Tag Archives: Bureau of Labor Statistics

How the $15 wage is already killing jobs in Seattle

Unintended consequences.

Via NY Post: Spiking the minimum wage statewide may appeal to a Democrat eyeing a future run for national office. But it’s a bad idea for New York.
Don’t believe us? Look how it’s working out in real life at a town already en route to a $15 minimum — Seattle. An American Enterprise Institute report sums up the results. Spoiler alert: It’s not pretty.
Seattle passed its $15 law in June 2014. Starting last April, it raised the minimum from $9.32 (the state minimum wage) to $10 for certain business, $11 for others.
Increases to $12, $12.50 and $13 an hour began taking effect for most employers this Jan. 1. The jumps will continue until the minimum hits the full $15 an hour in 2017 for some before it’s universal in 2019. Yet even the early impact is harsh.
The AEI study, worked up from Bureau of Labor Statistics’ monthly surveys, shows that, between April and December last year, Seattle saw the biggest employment drop in any nine-month period since 2009 — a full year into the Great Recession.
The city unemployment rate rose a full percentage point.
Before the minimum-wage hikes begin, Seattle employment tracked the rest of the nation — slowly rising from the 2008-09 bottom. But it started to plunge last spring, as the new law began to kick in.
Furthermore, Seattle’s loss of 10,000 jobs in just the three months of September, October and November was a record for any three-month period dating back to 1990.
Meanwhile, employment outside the city limits — which had long tracked the rate in Seattle proper — was soaring by 57,000 and set a new record high that November.
Seattle is learning that it can’t unilaterally ignore basic economics. Businesses adapt to government dictates. To survive mandated pay hikes, they lay off employees, or avoid new new hires to control costs.
Read the whole story here.
h/t Hot Air.

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8+ million dropped out of U.S. labor force under Obama

Look around you.
4 of every 10 working-age adults you see on the streets don’t work.
That’s because more than 8 million Americans have dropped out of the U.S. labor force in just four years, during the POS’s first term as POTUS.
The result is that only 6.3 of every 10 adult working-age Americans now work, which means those who work have even a heavier tax burden.
Terence P. Jeffrey reports for CNSNews, Jan. 20, 2013, that the number of Americans age 16 or older who decided not to work or even to look for a job increased by 8,332,000 to a record 88,839,000 in Barack Obama’s first term, according to the Bureau of Labor Statistics.
To be in the labor force a person must either have a job or actively sought one in the previous four weeks.
When Obama was inaugurated in January 2009, there were 80,507,000 American civilians age 16 or older who did not have a job or seek one. In December 2012, there were 88,839,000—thus, the increase of 8,332,000.
The increase in drop-outs resulted in a decrease in the labor force participation rate from 65.7% in January 2009, the month Obama was first inaugurated, to 63.6% in December 2012, the latest month reported. Before Obama took office, the lowest the labor force participation rate (63.6%) was in 1981, the year President Ronald Reagan took over from Jimmy Carter — the worst president America’s ever had until Barack Obama.
In the comparable period of George W. Bush’s second term, the number of Americans choosing not to participate in the labor force went from 76,808,000 in January 2005 to 80,380,000 in December 2012—an increase of 3,572,000 in absolute numbers, but not as a percentage of the labor force. The rate of participation in the labor force was the same in January 2005 as it was in December 2008—65.8%.
More Hope and Change Despair and Ruin!
H/t California Political News & Views

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Surprise! U.S. unemployment back to 9%!

Last month, the establishment media had an orgasm over the official U.S. jobless rate having declined to 8.3%.
In my post of Feb. 11, I called it baloney and pointed out how deceptive that 8.3% number is, due to the Bureau of Labor Statistics’ (BLS) “seasonal adjustment” and the exclusion of the long-term unemployed from the official jobless number. (See also my post, “Attn sheeple: U.S. economy is NOT improving,” Feb. 16, 2012.)
The skepticism is on point. Wolf Richter writes on Feb. 18, 2012:

“Now we’re in February, and unemployment after a year of fairly consistent improvement, is suddenly showing a sharp deterioration.

On Friday, Gallup’s mid-month unemployment reading, which covers the preceding 30 days, jumped from 8.3% in mid-January, the low point since the financial crisis, to 9.0%. An astounding increase. And its Job Creation Index confirmed that trend, dropping from +16 in January to +13 in February.

Worse, 10% of the employees in mid-February were part timers in search of full-time jobs…. Underemployment—a combination of the unemployed and part-timers who are looking for a full-time job—jumped to 19% from the mid-January reading of 18.1%. While Gallup’s unemployment reading has improved steadily over the course of 2011, the underemployment reading has simply gotten worse.”

There is another indicator besides Gallup’s mid-month jobless figure. It’s the Federal Reserve Bank of Philadelphia’s (FRBP) employment index.
The FRBP index reflects hiring plans by employers. Alarmingly, the index collapsed from 11.6 last month (January) to 1.1 in February. This means businesses aren’t hiring.
Over the years, the FRBP employment index has shown a strong correlation with the BLS jobs report. An index of 1.1 in February means only 50,000 new jobs were created, a far cry from the 243,000 the BLS claimed had been created in January (that figure, too, is deceptive).
Gosh, I wonder why we don’t hear or read about this news?

