WASHINGTON, Nov. 12, 2009
Gov't: Jobless Claims Fall to 502K, a Low
Obama Calls "A Hopeful Sign" New Seasonally Adjusted Number Showing Job Market's Slow Healing
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(AP / CBS)
New claims for unemployment insurance fell more than expected last week, evidence the job market is slowly healing as the economy recovers.
Still, many analysts worry the nation could be in for a "jobless recovery" as the unemployment rate rises despite some overall economic growth.
The Labor Department said Thursday that first-time claims for jobless benefits dropped to a seasonally adjusted 502,000 from an upwardly revised 514,000 the previous week. That's the fewest claims since the week ending Jan. 3, and below economists' estimates.
President Obama spoke with reporters Thursday about the Labor Department's report, saying that "the economy's now growing again for the first time in more than a year, and faster at any time in the past two years."
"Even though we've slowed the loss of jobs - and today's report on the continued decline in unemployment claims is a hopeful sign - the economic growth that we've seen has not yet led to the job growth that we desperately need," Mr. Obama said.
The president said that "hiring often takes time to catch up to economic growth" and noted that businesses of all sizes are demanding more from their workers.
"These companies have not yet been willing to take the steps necessary to hire again," Mr. Obama said. "Meanwhile, millions of Americans, our friends, our neighbors, our family members, are desperately searching for jobs. This is one of the great challenges that remains in our economy, a challenge that my administration is absolutely determined to meet."
The president announced that the White House will host a forum on jobs and economic growth in December.
The four-week average, which smooths fluctuations, dropped to 519,750, the lowest in almost a year. It has fallen by more than 20 percent since its peak in the spring.
Economists closely watch initial claims as a gauge of the pace of layoffs. But claims also can provide a signal about the willingness of companies to hire, because laid-off workers able to find jobs are less likely to request benefits.
Many analysts estimate that claims must fall to roughly 450,000 to signal that the economy is adding jobs.
The number of people continuing to claim benefits dropped by 139,000 to 5.6 million, also below analysts' estimates. The figures on continuing claims lag initial claims by a week.
(AP/Department of Labor)
But millions of unemployed Americans have used up the regular 26 weeks of benefits typically provided by states and are receiving extended benefits for up to 73 additional weeks, paid for by the federal government. Congress added 14 to 20 weeks to the extended program last week, the fourth extension since the recession began and the longest total extension on record.
About 4.1 million people were receiving extended benefits in the week ended Oct. 24, little changed from the previous week.
The unemployment rate jumped to 10.2 percent in October, the Labor Department said last week, as employers cut a net total of 190,000 jobs. That's the highest jobless rate in 26 years.
But the economy grew at a 3.5 percent annual rate in the July-September quarter after a record four straight quarterly drops. The disparity between the unemployment rate and economic growth figure has raised fears among many economists that the nation's economy could be in for a "jobless recovery."
More job cuts were announced this week. Adobe Systems Inc., the maker of Photoshop, Flash and Acrobat software products, said it will cut about 680 jobs, or 9 percent of its employees. And internet company AOL LLC, which will soon be spun off from parent Time Warner Inc., laid off about 100 full-time employees, reducing its work force to 6,900.
Among the states, Wisconsin had the highest number of claims, with 1,501, which it attributed to more layoffs in the construction, public administration and manufacturing industries. Illinois, Michigan, Puerto Rico and Texas had the next largest increases. The state data lag initial claims by one week.
California had the biggest drop in claims, with 6,752, which it attributed to fewer layoffs in the construction and service industries. Florida, Georgia, New York and North Carolina had the next largest decreases.
© MMIX, CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.
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- Don't sugar coat the news. Another half million out of work. The economy is still broke bro.
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- last month it was more than expected this month less than expected. 2 months ago more than expected. What the hell? Are you kidding me? A half million more people out of work evey month and this is a good thing? This is pathetic..
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- You no what really gets me is they just had a headline saying unemployment had soared to over 10%; NOW they say its down!
Make up your mind CBS???
Or maybe nobody knows whats going on in this screwed up society! - Reply to this comment
- About this story - BALONEY.
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- what ? thousands just run out the Unemploy benefit???
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- by 2012EOD November 12, 2009 10:31 AM EST
It's been a year now, how long can you keep blaming Bush?
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If Reagan was any indication...THROUGHOUT HIS WHOLE TERM IN OFFICE!!! - Reply to this comment
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- GDP is now increasing at a healthy 3.5%. The market is up 40%. The job market is improving, though as expected lagging the overall recovery.
The question is, when are you going to start CREDITING Obama!
- brain,
10.2% unemployment and rising
1.4 trillion dollar deficits, 1 trillion for the next ten years (CBO estimate)
Don't worry, the American people are starting to credit Obama more and more every day.
