P. Morgan merger, everyone can now expect around 10,000 jobs will be withdrawn from the new company account. But this is that tricky math where people aren't being let go; the new merged company will just not fill 10,000 jobs that should happen to open up along the way.
"Remember, there's 140,000 employees in America. It takes place over two to three years, so it's 10,000 jobs, not 10,000 layoffs," said Jamie Dimon, Bank One's president and chief executive officer. "We'll do it right with a lot of dignity for the employees."
This is where the unemployed get caught in a trap of hoping for job creation to surpass the number of layoffs. What doesn't figure into those equations is the number of open jobs that go away without a body to count against the unemployment figure. Whether it is businesses holding off until the end of the year or completely eliminating a position from the budget, this is another common unmentioned practice working against the unemployed.
The beleaguered manufacturing industry is predicted to see the growth of a quarter of a million jobs in 2004 due to a weak dollar and a high demand for U.S. exports.
"The long-suffering factory sector, which has laid off workers for 41 straight months since July 2000, will boost production by about 6 percent ... the National Association of Manufacturers said in its annual economic forecast."
But give these salt of the earth workers credit for still being willing to take a shot back at a sign of good news.
"NAM President Jerry Jasinowski said even 9 percent export growth and production increases outstripping overall economic growth will not be enough to bring back many of the factory jobs lost during the slump.
"Manufacturing has lost 2.8 million jobs, and it is doubtful if more than half of those jobs will return any time soon," Jasinowski said in a statement."
From Jasinowski's lips to our ears as Weirton Steel announced today that it was moving on with its continued layoffs impacting around 800 steelworkers.
"Weirton said China, which is purchasing large amounts of coke and other raw materials to feed its rapidly growing steel industry, is contributing to the world shortage of the product."
Yet another example of how China and India's continuing advancements in industry, business and education is having such a profound effect on the American workplace.
I've heard people talk about the need for at the something to be made in the U.S. Something that is easily identifiable as an American product produced by Americans. Well, we can cross Levi Strauss jeans off of that list after the company closed it last two factories in the U.S.
"The financially troubled company, based in San Francisco, has been shifting production to overseas contractors for years to offset drooping sales in the ultra-competitive apparel market. Only two decades ago, it had 63 U.S. manufacturing plants.
"Levi Strauss spokesman Jeff Beckman said the 150-year-old company was making a delayed but unavoidable business decision."
I did say there was mixed news that suggests not all is dark in the marketplace.
For those of you who never had the heart to leave the Big Apple, there's good news perking up behind all those commercial real estate signs in Manhattan.
"While rents of class A offices in Midtown and in particular the Plaza District are up 4 percent over last quarter they are still off 6 percent from a year ago. However, with landlord concessions towards work and construction being gradually reduced and competition for choice spaces increasing, effective prices are likely to continue to rise unless the economic recovery stalls."
Rising prices in the commercial real estate sector means there's a growing interest among companies to fill those empty office floors ... and they don't normally fill those offices with zoo animals! That's the standard operating procedure for Detroit.
In case you're ever curious on the future job prospects for your town, make friends with someone in commercial real estate.
Adding some tint to the white collared crowd is the ongoing news about the big Bank One/J.P. Morgan merger, everyone can now expect around 10,000 jobs will be withdrawn from the new company account. But this is that tricky math where people aren't being let go; the new merged company will just not fill 10,000 jobs that should happen to open up along the way.
"Remember, there's 140,000 employees in America. It takes place over two to three years, so it's 10,000 jobs, not 10,000 layoffs," said Jamie Dimon, Bank One's president and chief executive officer. "We'll do it right with a lot of dignity for the employees."
This is where the unemployed get caught in a trap of hoping for job creation to surpass the number of layoffs. What doesn't figure into those equations is the number of open jobs that go away without a body to count against the unemployment figure. Whether it is businesses holding off until the end of the year or completely eliminating a position from the budget, this is another common unmentioned practice working against the unemployed.
Tuesday, January 13, 2004
Two interactive events to tell you about. First, washingtonpost.com is hosting a chat on unemployment with a pair of economic experts. As if my meandering thoughts aren't enough, at least you'll get some live response to others. The chat begins at 1 p.m. Eastern Time on Wednesday.
I have just added the ability to comment on this blog and I hope you take advantage of the opportunity. This blog should become a forum of ideas and discussion about the topics of unemployment and the job market, and based on the emails I receive, many of you are searching for others to share your thoughts, frustrations and success.
Have at it and enjoy.
I have just added the ability to comment on this blog and I hope you take advantage of the opportunity. This blog should become a forum of ideas and discussion about the topics of unemployment and the job market, and based on the emails I receive, many of you are searching for others to share your thoughts, frustrations and success.
Have at it and enjoy.
Back in high school, it seemed as if everyone, and I mean everyone, wanted to grow up to become an accountant. At my school, CPA had equal status with the NBA which probably explains why my school has only been to the state tournament three times in its history, losing all three first round games.
What seemed like a desirable profession for many at my school also seemed safe. Number crunchers are always needed regardless of industry. I guess the class of 1988 didn't see far enough into the future to today when the accounting industry is next on the outsourcing ocean liner towards parts unknown.
"CPA firms are just one example. In the 2002 tax year, accounting firms sent some 25,000 tax returns to be completed by accountants in India. This year, that number is expected to quadruple.
