The United States economy added 151,000 jobs in October, a welcome change after four months of job losses but still not enough to make a dent in unemployment.
Private companies have been slowly growing their payrolls throughout 2010, according to a Labor Department report released Friday. This private job growth had been overwhelmed by the elimination of temporary Census Bureau jobs and layoffs by state and local governments during the summer and early fall, until October.
Private companies added 159,000 jobs in October, while governments cut 8,000 jobs in the month. The month was much stronger than expected ”” most forecasts were for a gain of 60,000 jobs, 80,000 of which were from private employers. The reportalso sharply revised the numbers for August and September. The August data was revised to reflect a loss of 1,000 jobs instead of 57,000, and September was revised to 41,000 losses instead of 95,000.
Glad to hear of progress somewhere, indeed good news. Who is seeing where these jobs are? Would someone post where they are seeing new jobs? Maybe a thread where it can be posted?
It’s not the case here in Lakeland. In my opinion, the trickle-down effect of lost and less jobs is making a grim impact that’s showing across the board. We are not seeing a thriving economy here. Ministries to the homeless are struggling under the weight of more homeless and less donations because the money just isn’t there.
Two years ago FedEx bought a local trucking/shipping company and renamed it FedEx National LTL- (Less than truckload shipping). They are closing the facility. They aren’t getting the business they need to keep the doors open. The business that use LTL are smaller companies. The local paper, The Ledger, gives quotes from FedEx and local officals that sums up that our economy is still hard hit across the nation. The story is [urlhttp://www.theledger.com/article/20100916/news/100919859]here[/url].
We have several other companies who have closed the doors. We have seen a couple of new businesses open – a Chipotle Grill. Where it is positioned it should do well, because several other restaurants have closed – across from a Taco Bell. How will they fare?
I have several friends who have lost or are losing their jobs because of the closing of the shuttle program. That loss will greatly impact Brevard County, Florida. My brother is part of Defense Secretary Gate’s cost cutting in the military – a division that had no review or consultation before being cut. But looks great telling the nation we’ll save money.
The problems we face are more than a job here or there. I seriously question the reports. I question how my grocery bill has gone up, the cost of medical care is going up, the price of everything has gone up – except what is used for “economic indicators”. I seriously question what we are being told and how things are being “managed”.
So, please, if you are seeing new jobs in your community, will you post it here?
I forgot to say, the FedEx National LTL is being closed nationwide and merged with FedEx freight, etc. A loss of 1,700 jobs nationwide. My point was it wasn’t just Lakeland seeing this trend in LTL shipping.
Thanks for letting me rant.
I encounter about 20 companies in the southeast on a consulting basis. A few are in the pits and are still cutting back people and facilities. The majority are expanding with new products or opportunities but absolutely not putting on new people unless it is to replace a key open position. A few have added specialists to fill a quantifiable need for talent.
I have recently had long discussions with two headhunters. Neither of them is feeling good about 2011 because the uncertainty is keeping their clients on the sidelines. Once these guys close out their current search assignments, they looking at a slow start to their 2011 efforts.
The new Congress will hopefully have a postitive effect if they can quickly nail down what our tax environment is going to be for next year and can provide some assurance that the oppressive government juggernaut (Cap & Trade, etc) is going to be reigned in.
But to all of that, one has to think a moment about what the Fed may be doing to us. If they successfully devalue the currency, that might spur exports for awhile (until our trading partners do the same), but imported commodity prices (think oil) will have to soar to offset the declining value of the dollar.
Still seems like a crapshoot out here in the great unwashed regions of America.
That is good news, but it seems a little unclear where the numbers are coming from. From Zero Hedge, this info:
Breadford,
The new jobs being created are not enough to compensate for the new people (high school, college grads) entering the workforce. The US economy needs to grow a large number of jobs every month just to keep the workforce participation level constant.