3.5% was created by cash for clunkers and free givaways, it can't last forever. You can only print so much money.
I tell you what, let's have a summit, because I really don't know what to do???? LOL, but it's really not funny at all.
- Blaming Bush his administration blamed Clinton and of course the Republicans are still blaming Clinton (what nonsense), but with the mess that the Republicans made it will take years to clean it up. Your nonsense about the 1 trillion dollar debt makes us all laught because Clinton had to clean up the mess left him and had to spend of course he managed to pay down the debt and that left all the rest for the GOP. Now as Obama has had to spend to get the economy rolling that to the mess of the Bushbot it will go down but I want to increase the tax rate back to what Bill Clinton had those were the best years in Ameircan history go check it out at the gov web site if you don't believe it.
- GDP is now increasing at a healthy 3.5%. The market is up 40%. The job market is improving, though as expected lagging the overall recovery.
- Meaningless statistic, since most people out of work are not collecting unemployment and do not report that they are out of work. Part time jobs are not full time jobs.
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- just means some people exhausted their benifits and fell off the rolls.
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- MORE LIES...The Census Bureau is SHORING UP numbers with temporary jobs in every region and opening up "fluff" offices in smaller cities within those regions for first time ever in dicennial census...those jobs are filled by ACORN types in many of these cities....THESE ARE THE SIGNS OF WHAT? TEMPORARY jobs and LOTS OF HANDS IN THE PIE of the Counting of Americans...NO, the jobs needed by the head of households (permanent with benefits to feed families) are MORE SCARCE than ever before and with the massive nutty healthcare reform on the horizon...more small companies have put on HIRING FREEZES AND FROZEN WAGE INCREASES OR BONUSES...Why, we heard that even the hotels in Hawaii aren't giving out their usual T-giving and holiday turkeys to employees...that is HEALING? What healing?
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- by revlin1 November 12, 2009 12:09 PM EST
MORE LIES...The Census Bureau is SHORING UP numbers with temporary jobs in every region and opening up
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by stillunbanable November 12, 2009 12:49 PM EST
Right! How do you say the economy is recovering when every month a half million more people are losing their jobs?
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I have a question for both of you, what ushered in the 1960 single wage earner? Answer: 30 years of the New Deal. Why did that wage earner disappear? Answer: 30 years of Financial Sector deregulation and "Free Trade" that amounted to free license for Corporations to move industry to nations with zero product safety and labor laws.
So, in short, we have allowed the GOP of the late 1800's to return with their ideology of unregulated capitalism fuel by naked over a barrel cheap labor.
- by revlin1 November 12, 2009 12:09 PM EST
- Finally we are turnng the tide of despair left from the 8 year Bush / GOP debacle. Maybe by the time we re-elect President Obama, we will have erased all of the tragic evidence of the worst administration in history so we can recapture and build on the many successes of the Clinton administration.
Like a balanced budget and the 700 Billion surplus that Bush squandered before 9/11 even happened.
YES WE CAN! - Reply to this comment
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- You forgot about the 8 year gutting of the military under Clinton that we are still trying to rebuild with the peace dividend he squandered. By the way Clinton also increased the National debt by 20%, but dont take my word for it go to the official treasury page and use their numbers.
- "A Hopeful Sign"..... Means you can add another 1/4 percent to the 10.2 from October.
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- This is awesome, only 500,000 more jobless.... Let's see in the 3 years that we have left with this idiot that equals another 18 million...Oh that minus the 6500,000 that the white house says it has created....Another Lie.
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- Maybe taxcuts are the answer....Oh wait.
By WSJ Staff
President George W. Bush entered office in 2001 just as a recession was starting, and is preparing to leave in the middle of a long one. That?s almost 22 months of recession during his 96 months in office.
His job-creation record won?t look much better. The Bush administration created about three million jobs (net) over its eight years, a fraction of the 23 million jobs created under President Bill Clinton?s administration and only slightly better than President George H.W. Bush did in his four years in office.
Here?s a look at job creation under each president since the Labor Department started keeping payroll records in 1939. The counts are based on total payrolls between the start of the month the president took office (using the final payroll count for the end of the prior December) and his final December in office.
Because the size of the economy and labor force varies, we also calculate in percentage terms how much the total payroll count expanded under each president. The current President Bush, once taking account how long he?s been in office, shows the worst track record for job creation since the government began keeping records.
- Maybe taxcuts are the answer....Oh wait.
- People wanted change?........HERE IS OUR CHANCE!!!! TERM LIMIT BILL!!!
Citizen Legislature Act
Summary:
This resolution provides for consideration of two joint
resolutions which propose amendments to the constitution limiting
the number of terms members of the Senate and the House of
Representatives can serve. The first joint resolution
(identical to H.J.Res. 38 as introduced in the 103rd Congress)
limits the number of Senate terms to two and the number of House
terms to six. The second joint resolution (identical to H.J.Res.
