While the unemployment rate is still near the lowest level in 50 years, another scale of workers’ luxury indicates that there may be greater cracks in the labor market.
The low unemployment rate, which was 4.2 % in April, indicated economists and investors alike that the US economy is still relatively healthy. The employers are also Continue employment Despite the opposite winds such as definitions and Consumer confidence drowned.
But another indication that parts of government data may be a very pink image of the economy, with a conversation a report From the Ludwig Institute for Joint Economic Prosperity (LISEP), the finding of the “real rate” of unemployment was 24.3 % in April, a slight increase of 24 % in March, while the official work statistics rate remained not changed at 4.2 % during the same period.
The Lisep scale does not only include unemployed workers, but also includes people looking for work but cannot find full -time work, as well as those who adhered to wage functions. By tracking unemployed workers functionally, this procedure seeks to obtain accurate work markets missed by other economic indicators, such as Americans who fall behind during periods of economic expansion.
“Unemployment data, as it has been presented, has some defects,” Jin Ludwig, Chairman of LISEP, told CBS Moneywatch. “For example, it considers that you are working if you have worked less than one hour during the two weeks. So you can be homeless and in the tents community and worked for one hour and was calculated, regardless of how bad the wage.”
LISEP says, on a working paper on the scale, that the procedure prevents part -time jobs or a bad -wing job from being calculated as equal to full -time work and better wages. Liep also argues that the unemployment rate “offers a very incomplete image, in many ways, a misleading image.”
In other words, people who lack constant work and do not earn living wages should not be considered as working. The real unemployment rate (TRU), which started tracking Measurement in 2020, Workers who do not allow their profits include their needs, and they are struggling just to get Lisep.
“If you are part -time and you can’t get a full -time job, we consider you unemployed functionally,” Ludwig pointed out. “We also consider the unemployed people functional and do not earn over the wage of poverty.”
“Survival mode”
Thus, it is considered workers who cannot place surfaces over their heads, and they cannot buy successful meals and have no ability to save as unemployed.
“You don’t have anything that makes you to the first stairs of the American dream ladder. You are in a survival position.”
Upon collapse by sweat and sex, Tru shows the workers of Spanish origin, black and women are worse than white workers, as well as men.
More than 28 % of Spanish workers, and about 27 % of black workers are unemployed, compared to 23 % of white workers. More female workers – 28.6 % – unemployed jobs from male workers, with a real unemployment rate 20 %, according to Lisep.
Millions of families are currently struggling to maintain the “minimum quality of life”, according to another Modern analysis From lisep.
Its research has found that the least Americans from all over the United States exceed what they need to maintain a decent living. These families received $ 38,000 a year in 2023, but they will need to get $ 67,000 to provide the elements of the group as part of their index, which also includes the cost of professional clothing and basic recreational activities.
The wide gap between the BLS unemployment scale and the real unemployment rate as well, according to Ludwig.
Ludwig said: “If I say that there is 4.2 % of unemployment, which makes political people happy because it is a low number, it causes all kinds of bad political decisions and is assumed that we are in a better position than we are.” “There is less energy and less than a batch to improve work, and people who are hurt by medium Americans and low Americans.”