Understanding that the plural of “anecdote” is not “data”:
Yesterday I was at the local Post Office, and witnessed two uniformed agents of the Federal Government bit…um, complaining about who had to take overtime hours. So I guess that things are OK at the PO, if there is more work than the unionized workforce wants to handle.
And, in further news about the sons of Samuel Gompers and John L. Lewis, the unions at a local manufacturing plant just voted against wage concessions that would have kept their jobs at their St. Louis area plant…so, over the next five years, nearly 1,000 jobs will migrate to Mississippi. (This was the second time that management had asked the union to vote on the issue…both votes resulted in the same outcome, although the second vote was a closer margin in favor of “pound sand.”) This morning, an announcer on one of the St. Louis radio stations read a nice letter from Governor Barbour welcoming them to Mississippi.
So, I guess if union members in Southern Illinois can afford to chase away the “high wage, union manufacturing jobs” that appear to be the Holy Grail of the labor market, things must be OK.
KevinBabb (#6), I’m curious about what constitutes a “high wage” in southern Illinois? The poverty line for a family of four is about $22K, and presumably someone earning a “high wage” would be making several times this amount. Let’s say four times for the sake of argument. This would mean the “high wage” workers are earning about $40 – $45 per hour. Is this the range the workers in question are at?
Hey, Lakeland two, you brought up Fedex cuts. There is an amazing video that talks about UPS vs Fedex. Because UPS is mostly land based versus airplane based, there are different labor laws making it easier to unionize UPS. As a result, UPS labor costs are more than double than Fedex. So what does the anti-business Obama administration do? Shoot down Fedex. See the video, which does a much better and more entertaining job than I do, [url=http://www.youtube.com/watch?v=XXQlM9DhQS8 ]here[/url]. It’s under two minutes.
Robroy (#8), drawing from the video you linked, would I be correct in assuming that your presuppositions include the belief that unions play no useful role and that earning a wage slightly over the poverty line (for a family of four) is something that all Americans should be satisfied with?
What kind of silly, loaded question is that? Yes, I am for “families of four earning slightly over the poverty line” and I also am for the Irish eating their babies!
But probably, the best answer is another (hilarious) video showing the economic havoc that unions have done to the city of Detroit, found [url=http://www.youtube.com/watch?v=1hhJ_49leBw ]here[/url].
The topic of this thread is unemployment and chronically high unemployment. If unemployment stays above 9% for two more months, it will officially the longest spell of chronically high unemployment since the Great Depression. That was when a charismatic Democrat played games with U.S. economy and had a rapid expansion of government workers. Also, what country is the poster child for chronically high unemployment, large percentage state workers, and heavily unionized workforce? (Hint: think musical movie starring John Travolta and Olivia Newton-John.)
So WarrenS, are you for chronically high unemployment?
I know first hand that my corporation has plans on the books to cut thousands (yes, thousands) in 2011.
Robroy, the video speaks about FedEx’s labor costs being less than $30k per person; so I think it’s a reasonable question. I’m just a bemused outsider, currently living and working in the US, who is wondering what happened to the American dream. Many Americans now seem to view it as noble to drive wages as low as possible. That it is somehow honorable to bring the standard of living of Americans to a third-world level rather than strive to bring the standard of living of those in the third world to a first-world level. That anyone who tries to defend a reasonable wage is evil and unpatriotic.
There’s another thing about the video I don’t get. It infers that USPS union workers are less productive and motivated than workers who are not unionized (presumably just because they support a union). If that is the case, FedEx should be able to pay their workers the same amount as the USPS and still easily compete on the basis of productivity and efficiency. A win-win situation for all – except those wanting to ship lots of things. Maybe a little more local shoppping would occur which would increase employment in another sector of the economy. But then I don’t really understand all the interrelated complexities and readily admit that my analysis may be far off the mark. As, I suspect, is much of the “analysis” and prescriptions for change I read in these blog comments.
No, I’m not for chronic high unemployment. I just don’t think that lots of employed Americans living in near poverty is a good thing.