"The reason lies in the numbers; accountants in the United States typically earn $4,000 a month. In places like India it's closer to $400, says David Wyle, CEO and founder of SurePrep, a tax-outsourcing firm based in southern California that's employed more than 200 accountants in Bombay and Ahmedabad, India."
One thing I clearly remember from my days laboring in math class is that numbers are universal and the figures above spell doom for the mass of accountants in the U.S.
The story linked above also examines the impact developing economies are having in the field of medicine as doctors and researchers across the world can share notes and analysis on the treatment of all sorts of diseases such as cancer.
This is a positive development that does come with at least two negatives. First, try having your PPO cover charges for work done overseas and next, how many members of the bourgeois can afford to go to the doctor in the first place?
"Health care spending in the United States reached $1.6 trillion in 2002, an annual increase of 9.3 percent fueled by rising hospital spending and prescription drugs costs ... the annual CMS report analyzes spending trends in the public and private health care sectors. The $1.6 trillion figure means that health care spending averaged about $5,440 per person in 2002.
"While the rate of growth on prescription drugs costs slowed in 2002 to 15.3 percent, drug spending remained the fastest-growing item in health care. That trend is expected to continue for the next 10 years."
More than $5,000 a year is monumental when unemployed or working without benefits because you can't find a full time job that still comes with health insurance. As I've said before, there are companies where the insurance costs restrict their ability to hire additional workers. For those people who can afford the monthly COBRA payment that usually leaves little left over for the costs of the co-pay and the prescription costs.
I wonder when Canadians will start beefing up its border patrol to keep Americans from running north for the free medical?
The rising costs of health care is also leaving little money left over to pay down our national consumer debt crisis which continues to grow to disturbing levels.
"According to the latest figures from the Federal Reserve, America's consumer debt has topped $2 trillion for the first time, continuing what debt experts view as an alarming surge in recent years."
To some, the nation's consumer debt, which dwarfs that of any other country, represents the kind of "bubble" that the stock market grew into during the 1990s."
In defense of the unemployed, sometimes you just haven't got a choice when it comes to making some ends meet. Even though you know it is going to come back to haunt you later, many of the unemployed are left with no other choice than to go plastic when paying the bills. When you consider that the interest rates far exceed the growth in personal and family incomes, the hole not only gets deeper, it seems to not have a bottom.
What increasingly become evident is that people are finding themselves in the position of carrying a significant amount of debt with them and chalking it off to an additional cost of living that never goes away such as mortgage and car payments. The challenge become trying to control the amount of that new living expense of the 21st Century.
I've heard stories of companies that would check your credit rating as a condition of your employment. The thinking being a responsible employee is also someone who is responsible with his or her own money. I don't know if that practice is still alive today, my hope is it's not for all the unemployed who find themselves drowning in red ink.
In closing, I want to share with you an email I received recently from someone I suspect is a regular visitor to the blog who I think represents more of the population than anyone cares to admit.
Our friend has been unemployed for some time and naturally finds his condition and the job search process "depressing." Among the many options our friend ponders is the thought of separating from his wife to find another job out of state or out of the country.
That thought may strike some of you as shocking, even insensitive, but should it? Although he may feel as if he's alone in his struggles, he's really not. Families across America are breaking up due to the unemployment crisis in the U.S. The divorce rate is as high as ever and, as we've learned during the last year, some families that have stuck together are doing so in homeless shelters or on the move from apartment to apartment.
Unemployment is bringing people in the wealthiest country in the world to their knees. The institution of marriage and the bonds of family are constantly at risk. I don't mean to single this person out, but his situation and feelings aren't unique for many of the unemployed. In fact, I suspect and fear it is becoming the norm.
What seemed like a desirable profession for many at my school also seemed safe. Number crunchers are always needed regardless of industry. I guess the class of 1988 didn't see far enough into the future to today when the accounting industry is next on the outsourcing ocean liner towards parts unknown.
"CPA firms are just one example. In the 2002 tax year, accounting firms sent some 25,000 tax returns to be completed by accountants in India. This year, that number is expected to quadruple.
"The reason lies in the numbers; accountants in the United States typically earn $4,000 a month. In places like India it's closer to $400, says David Wyle, CEO and founder of SurePrep, a tax-outsourcing firm based in southern California that's employed more than 200 accountants in Bombay and Ahmedabad, India."
One thing I clearly remember from my days laboring in math class is that numbers are universal and the figures above spell doom for the mass of accountants in the U.S.
The story linked above also examines the impact developing economies are having in the field of medicine as doctors and researchers across the world can share notes and analysis on the treatment of all sorts of diseases such as cancer.
This is a positive development that does come with at least two negatives. First, try having your PPO cover charges for work done overseas and next, how many members of the bourgeois can afford to go to the doctor in the first place?
"Health care spending in the United States reached $1.6 trillion in 2002, an annual increase of 9.3 percent fueled by rising hospital spending and prescription drugs costs ... the annual CMS report analyzes spending trends in the public and private health care sectors. The $1.6 trillion figure means that health care spending averaged about $5,440 per person in 2002.
"While the rate of growth on prescription drugs costs slowed in 2002 to 15.3 percent, drug spending remained the fastest-growing item in health care. That trend is expected to continue for the next 10 years."
More than $5,000 a year is monumental when unemployed or working without benefits because you can't find a full time job that still comes with health insurance. As I've said before, there are companies where the insurance costs restrict their ability to hire additional workers. For those people who can afford the monthly COBRA payment that usually leaves little left over for the costs of the co-pay and the prescription costs.
I wonder when Canadians will start beefing up its border patrol to keep Americans from running north for the free medical?
