While it appears that the rate of job loss has slowed in the US, it still managed to creep up to 9.7% in August. However, others argue that the actual unemployment rate is closer to 17% when one takes into account people who have been reduced to part-time hours, stopped looking for work, and the like.  

As might be expected, unemployment also takes an emotional toll. According to research carried out at Rutgers University, over half the people currently looking for work are jobless for the first time in over 5 years. Not surprisingly, many of the unemployed describe stress, sadness, and strains in family relationships.

Another trend related to the economic slowdown is that older workers are understandably less inclined to retire due to losses in their retirement accounts. Economists point out that this has a de-stabilizing effect on the economy in that in good times, people are much more inclined to take an early retirement (when there is the need for additional workers) but more likely to hold onto their jobs when times are tough (like now when there are more than enough workers available).

On the other hand, there is a fairly broad consensus that unemployment is starting to bottom out. While there are somewhat different economic factors in play, Canada actually added jobs to its economy in August. Additionally, it appears the US federal government still needs to hire more than 270,000 workers over the next few years in “mission critical” posts in health care, homeland security, and law enforcement, according to the Partnership for Public Service.

Reid Klion