WarrenS: The workers at the plant in question made between $20-25 an hour. The cost of living in Southern Illinois is among the lowest in the country (although, I suspect, still higher than that in Oxford, MS, where these workers’ jobs will soon be domiciled). A family of four can live comfortably in this part of the world on $40-50K a year, the annualized wage for the above rate. When you cite a figure of 4x the poverty rate as an “acceptable” middle-class household income, I have to wonder if you aren’t using the cost of living on the coasts, rather than here in “flyover territory”. In Southern Illinois, a family of four making $88,000 is living very well–not “rich”, but certainly upper middle class. The workers in question also have a very generous medical plan, and up to five weeks’ paid vacation (although the proposed package had the most senior workers forfeiting the fifth week).
KevinBabb (#13), thank you for the additional information. I don’t know how southern Illinois compares to Colorado (where I’m currently living), but a family of four certainly can’t live comfortably here on $40-50K per year (at least not by my definition of comfortable). It would be a matter of pay check to pay check with little set aside for a rainy day. I suspect the kids wouldn’t be doing a lot in terms of extra curricular activities either – and they likely wouldn’t get much help from mom/dad when it came time for them to go to college.
I know we probably won’t agree on this, but, as an observer of US society, I find it sad when people who want to try and protect $20-25/hr salaries are pillaried as greedy and unamerican.
WarrenS writes, “There’s another thing about the video I don’t get. It infers [it actually implies not infers] that USPS union workers are less productive and motivated than workers who are not unionized (presumably just because they support a union). If that is the case, FedEx should be able to pay their workers the same amount as the USPS and still easily compete on the basis of productivity and efficiency.”
The USPS doesn’t need to need to make a profit and it does not make a profit in a big and negative way…and we get stuck with its shortfalls:
[blockquote][url=http://www.cato.org/pub_display.php?pub_id=12200 ]Unfortunately, the U.S. Postal Service also is effectively bankrupt. The USPS expects to lose about $7 billion this year. The post office already has borrowed roughly $13 billion from Uncle Sam. At the end of 2009 USPS had $33.5 billion in outstanding liabilities and another $54.8 billion in unfunded retiree health and pension obligations.[/url][/blockquote]
Let’s pass a law to make FedEx run like USPS! Sheesh.
And I believe that many employees of both UPS and FedEx are seasonal, so the labor cost per employee is not equal to the average salary of a full time employee, which is $44,000.
Found this about UPS drivers:
[blockquote]Averages are so misleading. The average UPS driver’s pay at this time 08/01/2010 is about $75,000 cash, and benefits of about $30,000.
But drivers with enough seniority can get more overtime by “bumping” junior employees, and with 15 hours of OT can earn over $97,000. And with 20 hours OT can earn over $109,000 cash, over $30,000 in benefits.
So senior drivers can earn OVER $139,000 in cash and benefits. There are ways to earn a few thousand more by working vacations and overlapping vacations with paid holidays. [/blockquote]
Now there are a lot of UPS workers that are not drivers and aren’t pulling this kind of money.
Could the USPS be run more efficiently? Doubtlessly so. Do some unions act irresponsibly and make unreasonable demands? Yes. Do some unions strive to ensure basic worker rights and safety are protected? Yes. Is the answer to all ecomonic woes to keep forcing wages lower? Not in my books. Is FedEx obliged to provide a minimum level of service for all Americans in all parts of the country? I think not. It sounds like apples and oranges to me.
Robroy, I’m certainly not against improving productivity and efficiency. I see lots of opportunity for cuts and reductions every day in the large military HQ where I work that wouldn’t have any detrimental effect on operational effectiveness. Rather than focusing on dragging down the wages and benefits of supposedly overpaid workers (except maybe for professional athletes), I would rather focus on ways to improve wages for all workers. Do you not think that there is at least some element of envy at play when fingers are pointed at people and the suggestion made that they are overpaid?