The rising costs of health care is also leaving little money left over to pay down our national consumer debt crisis which continues to grow to disturbing levels.
"According to the latest figures from the Federal Reserve, America's consumer debt has topped $2 trillion for the first time, continuing what debt experts view as an alarming surge in recent years."
To some, the nation's consumer debt, which dwarfs that of any other country, represents the kind of "bubble" that the stock market grew into during the 1990s."
In defense of the unemployed, sometimes you just haven't got a choice when it comes to making some ends meet. Even though you know it is going to come back to haunt you later, many of the unemployed are left with no other choice than to go plastic when paying the bills. When you consider that the interest rates far exceed the growth in personal and family incomes, the hole not only gets deeper, it seems to not have a bottom.
What increasingly become evident is that people are finding themselves in the position of carrying a significant amount of debt with them and chalking it off to an additional cost of living that never goes away such as mortgage and car payments. The challenge become trying to control the amount of that new living expense of the 21st Century.
I've heard stories of companies that would check your credit rating as a condition of your employment. The thinking being a responsible employee is also someone who is responsible with his or her own money. I don't know if that practice is still alive today, my hope is it's not for all the unemployed who find themselves drowning in red ink.
In closing, I want to share with you an email I received recently from someone I suspect is a regular visitor to the blog who I think represents more of the population than anyone cares to admit.
Our friend has been unemployed for some time and naturally finds his condition and the job search process "depressing." Among the many options our friend ponders is the thought of separating from his wife to find another job out of state or out of the country.
That thought may strike some of you as shocking, even insensitive, but should it? Although he may feel as if he's alone in his struggles, he's really not. Families across America are breaking up due to the unemployment crisis in the U.S. The divorce rate is as high as ever and, as we've learned during the last year, some families that have stuck together are doing so in homeless shelters or on the move from apartment to apartment.
Unemployment is bringing people in the wealthiest country in the world to their knees. The institution of marriage and the bonds of family are constantly at risk. I don't mean to single this person out, but his situation and feelings aren't unique for many of the unemployed. In fact, I suspect and fear it is becoming the norm.
Monday, January 12, 2004
Hot headlines from the weekend:
To Understand U.S. Jobs Picture, Connect the Dots, and Find the Dots: For those of you who have been following this blog, this story should come as no surprise. There is plenty of book cooking going on when it comes to the unemployment figures. It's desperate times when the total job growth throughout this entire country only amounts to 1,000 and the unemployment rate falls by .2 percent. What we have are thousands of people who have given up and thousands of others who have been unemployed for so long that they no longer count.
By the way, simple math, but very distressing. One thousand jobs divided by 50 states equals an average of 20 jobs per state created in this country during the month of December. Twenty.
Jobs data casts cloud over rally's vitality: No knock on the Indy Star, it just makes me shake my head though to see a story focusing on how there could be less than ideal days ahead for those playing the stock market, when millions of people live in fear of going much further without a job. As long as people love polling, what do Americans fear most, job loss or terrorism?
Please.
Industry still cutting jobs, freezing pay: The industry in question is the world of telecom. As this industry gets more diverse, the jobs will continue to go away. It reminds of that World of Tomorrow ride at Disneyworld. How are lives were going to be changed in so many positive ways. Disney was right about many things, but they did fail in one way, they didn't make the ride scare the cooties out of you.
Job security: Are any of us really safe?: It seems that regardless of the position or the industry, the last two years have shown us that where there's a will for business to save money on personnel, there's eventually going to be a way.
My favorite line of the day came from John Kerry on Meet the Press, "Americans are working for the economy, but is the economy working for Americans?" That is not an endorsement by the way.
Some guidelines to plan your job search: I published some tips of my own to start out the year on this blog, but I thought I'd pass along some other in case you're willing to indulge into some more.
To the people who have emailed me recently about your plight, all I can say is don't quit, don't give up.
To Understand U.S. Jobs Picture, Connect the Dots, and Find the Dots: For those of you who have been following this blog, this story should come as no surprise. There is plenty of book cooking going on when it comes to the unemployment figures. It's desperate times when the total job growth throughout this entire country only amounts to 1,000 and the unemployment rate falls by .2 percent. What we have are thousands of people who have given up and thousands of others who have been unemployed for so long that they no longer count.
By the way, simple math, but very distressing. One thousand jobs divided by 50 states equals an average of 20 jobs per state created in this country during the month of December. Twenty.
Jobs data casts cloud over rally's vitality: No knock on the Indy Star, it just makes me shake my head though to see a story focusing on how there could be less than ideal days ahead for those playing the stock market, when millions of people live in fear of going much further without a job. As long as people love polling, what do Americans fear most, job loss or terrorism?
Please.
Industry still cutting jobs, freezing pay: The industry in question is the world of telecom. As this industry gets more diverse, the jobs will continue to go away. It reminds of that World of Tomorrow ride at Disneyworld. How are lives were going to be changed in so many positive ways. Disney was right about many things, but they did fail in one way, they didn't make the ride scare the cooties out of you.
Job security: Are any of us really safe?: It seems that regardless of the position or the industry, the last two years have shown us that where there's a will for business to save money on personnel, there's eventually going to be a way.
My favorite line of the day came from John Kerry on Meet the Press, "Americans are working for the economy, but is the economy working for Americans?" That is not an endorsement by the way.
Some guidelines to plan your job search: I published some tips of my own to start out the year on this blog, but I thought I'd pass along some other in case you're willing to indulge into some more.