160 as introduced in the 103rd Congress) also limits Senators to
two terms, but it limits members of the House to three terms.
Under the terms of this resolution, the joint resolution with the
text of H.J.Res. 38 will be debated first and the first amendment
in order will be a substitute consisting of H.J.Res. 160.
Background:
The idea of limiting the tenure of elected officials has recurred
through our history, but it has become more popular in the last
few years. In 1992, 14 states passed initiatives limiting the
tenure of federal legislators. Two of these laws, however, have
been challenged and found unconstitutional in court. The U.S.
Supreme Court will review the ruling by the Arkansas Supreme
Court. Since there is a chance the high court will uphold the
state court's ruling, a constitutional amendment may be necessary
to limit congressional tenure. - Reply to this comment
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- by melchg07 November 12, 2009 10:31 AM EST
People wanted change?........HERE IS OUR CHANCE!!!! TERM LIMIT BILL!!!
Citizen Legislature Act
Summary:
This resolution provides for consideration of two joint
resolutions which propose amendments to the constitution limiting
the number of terms members of the Senate and the House of
Representatives can serve. The first joint resolution
(identical to H.J.Res. 38 as introduced in the 103rd Congress)
=====================================================================
Pffft, 103rd Congress. Seven Congresses later...
(Good luck with that.)
- by melchg07 November 12, 2009 10:31 AM EST
- Apparently we're all a bunch of morons.
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- skyk-2009 good post its to bad many of the corperate business people didn't follow this under the last administration. the posting buy erich 1 is a good example. here again it was managers decisions to continue dow a path of failure. now he'll join the unemployed. i wonder what kind of golden parachute his ceo will get.
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- by 2012EOD November 12, 2009 10:31 AM EST
It's been a year now, how long can you keep blaming Bush?
Until we have cleaned up the entire tragic 8 years of Busheny idiocy, and return to the balanced budget and 700 Billion surplus that President Clinton left for Bush, who squandered it even before 9/11.
Bush added almost as much to the national debt as the 42 presidents before him combined while he deregulated the financial system so they could suck us all dry and begin to collapse inward on themselves. Then he provided the first, "no strings attached" multi-hundred-billion dollar bailout that essentially disappeared into the coffers of his buddies.
Bush and the GOP screwed America so badly that it will take even this great adminstration a few years to undo all of the damage.
Hope all you that voted for Bush and Cheney are really proud of yourselves! All 200 of you AND your cheating Diebold machines that invented the rest of the votes!
YES WE CAN!
- bobby,
Want the truth about what caused the crash, follow the links below, beware you might actually learn something. This is video from C-Span and who tried to stop it and who allowed it to happen.
(copy paste into address bar)
http://www.youtube.com/watch?v=_MGT_cSi7Rs
http://www.youtube.com/watch?v=cVi_Jjxli1o
http://www.youtube.com/watch?v=cMnSp4qEXNM
For your edification, all bills start in the House of Representatives, who controlled the house during the Clinton Administration? It was the Contract with American that balanced the budget, not Clinton.
I will agree that Bush added to the national debt as much as the 42 presidents before him that is why his approval numbers were so low when he left office. Two wrongs do not make it right, Obama is doing the same thing, but on a much larger scale.
America cannot undo all the damage by using the same tactics, creating more debt.
Want reality, look at the unemployment numbers for 2001,02,03,04,05,06 (Republican control) then go look at the unemployment numbers for 2006,07,08,09 (Democrat control) and if you have any intellectual honesty you will see a trend and it not looking good for the Democrats.
Hope is an excuse for doing nothing.
The American people are starting to wake up and realize that what is going on is not good. Wake up before it?s to late.
- by 2012EOD November 12, 2009 10:31 AM EST
- Happy Days, only 500,000 more job losses, way to spin it CBS.
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- 2012EOD, Oh come on!! It takes TIME to recover from what we endured with the Worst in Our History, the Confederate Party and the MASSIVE incompetence of BOTH that gave us the mess to begin with. If we stick to getting back to a Demand Side Economy and look at new ideas for future jobs, we'll be fine.
- by PaGuy1960 November 12, 2009 10:37 AM EST
thats' exactly what Obama is doing, printing money.
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Yea, he just just borrow more from China, huh?
- My company is stuck in a bunch of leases, has too much debt, and will end shortly. Too much spending has taken place over the years. We have too much inventory left of the wrong product.
I will join the ranks of the unemployed shortly receiving up to 72 weeks of insurance.
Soon, I will get Pelosicare Health Insurance.
The question I have...How is my company any different than the government of The United States? Is there that many rich in the United States that can keep paying for the poor?
Does the endless money the government get ever end, or do they just forever print more? - Reply to this comment
Mike Huckabee on GOP "rock stars," 2012, health care reform and more.