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Steep rise in food and gas prices under Obama

We are told that the U.S. rate of inflation for the month of December 2011 was a low 2.96%, and that the average for the year of 2011 was 3.16%.
But if your wallet seems a little lighter after a trip to the grocery store or gas station, you’re not imagining things. It’s just that — Surprise! — our government does not include food and energy prices when calculating the rate of inflation.
The inflation rate is calculated based on the Consumer Price Index (CPI-U) compiled by the U.S. Bureau of Labor Statistics (BLS) and is based upon a 1982 Base of 100. A Consumer Price Index of 158 indicates 58% inflation since 1982, the commonly quoted inflation rate of 3% is actually the change in the Consumer Price Index from a year earlier.
To measure the cost of living for consumers and come up with the Consumer Price Index, the Bureau of Labor Statistics prices everything consumers spend money on — haircuts, plane tickets, medical care, clothes, etc.. Then all of the expenditures are categorized and weighted based on the amount that the average consumer spends on those categories. The percentage change from month to month is the rate of inflation, and it’s usually expressed as an annualized number.
But the BLS discards two categories — food and energy — when calculating the core inflation rate because, it is argued, the prices of food and energy are easily affected by the capricious nature of weather and political winds.
That, of course, makes the official inflation rate quite deceptive because the plain truth is that a big chunk of our pay checks actually goes toward food and gas. And, it turns out those prices have skyrocketed under Obama.

Christopher Goins reports for CNS News, January 20, 2012, that during the presidency of Barack Obama, the prices of the following have increased by double digits, according to BLS data:

  • The price for a gallon of regular unleaded gasoline in the city has jumped 83%, from $1.79 in January 2009 to $3.28 by December 2011.
  • The price of one pound of 100% ground beef has gone up 24%, from $2.36 in January 2009 to $2.92 by December 2011.
  • The price of one pound of sliced bacon has gone up 22%, from $3.73 in January 2009 was $3.73 to $4.55 in December 2011.
  • Ice cream prices, for a half-gallon, rose 19.1%, from $4.44 in January 2009 to $5.25 in December 2011.
  • Whole wheat bread prices increased 5.02% from $1.97 in January 2009 to $2.07 in December 2011.
  • The average retail price of a dozen Grade A eggs increased 1.30%, from $1.85 in January 2009 to $1.87 in December 2011.
  • Only the price of whole milk prices slightly declined by 0.28%, from $3.58 in January 2009 to $3.57 in December 2011.

Two groups of Americans are especially affected — the poor and the elderly.
Poor and low-income Americans are most affected by increases in food and gas prices. At the same time, older retired Americans who depend on income generated by interest on their savings have seen their income dwindle to near nothing because of the low interest rates offered by banks and the U.S. Treasury. Those rates, calibrated to what the government claims is the official inflation rate, are at a historic low, barely above 1-2%.
How are we liking the Hope and Change?

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This Is What a Double-Dip Recession Looks Like

Or is it the Second Great Depression?

Any doubters out there, still?
H/t UrbanSurvival.
See also:
New home sales on pace for worst year in history...
Obama sets record: $4,247,000,000,000 debt in just 945 days...
YORK: Spending, not entitlements, created huge deficit...
$500,000 federal stimulus grant created 1.72 jobs...


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Unemployment Stuck at 9.1%

Man worships Obama as the false idol leaves restaurant in Chicago, Oct. 31, 2010.

This morning, the Bureau of Labor Statistics jobs data came out.
There is no movement in the U.S. jobless rate. America is stuck at an official unemployment rate of 9.1%.
Among the major worker groups, the unemployment rates for adult men (9%), adult women (7.9%), teenagers (25%), whites (8.1%), Asians (7.7%), blacks (15.9%), and Hispanics (11.3%) showed little or no change in July.
The number of long-term unemployed (those jobless for 27 weeks and over), at 6.2 million, changed little over the month and accounted for 44.4% of the unemployed.
The absolute number of people working was down a further 38,000 for the month of July, making the civilian labor force participation rate a 63.9%. The employment-population ratio was little changed at 58.1%.
Obama 2012 campaign slogan:

Re-elect Barry! No Change and No Hope!


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No Job Growth in US Since 2001

Jas Jain, “the Prophet of Doom and Gloom,” points out something startling:

“There’s been no job growth in the US in 10-years!”

Using data from the U.S. Bureau of Labor Statistics, Jain derives the unadjusted employment data for the last decade:

Total employment in July of 2001 was 138.239 million which is actually higher than last month‘s 138.093 million!
Total jobs held is down 6.26% from the peak of the Housing Bubble Madness in 2007.
Jain’s conclusion is that America is in the Greater Depression — a deep trough of depression for the last decade:

“Major depressions in the US, as the country became more industrialized and  financialized, have been caused by bad financial practices that have ranged  from loose to widespread fraud, which is where we have been for the past 16  years. And there is No Change since Obama. Unless an overwhelming majority  of crooks are removed from power and shut in jails, the US economy would continue  to get worse, log-term, with few years of artificially inflated growth, at  a very high cost, followed by deep recessions. We have a system that rewards  bad people at the very top as well as a significant percent at the bottom.  That lessens incentives for honest work.”

H/t Urban Survival.

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