To the people who have emailed me recently about your plight, all I can say is don't quit, don't give up.
Friday, January 09, 2004
This morning's statement from Kathleen P. Utgoff, Commissioner of the Bureau of Labor Statistics:
Nonfarm payroll employment was unchanged (+1,000) in December following gains totaling 277,000 in the 4 previous months. The unemployment rate, at 5.7 percent in December, continued to trend down from its recent peak of 6.3 percent in June.
Over the month, job losses in retail trade and manufacturing were offset by small gains in several service industries and construction. The number of jobs in retail trade fell by 38,000 on a seasonally adjusted basis, as hiring for the holidays was less than usual in general merchandise stores and some other retail industries.
Employment in manufacturing continued to decline in December. The loss of 26,000 jobs was about in line with the average monthly decrease for September through November (21,000) but well below the average decrease for the first eight months of the year (54,000). During 2003, manufacturers shed about half a million jobs. In December, the average workweek in manufacturing edged down by 0.1 hour and factory overtime was up by 0.1 hour.
Employment edged down in the transportation and warehousing industry over the month, largely due to a strike in warehousing. Banks and mortgage companies also reduced payrolls in December, reflecting reduced mortgage refinancing activity.
Within government, seasonal hiring in the postal service was smaller than usual, resulting in an employment decline after seasonal adjustment. Over the year, total government employment was down by 88,000, reflecting declines at the Federal and state levels. Local government employment was little changed over the year, compared with gains of 182,000 in 2002 and 368,000 in 2001.
Several industries added jobs over the month. Employment in professional and business services rose by 45,000. Within this industry, temporary help firms, which supply workers to other employers, added jobs for the 8th straight month, with employment increasing by 194,000 over the period. Job growth continued in education and health services in December. This industry gained 301,000 jobs in 2003, well below the increases of the prior two years.
Construction employment continued on the upward trend that began early in 2003. Since February, the industry has added 173,000 jobs, mostly in specialty trade contractors.
Average hourly earnings for production or nonsupervisory workers rose by three cents in December after a one cent gain the prior month. Over the 12 months ending in December, hourly earnings increased by 2.0 percent.
Turning to data from our survey of households, the number of unemployed persons, 8.4 million, and the unemployment rate, 5.7 percent, continued to trend downward in December. Since June, the rate has declined by 0.6 percentage point, and the number of unemployed has fallen by 847,000.
The labor force declined by 309,000 in December; the labor force participation rate--the number of people in the labor force as a percent of the population--declined by 0.2 percentage point to 66.0 percent. In December 2002, the participation rate was 66.4 percent.
In summary, nonfarm payroll employment was flat in December after four months of gains totaling 277,000. Job losses occurred over the month in retail trade and manufacturing, while there were gains in temporary help services and several other industries. The unemployment rate continued to trend down from its midyear high to 5.7 percent.
Nonfarm payroll employment was unchanged (+1,000) in December following gains totaling 277,000 in the 4 previous months. The unemployment rate, at 5.7 percent in December, continued to trend down from its recent peak of 6.3 percent in June.
Over the month, job losses in retail trade and manufacturing were offset by small gains in several service industries and construction. The number of jobs in retail trade fell by 38,000 on a seasonally adjusted basis, as hiring for the holidays was less than usual in general merchandise stores and some other retail industries.
Employment in manufacturing continued to decline in December. The loss of 26,000 jobs was about in line with the average monthly decrease for September through November (21,000) but well below the average decrease for the first eight months of the year (54,000). During 2003, manufacturers shed about half a million jobs. In December, the average workweek in manufacturing edged down by 0.1 hour and factory overtime was up by 0.1 hour.
Employment edged down in the transportation and warehousing industry over the month, largely due to a strike in warehousing. Banks and mortgage companies also reduced payrolls in December, reflecting reduced mortgage refinancing activity.
Within government, seasonal hiring in the postal service was smaller than usual, resulting in an employment decline after seasonal adjustment. Over the year, total government employment was down by 88,000, reflecting declines at the Federal and state levels. Local government employment was little changed over the year, compared with gains of 182,000 in 2002 and 368,000 in 2001.
Several industries added jobs over the month. Employment in professional and business services rose by 45,000. Within this industry, temporary help firms, which supply workers to other employers, added jobs for the 8th straight month, with employment increasing by 194,000 over the period. Job growth continued in education and health services in December. This industry gained 301,000 jobs in 2003, well below the increases of the prior two years.
Construction employment continued on the upward trend that began early in 2003. Since February, the industry has added 173,000 jobs, mostly in specialty trade contractors.
Average hourly earnings for production or nonsupervisory workers rose by three cents in December after a one cent gain the prior month. Over the 12 months ending in December, hourly earnings increased by 2.0 percent.
Turning to data from our survey of households, the number of unemployed persons, 8.4 million, and the unemployment rate, 5.7 percent, continued to trend downward in December. Since June, the rate has declined by 0.6 percentage point, and the number of unemployed has fallen by 847,000.
The labor force declined by 309,000 in December; the labor force participation rate--the number of people in the labor force as a percent of the population--declined by 0.2 percentage point to 66.0 percent. In December 2002, the participation rate was 66.4 percent.
In summary, nonfarm payroll employment was flat in December after four months of gains totaling 277,000. Job losses occurred over the month in retail trade and manufacturing, while there were gains in temporary help services and several other industries. The unemployment rate continued to trend down from its midyear high to 5.7 percent.
