Catherwood LibraryILR School

The now 8.5% unemployment rate reported by the U.S. Labor Department last week fails to reflect individuals who have given up looking for work in the current environment, and those settling for part-time work. Taking such groups into consideration nearly doubles the current statistic with a measure of 15.6%. This number accounts for a shift in employment patterns, including lower labor market participation, and larger numbers of permanent job losses. Since the recession began in December of 2007, 5.1 million U.S. jobs have been lost, and unemployment is greater than 10% in 7 states. Meanwhile, 9 million Americans working part-time would rather be working full-time, but are willing to settle for any income they can get. Others have gone back to school ? dropping out of the labor force all together. Overall, the downturn is undoing years of gains, which could have negative implications for future economic growth.