Fellow Americans, welcome to the post credit crisis economy. In a new report on July 11, new data is showing that part time jobs are replacing full time jobs at a rate of 10 to 1. That is 10 part time job hirings for every full time position.
Recovery? The drugs must be cheap for financial analysts who appear to smoke the crack each time they come before the television screen to lie about job growth and creation.
The more we sift through it, the more we didn't like it. Even with the bump in June hours worked and average weekly earnings, the reality is that the Q2 results for both slowed markedly. The economy has hit stall speed yet again — the third time in the past three years.
On top of that, some other details in the data were disturbing. The ranks of the unemployed rose 29k on top of a 220k surge in May. Those who were unemployed and just completed temporary work soared 218k after a 137k increase in May to stand at the highest level since November 2010 (right when QE2 began!). The total pool of available labour jumped 258k to 19.3 million which means that there is now but one job opening for every six people out there who are either actively or passively looking for work. No wonder wage pressures are fading fast.