Thursday, January 08, 2004
There are certainly differing points to ponder regarding President Bush's new immigration plan allowing for temporary workers who are already in the U.S. to keep their jobs and allow people from outside the country to fill others. My stance on this has been that I don't see it having much of an impact on the unemployment situation in the U.S. But enough about my thoughts, let's hear from others.
Again, we're focusing on this issue as it applies to the job market.
PRO
U.S. Chamber of Commerce: The United States Chamber of Commerce strongly welcomed President George W. Bush’s announcement outlining potential immigration reforms, noting that even in an election year, the administration’s focus will help push the debate forward.
"Our immigration system is broken and the government must act in a comprehensive way to fix it," said Randel Johnson, Chamber vice president for labor, immigration and employee benefits. "We need a system of 'earned targeted adjustment' for undocumented workers that fill vital roles in our economy, which would enable them to achieve legal status. We also need to expand permanent and temporary visas for workers to enter the United States legally to meet future workforce requirements."
Under the proposal announced today by President Bush, a job registry will be created to match foreign workers with employers in need of labor. The president also laid out a new method to allow undocumented workers to keep their jobs and obtain legal status.
"Our immigration and visa policy must ensure employers are able to fill jobs critical to our economy when American workers are not available," Johnson said. "Today’s announcement provides a good opportunity to move forward and enact sensible and comprehensive immigration reform."
Essential Worker Immigration Coalition: "The inability of employers to hire enough U.S. workers will be alleviated through (President Bush's) proposal of allowing businesses to utilize temporary workers from abroad."
Peter Spiro, Hofstra University law professor: "(The proposal) recognizes that these people are part of the community, that they benefit the community, that they offer labor and other skills that we don't have available."
Steve Camarata, Center for Immigration Studies: "The business community is very resistant to any effort to reduce the supply of labor because that would mean they would have to pay workers more."
Joseph Narkiewicz, executive vice president of the Builder's Association of Greater Tampa: "Bush's plan may very well help to alleviate shortages of labor the industry has been experiencing. Obviously, it would make it easier to hire foreign-born workers."
CON
AFL/CIO President John Sweeney: "Immigration reform is a long ignored crisis that demands urgent action. But President Bush’s announcement today of his principles for immigration reform is a hollow promise for hardworking, undocumented workers, people seeking to immigrate to the U.S. and U.S. workers alike. It creates a permanent underclass of workers who are unable to fully participate in democracy. The plan deepens the potential for abuse and exploitation of these workers, while undermining wages and labor protections for all workers.
"Despite an egregious history of failed temporary foreign worker programs in the United States that have hurt immigrant and domestic workers alike, the president proposes a new enlarged temporary worker program that will do nothing to strengthen protections for wages, benefits and other rights of immigrant and domestic workers. The president’s plan would formalize an even larger class of workers accorded only second tier status in American workplaces and will exacerbate the decline in job quality and job security for all workers.
"The plan will serve large corporations’ needs over those of immigrant workers and their families.
"Finally, the president’s plan neither supports nor encompasses existing bi-partisan legislation that would significantly improve the quality of life for immigrant workers and their families. These bills include the DREAM ACT, which would enable undocumented immigrant high school graduates to obtain a college education. In fact, the President’s proposal does not address the issues of undocumented children at all. Nor does it address the AGJOBS agreement, which would provide earned legalization for some 500,000 agricultural farm workers, most of them from Mexico, currently living here.
"Reforms to provide legal status to the millions of hardworking, undocumented workers living in this country must be comprehensive and fair. They cannot and should not be designed primarily to provide a steady stream of vulnerable workers for American companies. Instead, immigration reform must provide a certain path to legalization for workers from around the world who are already living and working in the United States; repeal and replace employer sanctions with stiffer penalties for employers who take advantage of workers’ immigration status to exploit them and undermine labor protections for all workers; reform, not expand, temporary worker programs; and reform the permanent immigration system so that those who play by the rules are not penalized by unconscionably long waiting periods."
"The union movement supports and will continue to fight for immigration reform that reflects these principles. Only in that manner can we as a nation provide a meaningful promise to immigrant workers now and in the future and safeguard basic rights and protections for all workers in the United States."
Howard Dean, Democratic candidate for president: "The president's proposal will help big corporations who currently employ undocumented workers. But it does nothing to place hardworking immigrants on a path to citizenship and would create a permanent underclass of service workers with second-class status."
Joe Lieberman, Democratic candidate for president: "George Bush's plan leaves foreign workers as fodder for our fields and factories without giving them a path to legalization and a fair shot at the American dream."
David Ray, Federation For American Immigration Reform: "It's mind-boggling that in the midst of economic recovery with 9 million people jobless, President Bush would propose this. It's going to have a dire effect on wages for American families. It will cause huge displacement of American workers. We will witness how American jobs are given away right before our eyes."
Josh Bernstein, director of federal policy for the National Immigration Law Center: "This, in the long run, is more complicated to administer. It becomes more bureaucratic. That's going to undermine the whole intent of bringing people out from under the shadows."
Again, we're focusing on this issue as it applies to the job market.
PRO
U.S. Chamber of Commerce: The United States Chamber of Commerce strongly welcomed President George W. Bush’s announcement outlining potential immigration reforms, noting that even in an election year, the administration’s focus will help push the debate forward.
"Our immigration system is broken and the government must act in a comprehensive way to fix it," said Randel Johnson, Chamber vice president for labor, immigration and employee benefits. "We need a system of 'earned targeted adjustment' for undocumented workers that fill vital roles in our economy, which would enable them to achieve legal status. We also need to expand permanent and temporary visas for workers to enter the United States legally to meet future workforce requirements."
