Is US government sector finally stablizing?
One of the major trends in the US — and in New York state — that has pushed up unemployment during the recession is the much higher level of government lay-offs.
That trend was visible in force through 2011, with government agencies at the local, state and Federal level squeezing out 280,000 jobs.
But according to the latest jobs report, there were more modest government job cuts nationalwide in December 2011 — a drop of only about 12,000 additional positions. A sign of new stability?
If so, it will be easier for even modest private sector growth to make a dent in the unemployment rate, which now stands at 8.5%, before the 2012 elections.
But there are some big questions out there: If the US postal service moves forward with deep cuts, that could put a lot of people on the streets in the coming year.
The Pentagon is also looking at reducing the number of active duty soldiers by roughly 80,000 service members, though the cuts will be phased in over several years.
Stability at the state and local level, meanwhile, will be highly localized, as some regions of the country bounce back from the recession, while others remain mired in the housing crisis.
It appears all but impossible that Washington will come forward with another support program for state and local agencies, as well as schools.
That means the recovery will continue to have a lot of rough edges…
“If so, it will be easier for even modest private sector growth to make a dent in the unemployment rate, which now stands at 8.5%, before the 2012 elections.”
I hope so, but after they fire all the temporary workers they hired for the holidays things will probably go the other way.
“If the US postal service moves forward with deep cuts, that could put a lot of people on the streets in the coming year.”
If most any GOP candidate gets the White House, a lot more government employees may have to seek out private sector work. That will be a good thing, all around.
The recovery will continue to be slow and rough because the loss of jobs was something waiting to happen.
Automation and computerization reached a critical mass, resulting in both the government and the private sector realizing they needed fewer workers to do what needed to be done. It will take awhile for the adjustment to take place and some jobs will never come back.
New jobs will be created but most if not all will require more education for all.
You can just about write off anyone who doesn’t have a high school education. A two year college degree is now the equivalent of a high school education.
Automation and computerization result in higher paying jobs.
The automation means that things that a machine can do are done by a machine.
The things that a machine cannot do, like more advanced things, a well-educated work force can do.
Obama’s argument is to have people do what a machine can do. What kind of advancement is that?
JDM, would you care to provide a reliable source for your claim that “Obama’s argument is to have people do what a machine can do”?
Walker: Here’s what Obama said, “You see it when you go to a bank and you use an ATM; you don’t go to a bank teller. Or you go to the airport, and you’re using a kiosk instead of checking in at the gate. ”
Now, unless Obama thinks ATM machines fall from heaven, it would seem that the team of engineers / machinists / software programmers / installation technicians / bank manager trainers / electricians / etc would more than offset the bank tellers that the ATM displaces.
And last I heard, bank tellers are near the bottom of the pay scale. The newly created positions that I listed make more money.
JDM – that quote doesn’t support your claim. Its a simple statement of fact. Maybe you left something out – like Obama saying that he wants people to go back to using tellers instead of ATMs. Otherwise – find a better quote.