USPS and FedEx are certainly not comparable – one is competitive and efficient and operates at a profit, the other is a money losing boondoggle.
“I see lots of opportunity for cuts and reductions every day in the large military HQ where I work that wouldn’t have any detrimental effect on operational effectiveness.” Exactly. Get government involved and one has unbelievably inefficient bureaucracy.
Trade-unions, socialism, liberals talk about bringing everyone’s wages up. But it always results in equally shared misery.
Sometimes true – sometimes not. But when your only tool is a hammer, the whole world is a nail. I’m sure FedEx would be happy to provide service to Podunk even if no profit was to be made. Not.
Robroy, my last comment was somewhat rude and I will clarify. There are certain areas where I believe the government plays an invaluable role and should have greater powers. I’m happy to pays taxes for the services provided. There are other areas where I would like to see the involvement of government reduced. There are industries where unions have run amuck and caused enormous problems. There are other industries where unions are desperately needed to counter the heartless exploitation of workers in the relentess drive to maximize profits.
I’m just glad my God reigns and I don’t have to leave home every day angry at the world. I’m a citizen of heaven and am just passing through this world. Empires will come and empires will go. I’m called to love my neighbour and give account for the hope that is within me – not preserve empires.
[i]There are certain areas where I believe the government plays an invaluable role and should have greater powers.[/i]
Well we certainly agree on that sentiment! And those areas are all spelled out in the Constitution of the United States. The Feds have power delegated them and the states have everything else. And before someone posts about all the power of Congress to enact laws, let me short-stop that one by saying, sure that’s true, but we have the Supreme Court which is supposed to drop kick all the laws that aren’t Constitutional.
The problems start when the Fed goes to power grabbing and taking on things it is neither chartered to do nor very good and efficient at doing.
Another note: living costs in Oxford, MS are not only sure to be lower than southern Illinois, but the weather has to be a lot better…..unless you are one of those cold weather types.
Capt. Deacon Warren, as I’m not a citizen of the US (I’m just a temporary resident), an appeal to the Constitution doesn’t greatly impress me. While I concede that the US Constitution may be man’s greatest attempt to date to lay down principles for a just society, it is still just a human creation and is not perfect (although some Americans treat it as inerrant and infallible as Scripture). Also, people with very different points of view all appeal to the Constitution; totally convinced that their view is perfectly aligned. Also, when the best legal minds in the nation render a Constitutional ruling, those who don’t agree with the decision rarely (if ever) admit that they were wrong and insist that the courts are corrupt, biased, etc.
So, most of what I read in the comments on this Blog regarding bringing government in line with the Constitution I view as just opinion; opinion that, if taken to its logical extreme, would result in a nation that I would never want to visit let alone be a citizen of. I know the Constitution is difficult to amend for good reason, but that difficulty is a two-edged sword. Sometimes very necessary changes to the Constitution are difficult to achieve because of the political games that are played by both sides. Again, appealing to a part of the Constitution that made a lot of sense 100 years ago, but has been overtaken by events, does not impress me. The US, with a population of 310 million and a military that is more powerful than the militaries of the next several most powerfal nations combined, is a quite different beast that the US of 1776.
I don’t agree with the “right” on many things, and I don’t agree with the “left” on many things. But I’ve discovered that I’m not allowed to hold a centrist position. Based on as little as a single view on one issue only, the right will write me off as a liberal or socialist, and the left will characterize me as an extreme conservative. I find it all quite ridiculuous and often wish I was living in Europe where I think I would feel more at home.
I doubt that Toyota or GM sells their vehicles in MS for much less than anywhere else in the country, and I’m sure the same applies for most consumer goods. Maybe houses are cheaper, but there is much more to living than buying a house.
I don’t mind the cold and am looking forward to returning to a much colder climate next year.
I’ve written far too much. Sorry.