Under the proposal announced today by President Bush, a job registry will be created to match foreign workers with employers in need of labor. The president also laid out a new method to allow undocumented workers to keep their jobs and obtain legal status.
"Our immigration and visa policy must ensure employers are able to fill jobs critical to our economy when American workers are not available," Johnson said. "Today’s announcement provides a good opportunity to move forward and enact sensible and comprehensive immigration reform."
Essential Worker Immigration Coalition: "The inability of employers to hire enough U.S. workers will be alleviated through (President Bush's) proposal of allowing businesses to utilize temporary workers from abroad."
Peter Spiro, Hofstra University law professor: "(The proposal) recognizes that these people are part of the community, that they benefit the community, that they offer labor and other skills that we don't have available."
Steve Camarata, Center for Immigration Studies: "The business community is very resistant to any effort to reduce the supply of labor because that would mean they would have to pay workers more."
Joseph Narkiewicz, executive vice president of the Builder's Association of Greater Tampa: "Bush's plan may very well help to alleviate shortages of labor the industry has been experiencing. Obviously, it would make it easier to hire foreign-born workers."
CON
AFL/CIO President John Sweeney: "Immigration reform is a long ignored crisis that demands urgent action. But President Bush’s announcement today of his principles for immigration reform is a hollow promise for hardworking, undocumented workers, people seeking to immigrate to the U.S. and U.S. workers alike. It creates a permanent underclass of workers who are unable to fully participate in democracy. The plan deepens the potential for abuse and exploitation of these workers, while undermining wages and labor protections for all workers.
"Despite an egregious history of failed temporary foreign worker programs in the United States that have hurt immigrant and domestic workers alike, the president proposes a new enlarged temporary worker program that will do nothing to strengthen protections for wages, benefits and other rights of immigrant and domestic workers. The president’s plan would formalize an even larger class of workers accorded only second tier status in American workplaces and will exacerbate the decline in job quality and job security for all workers.
"The plan will serve large corporations’ needs over those of immigrant workers and their families.
"Finally, the president’s plan neither supports nor encompasses existing bi-partisan legislation that would significantly improve the quality of life for immigrant workers and their families. These bills include the DREAM ACT, which would enable undocumented immigrant high school graduates to obtain a college education. In fact, the President’s proposal does not address the issues of undocumented children at all. Nor does it address the AGJOBS agreement, which would provide earned legalization for some 500,000 agricultural farm workers, most of them from Mexico, currently living here.
"Reforms to provide legal status to the millions of hardworking, undocumented workers living in this country must be comprehensive and fair. They cannot and should not be designed primarily to provide a steady stream of vulnerable workers for American companies. Instead, immigration reform must provide a certain path to legalization for workers from around the world who are already living and working in the United States; repeal and replace employer sanctions with stiffer penalties for employers who take advantage of workers’ immigration status to exploit them and undermine labor protections for all workers; reform, not expand, temporary worker programs; and reform the permanent immigration system so that those who play by the rules are not penalized by unconscionably long waiting periods."
"The union movement supports and will continue to fight for immigration reform that reflects these principles. Only in that manner can we as a nation provide a meaningful promise to immigrant workers now and in the future and safeguard basic rights and protections for all workers in the United States."
Howard Dean, Democratic candidate for president: "The president's proposal will help big corporations who currently employ undocumented workers. But it does nothing to place hardworking immigrants on a path to citizenship and would create a permanent underclass of service workers with second-class status."
Joe Lieberman, Democratic candidate for president: "George Bush's plan leaves foreign workers as fodder for our fields and factories without giving them a path to legalization and a fair shot at the American dream."
David Ray, Federation For American Immigration Reform: "It's mind-boggling that in the midst of economic recovery with 9 million people jobless, President Bush would propose this. It's going to have a dire effect on wages for American families. It will cause huge displacement of American workers. We will witness how American jobs are given away right before our eyes."
Josh Bernstein, director of federal policy for the National Immigration Law Center: "This, in the long run, is more complicated to administer. It becomes more bureaucratic. That's going to undermine the whole intent of bringing people out from under the shadows."
Wednesday, January 07, 2004
The big news of the day regarding anything labor is President Bush's planned announcement of creating new rights to illegal (?) immigrant workers here in the United States. Many see this as a ploy to garner support from the ever-growing Hispanic population in anticipation of this year's election. Others worry that allowing immigrants to work in the U.S. may take available jobs that may have otherwise gone to the unemployed citizens.
According to The Associated Press, the plan is as follows:
"The new temporary worker program would allow either one of the estimated 8 million illegal immigrants already in the United States or someone abroad to apply for the right to work legally in the country for a three-year term that could be renewed. The White House is not saying how long the term could be extended or how many times it could be renewed.
"An applicant for the program already in the United States must pay an unspecified registration fee and show they are currently employed. Applicants still in their home countries won't have to pay a fee, but must have a job lined up.
"The employer must show no Americans wanted the job.
"Temporary workers would get all the same protections afforded American workers.
"The worker must return to his or her home country at the end of the term.
"Dependants of the temporary workers would be allowed in the United States if the worker can prove they can support their family. The workers would be allowed to move freely back and forth between the United States and their home country.
"The White House also is calling for an unspecified increase in the number of green cards allowed to be granted annually.
