January, 2009 will go down on record as the third worst for job loss in American history reaching 598,000! Frighteningly, it is the third consecutive month where the U.S. has lost more than half a million jobs.
Unemployment now sits at 7.6% – the highest level since 1992.
For the full report read: US economy sheds 598,000 jobs in The Financial Times.
The total number of job losses since the recession began in December 2007 has now reached 3.6m, with half of this decline occurring during the last three months, according to the Bureau of Labor Statistics.
Meanwhile, the partisan bickering continues over the stimulus package.
Every Republican in the House voted against the stimulus package. Rush Limbaugh, John McCain and the rest of the Republicans (excluding Republican governors) have spoken out against the package.
President Obama took a hard stance Friday.
“These numbers demand action,” Obama said. “It is inexcusable and irresponsible for any of us to get bogged down in distraction, delay or politics as usual while millions of Americans are being put out of work. Now is the time for Congress to act.”
He warned that “if we drag our feet and fail to act, this crisis will turn into a catastrophe.” The American people “did not choose more of the same in November,” he said. “They did not send us to Washington get stuck in partisan posturing, to try to score political points. They did not send us here to turn back to the same tried and failed approaches that were rejected. . . . They sent us here to make change, with the expectation that we would act.”
From the Financial Times:
Few industries were spared from losses last month. The manufacturing sector lost 207,000 jobs, a 1.6 per cent drop and the biggest monthly decline since October 1982. Construction shed 111,000 jobs, the retail sector lost 45,000 and 42,000 jobs in financial services disappeared. The healthcare and private education sectors added jobs in the month.
A bright note was that hourly earnings rose 0.3 per cent in January and are up 3.9 per cent on the year. However, few economists expect this to last.
I strongly believe that infrastructure jobs are a necessity at this time. With the tanking of the housing market, construction companies and workers can work on projects related to road, bridges, rebuilding levies, etc.
One key way to bring jobs back to this country would be to offer tax breaks to businesses that return jobs to the states that had been outsourced overseas.
I see that as logical yet I don’t hear anyone suggesting it.
Friday (05-FEB-2009), saw an additional 3,700 jobs lost while Thursday lost 19,000.
CNN Money has a great webpage that lists all of the company’s that have had layoffs in 2009. It does appear to be updated daily.
FIRST-QUARTER LAYOFFS: Selection Of Job Cuts By Major Companies
Obama Raises Stakes for Senate’s Economic Stimulus Bill – Washington Post