The Labor Department reported on Friday that the U.S. added 103,000 jobs in the month of September. Expectations for September job growth were set at a low 60,000 so the actual figures are a bit of an improvement. But even with a greater outcome than expected, some say that this small increase is not nearly enough.
While the U.S. may have added more jobs in September than in August, the national unemployment rate is still at 9.1 percent. Also, when you take a closer look at the statistics, it is difficult to feel like the job market is actually picking up. CBS points out that half of the added jobs from September, roughly 45,000, accounts only for the rehiring of Verizon Wireless workers that were previously on strike and not the actual creation of new jobs. Furthermore, most new employees are currently working in part-time positions when they really want to be working full-time. When you add these unsatisfied part-time workers to the unemployed, the unemployment rate rises to a steep 16.5 percent from 16.2 percent. CBS reports that if the country wants to bring down the unemployment rate, there would have to be a lot more than 125,000 jobs added to the job market.
The slight increase of jobs to the market did however give way to a small increase in the stock market Friday giving many economists hope that a second recession will be avoided. But there is still a lot of work that needs to be done. In a Bloomberg article, Pimco’s chief executive officer El-Erian said, “We have lots of small- and medium-sized businesses that can’t get credit today because the banks aren’t lending,” El- Erian said. “We are like deer stuck in headlights thinking that there’s some magical solution. There isn’t. This is hard work across a whole range of issues.” As election year inches closer and closer, people are beginning to ask themselves who can be trusted to put in the hard work that is needed? Statistics from a Bloomberg poll show that U.S. investors have put more faith in Mitt Romney than the current president. According to the poll, 69 percent favor him over a 16 percent who favor Obama.
Even though these statistics show a lack of faith in Obama, he is still working hard to secure his Jobs act. “There are too many people hurting in this country for us to do nothing,” said Obama. “And the economy is just too fragile for us to let politics get in the way of action.” Skeptics still think that Obama’s Jobs act isn’t enough to save the economy. “Across the country, millions of people remain out of work and uncertainty from Washington continues to freeze capital and prevent businesses small and large from hiring,” said Representative Eric Cantor of Virginia, the House majority leader in The New York Times. “Unfortunately, the policies being promoted by this administration are serving as a roadblock to growth. Constant threats of tax increases and excessive regulations send the wrong signal to our entrepreneurs, investors and small business people.”
SOURCE: CBS News