"The plan also would provide incentives for the workers to return to their home countries, including the promise of access to retirement benefits and new tax savings accounts."
So, what effect will this have on your ability to find a job? In the short term, it won't make a difference, however, in the long term, I see this as a benefit that could increase hiring across all U.S. industries.
It's a given that you have 8 million or more people already illegally working here in the U.S. Those are jobs that are already spoken for and are not readily available regardless of this proposal's passage that can be assured since Bush has not vetoed even one bill put on his desk this term.
The jobs filled by this workforce are quite simply "undesirable." Everyone has their limits on what they're willing and unwilling to do to on the job. Face it, there aren't many people ever reading this blog who would be willing to work the kill floor of a meatpacking plant. Regardless, the jobs are necessary to keep some businesses operating and consumer costs down.
The advantage for the unemployed in the long-term is business getting the opportunity to use this program to increase productivity and profits and therefore, have greater revenues at hand to hire more people for the more "desirable" positions. While we may all suspect the interests of business is pocketing as much as possible, companies still always need to be in a position of growth in order to expect to survive. In one form or another, there must always be growth.
What protectionists and the prejudiced fail to acknowledge is that this group of labor helps keeps the economy churning. They are doing the jobs few others want at a rate even fewer would accept. Is it entirely fair to those who risk their lives to cross the border for these jobs to be paying them so cheap, not entirely, but, there is a willingness to do it for the benefits provided of just living in the U.S. that makes at an alternative to what they have in their home countries.
For those fearing people from all over the world trying to come in and take their jobs, you are looking at this issue in the wrong way. Whether this becomes law or not, you should have enough confidence in your abilities to welcome competition for the job marketplace is nothing but competition. When you apply and interview for a job, you are competing with a pool of people with similar backgrounds as your own. You should have done enough up to that point to have the confidence to not only win the job, but also excel at it. If you fall short, someone else just simply beat you out, such is the nature of competition.
If the U.S. economy lost those 8 million-plus illegal jobs, the impact would be hard felt and for some industries absolutely devastating. The agricultural industry alone would be stung like no other, and the costs at the grocery stores are not something you would be willing to accept.
Granted, there are several other issues surrounding this issue not touched upon here, but the focus is always on the workplace and unemployment specifically. The initial reaction from the author of this blog is this has the potential to be beneficial, but just not any time soon. Similar to NAFTA, the impact of this proposal will be worth watching for the next several years.
According to The Associated Press, the plan is as follows:
So, what effect will this have on your ability to find a job? In the short term, it won't make a difference, however, in the long term, I see this as a benefit that could increase hiring across all U.S. industries.
It's a given that you have 8 million or more people already illegally working here in the U.S. Those are jobs that are already spoken for and are not readily available regardless of this proposal's passage that can be assured since Bush has not vetoed even one bill put on his desk this term.
The jobs filled by this workforce are quite simply "undesirable." Everyone has their limits on what they're willing and unwilling to do to on the job. Face it, there aren't many people ever reading this blog who would be willing to work the kill floor of a meatpacking plant. Regardless, the jobs are necessary to keep some businesses operating and consumer costs down.
The advantage for the unemployed in the long-term is business getting the opportunity to use this program to increase productivity and profits and therefore, have greater revenues at hand to hire more people for the more "desirable" positions. While we may all suspect the interests of business is pocketing as much as possible, companies still always need to be in a position of growth in order to expect to survive. In one form or another, there must always be growth.
What protectionists and the prejudiced fail to acknowledge is that this group of labor helps keeps the economy churning. They are doing the jobs few others want at a rate even fewer would accept. Is it entirely fair to those who risk their lives to cross the border for these jobs to be paying them so cheap, not entirely, but, there is a willingness to do it for the benefits provided of just living in the U.S. that makes at an alternative to what they have in their home countries.
For those fearing people from all over the world trying to come in and take their jobs, you are looking at this issue in the wrong way. Whether this becomes law or not, you should have enough confidence in your abilities to welcome competition for the job marketplace is nothing but competition. When you apply and interview for a job, you are competing with a pool of people with similar backgrounds as your own. You should have done enough up to that point to have the confidence to not only win the job, but also excel at it. If you fall short, someone else just simply beat you out, such is the nature of competition.
If the U.S. economy lost those 8 million-plus illegal jobs, the impact would be hard felt and for some industries absolutely devastating. The agricultural industry alone would be stung like no other, and the costs at the grocery stores are not something you would be willing to accept.
Granted, there are several other issues surrounding this issue not touched upon here, but the focus is always on the workplace and unemployment specifically. The initial reaction from the author of this blog is this has the potential to be beneficial, but just not any time soon. Similar to NAFTA, the impact of this proposal will be worth watching for the next several years.
Tuesday, January 06, 2004
Just like a schoolyard bully, the U.S. Labor Department decided to make life a little more difficult for the struggling working class ... if for no other reason than they can.
Congress has always passed laws complete with corporate loopholes, it's just the government usually doesn't publicly publish the playbook on how to use such loopholes.
The U.S. Labor Department has published on its Web site tips for employers on how to cut overtime costs following the Bush administration's signing off on a law changing the overtime rules for some U.S. workers.
Among the tips are "cut workers' hourly wages and add the overtime to equal the original salary, or raise salaries to the new $22,100 annual threshold, making them ineligible."
We'll keep that productivity high no matter how many backs we break!
The best line in the story comes from Labor Department spokesman Ed Frank who says, "We're not saying anybody should do any of this."
