Chris Lau - Seeking Alpha

Sunday, May 10, 2009

Jobs and Half-Truths

April 2009 Job Report

Some points for consideration:

  • Job losses in February and March turned out to be deeper, according to revised figures
  • Employers cut 681,000 positions in February, 30,000 more than previously reported
  • 699,000 jobs cut in March, more than the 663,000 first reported
  • Unemployment rate climbed to 8.9 percent, the highest since late 1983,
  • Total unemployment: 6.35 million

Canada reported a net increase of 10,000 jobs. Amazing? Not really, unfortunately. Many of the unemployed workers decided to be their own boss and to work for themselves.


Headline numbers tell us that things are less bad, but let us look deeper. Let us look at U6. U6 includes part-time workers who want to be full time. That figure is 15.8%.

"The comprehensive unemployment rate which is referred to as U6 and 
includes part time workers that want full time jobs and discouraged
workers that have stopped looking but will take a job if offered, rose
to 15.8% from 15.6% and 9.2% in April 2008."

Source: The Big Picture by