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Unemployment Rate A Broken System

The numbers for unemployment came out today for September and it just so happened to decrease to 7.8%.  I’m not here today to call the calculations a little suspect due to the timing of Obama’s re-election and the next debate, however, you can find a lot of people online pointing fingers and calling it bull.

I just wanted to write this up to give you a better insight into these unemployment numbers and tell you why the system is broken.  First the system is used to give you encouragement.  It’s development in nature and technical aspects are pieced together to make America look really good.  Well lets just give the system the benefit of doubt and say these numbers provided (7.8%) of Americans are unemployed.  So if these numbers are right they are saying less than 1 in 10 are unemployed.  Seriously – u believe that?  That just sounds ridiculously low.  I am confident I could claim 20% (2 out of 10) in my group of friends for sure right now.  Think about 10 people you know and see if that makes sense to you.

Second and most importantly, the system doesn’t count “discouraged workers” which they say is 802,000 people.  “Discourage workers” are defined as people not currently looking for work because they believe no jobs are available for them.  First problem here is for a big system like ours in America there is no way to track who is “Discouraged” or not discouraged.  No one calls you after you’re fired or let go to know your personal situation.  They don’t know if you’re looking handing our resumes or not.  There is no way to track (unless they are getting unemployment checks – A LOT don’t bother with that hassle) who is sending resumes or who have given up 100%.  It’s all just based on make believe info when it comes to “discouraged workers”.  If I’m out of work how do they know that I’m trying hard to find a new job or not – They can’t and I shouldn’t be labeled a “discouraged worker” (not in the unemployment calculations) because I can’t find work.

The 7.8% does not include the “discouraged workers”.  So if I’m working at McDonald’s and I’m let go, don’t file for unemployment, I’m now discouraged.  Geez that is just about everyone who loses a job whether they are filed or let go. These people are not calculated into the 7.8% figure.  If they say we only have have 802,000 “discourage workers” who just gave up that they know of – then realistically there must be millions and millions.

To fix this the system needs to add everyone into one pool except underage, state disabled, never had a job, and retirees.  That, however, will never happen.  If it did Americas unemployment rate would be around 20% or more!

That my friends is why the unemployment rates are completely false, not accurate, and completely broken.

 

Having lived in the Pacific Northwest his entire life, Jeff understands and delivers a different perspective about politics. Even though many may disagree with his language and writing style, you can't debate his passion for the Seattle area and his committment to a better society.

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