So the likely explanation is the Labor Department had a hole on its Web site and didn't have anything else to use to fill it. How about a graphic of a blue-collar stiff bent over while getting Donkey Konged from behind?
Frank's quote is like the pro wrestler who chokes his opponent just before the disqualification count of five, breaks the hold, and then goes back to chocking the guy during the duration of the next five count.
It may only be Jan. 6, but that may stand the test of time for quote of the year.
Congress has always passed laws complete with corporate loopholes, it's just the government usually doesn't publicly publish the playbook on how to use such loopholes.
The U.S. Labor Department has published on its Web site tips for employers on how to cut overtime costs following the Bush administration's signing off on a law changing the overtime rules for some U.S. workers.
Among the tips are "cut workers' hourly wages and add the overtime to equal the original salary, or raise salaries to the new $22,100 annual threshold, making them ineligible."
We'll keep that productivity high no matter how many backs we break!
The best line in the story comes from Labor Department spokesman Ed Frank who says, "We're not saying anybody should do any of this."
So the likely explanation is the Labor Department had a hole on its Web site and didn't have anything else to use to fill it. How about a graphic of a blue-collar stiff bent over while getting Donkey Konged from behind?
Frank's quote is like the pro wrestler who chokes his opponent just before the disqualification count of five, breaks the hold, and then goes back to chocking the guy during the duration of the next five count.
It may only be Jan. 6, but that may stand the test of time for quote of the year.
Friday, January 02, 2004
What would a new year be without a great supply of optimism for job seekers? The typically stagnant fourth quarter for hiring is over; businesses can begin searching anew for people with their restocked budgets and pressing labor needs.
The first sign of optimism comes from the most recent weekly new unemployment claims report that shows the smallest number of first time filers during the entire Bush term.
"The Labor Department reported Wednesday that new applications filed for unemployment insurance dropped a seasonally adjusted 15,000 to 339,000 for the week ending Dec. 27. Last week's drop marked the third week in a row that claims went down and left claims at their lowest level since Jan. 20, 2001 - Bush's inauguration day."
The good news in this isn't so much that companies are hiring at a brisk pace, but companies are at least not pink-slipping its current labor pool. By retaining more, the churn of the haves and have-nots could start to fall back into the favor of the unemployed as companies begin to make steps towards hiring again.
With those thoughts in mind, economists are predicting a fall in the unemployment rate from its current 5.9 percent to 5.5 percent by November 2004.
"Hiring fueled by increasing corporate profits and economic growth could lead to as many as 1.5 million new jobs, the Wall Street Journal said. Though they did not predict a boom, the respondents said they expected the recovery to continue, with strong growth in the first part of the year expected to slow toward the year's end."
It's time to energize those batteries again.
Here's your strategy for the next few weeks.
You've got to double-up your efforts to find a job.
In addition to pouring over print and online want ads, you've got to go through your past contacts and contact them again.
Splurge the little money you may have left on having someone critique and improve your resume.
Get a haircut and get your interviewing suit dry cleaned and pressed.
Do your research.
Take the mental approach that any interview from now on is a final interview.
Be aggressive and confident.
If it says no calls please, call anyway!
Don't leave your hiring in the hands of the HR staff, get through to the decision-maker.
Follow up with the thank you notes and a phone call.
Yes, all stuff you've heard before, but also things people unintentionally quit doing when they've been unemployed for a long period of time. It's all in the details, the small details, which make a huge difference.
A reduction of .4 percent in the unemployment rate seems about right to me. It also leads me to predict that the job market is going to become more vicious than ever before.
Employers want lions, not lambs. Employers want difference-makers, someone who is going to make an immediate positive impact on the bottom line.
For 2004, you've got to be that person. Your mission is to get the person across the desk from you to believe it. The window of opportunity is now, but the window will not stay open for long.
Get ready, then go! GO! NOW!
The first sign of optimism comes from the most recent weekly new unemployment claims report that shows the smallest number of first time filers during the entire Bush term.
"The Labor Department reported Wednesday that new applications filed for unemployment insurance dropped a seasonally adjusted 15,000 to 339,000 for the week ending Dec. 27. Last week's drop marked the third week in a row that claims went down and left claims at their lowest level since Jan. 20, 2001 - Bush's inauguration day."
The good news in this isn't so much that companies are hiring at a brisk pace, but companies are at least not pink-slipping its current labor pool. By retaining more, the churn of the haves and have-nots could start to fall back into the favor of the unemployed as companies begin to make steps towards hiring again.
With those thoughts in mind, economists are predicting a fall in the unemployment rate from its current 5.9 percent to 5.5 percent by November 2004.
"Hiring fueled by increasing corporate profits and economic growth could lead to as many as 1.5 million new jobs, the Wall Street Journal said. Though they did not predict a boom, the respondents said they expected the recovery to continue, with strong growth in the first part of the year expected to slow toward the year's end."
It's time to energize those batteries again.
Here's your strategy for the next few weeks.
Yes, all stuff you've heard before, but also things people unintentionally quit doing when they've been unemployed for a long period of time. It's all in the details, the small details, which make a huge difference.
A reduction of .4 percent in the unemployment rate seems about right to me. It also leads me to predict that the job market is going to become more vicious than ever before.
Employers want lions, not lambs. Employers want difference-makers, someone who is going to make an immediate positive impact on the bottom line.
For 2004, you've got to be that person. Your mission is to get the person across the desk from you to believe it. The window of opportunity is now, but the window will not stay open for long.
Get ready, then go! GO! NOW!