[i]While I concede that the US Constitution may be man’s greatest attempt to date to lay down principles for a just society, it is still just a human creation [/i]
To try and perhaps expand your horizons a little, let me suggest that the Wall Street Journal is a human creation, as is the Financial Times.
On the other hand, many of us in the US believe that the Constitution, a work of human hands, is also one of the inspired works of God. Why might this be so? Because we believe the [i]concept[/i] of America is part of God’s providential plan for mankind.
Thus you see in this country, and in many of our countrymen, a passionate belief in basic rights endowed by God; freedom, liberty, and the pursuit of happiness. We believe these rights come to us from God, not from other men, from government, and not from Barack Obama.
I agree that a Toyota may not sell for less in Oxford, MS than in southern IL, but it is bound to last longer because it is not doused with salt six months out of the year [tongue in cheek]. But don’t forget, I bet fried alligator is much cheaper in Oxford, MS than southern Ill. And that alone is enough reason to head to Oxford.
Sorry, I’m not buying it. And you don’t want to get me started on what I think about manifest destiny; it’s a concept I see having more in common with Islam than with true Christianity (oops, I’ve already said too much).
I do appreciate, however, your even tempered and polite response. I should probably do more to follow your example.
In the US, our concept of manifest destiny sort of died in the late 1880’s after the western territory was geographically filled out to its current boundaries [except for Alaska and Hawaii]. Our belief that the US is a manifestation of God’s providential plan for mankind should not imply that we are better than anyone else, rather [i]with God’s help[/i] we have been blessed with a society/country that treasures the inalienable rights which are granted to all mankind by God. And our respect for those rights are enshrined in our Declaration of Independence from England and in our Constitution.
We believe that while we are not a perfect people or country, we believe that the good we have done for mankind, our country, and the world, far outweighs the regrettable mistakes we have made along the way.
And if we adhere to those things which have served to make our coutnry great, we believe our best days and our best contributions to mankind may be ahead of us.
We are both products of our culture and need to bear this in mind. Viewed through my filters, I can understand why many people in other countries would absolutely bristle at your assertion that:
Although I’m partially sympathetic to your view, I’m also very cynical about the motives behind many American adventures in recent decades. Just as many Americans say “give me freedom or give me death”, I can relate to citizens of other countries who might say “give me freedom from US intervention or give me death.”
I experience America as a land of extremes; both the best and the worst coexist. One of the things I admire most about the US is the range and diversity of opinions to be found. It saddens me when I see so many people hollering past each other, refusing to listen, and only wanting the other person to conform to their beliefs. The concept of gentle persuasion, especially in the political and religious realm, seems to be viewed with contempt by many). To use American vernacular, I think there are way too many armchair quarterbacks who, if given the opportunity to actually lead or implement their ideas, would fall on their faces before the opening kickoff.
Capt Deacon Warren, if I had children, this analyis would cause me to think long and hard about moving to MS – even if I had to take a signficant pay cut:
http://www.theatlantic.com/national/archive/2010/11/your-child-left-behind/66069/
From an education perspective, MS doesn’t score much higher than a lot of third world countries, so maybe third world wages do make sense.
And if all your research is done in broad strokes, then you will never ever achieve any depth of understanding about this country I fear. Because you see, unlike third world economic pits, we are Americans first but also inhabitants of local communities. You might dig down and investigate the educational achievements of the Pass Christian High School in particular and the Pass Christian School System in general.
And if you are concerned about our wages, don’t be. Our shipbuilders, port workers, Stennis Space Center workers, and our offshore development folks do really well. Again, broad strokes will lead you astray, but perhaps that is okay in whatever line of work you are in?
Broad strokes are used in about 98% of the comments that I read on this site, so I’m not sure what the problem is. Did I just use a broad stroke? Just reread the comments above (yours and mine included) through a narrow-strokes lens and make up your own mind. Reluctance to admit there is a problem – regardless of what that problem may be – makes finding a solution very difficult.