Net total jobs added in August: Zero
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Last Updated 8:50 a.m. ET
WASHINGTON - Employers added no net workers last month and the unemployment rate was unchanged, a sign that many were nervous the U.S. economy is at risk of slipping into another recession.
The Labor Department said total payrolls were unchanged in August, the weakest report in almost a year.
It's the first time since February 1945 that the government has reported a net job change of zero. The unemployment rate stayed at 9.1 percent, the Bureau of Labor Statistics announced.
CBS News White House correspondent Mark Knoller reports that nonfarm payroll employment was unchanged in August, and employment in most major industries changed little. Health care continued to add jobs, while government employment continued to trend down.
Weak growth, a downgrade of long-term U.S. debt in early August and a sell-off on Wall Street likely kept some businesses from hiring.
Manufacturers cut 3,000 jobs, its first decline since October 2010. Construction companies, retailers, and transportation firms also cut workers.
A strike by 45,000 Verizon workers lowered the job totals. Those workers are back on the job.
In all the private sector added 17,000 jobs - the fewest since February 2010. That compares with 156,000 in July and 75,000 in June.
The number of long-term unemployed (out of work for 27 weeks or longer) was unchanged in August, at 6.0 million, and accounted for 42.9% of the unemployed.
Job gains in June and July were revised lower, to show 57,000 fewer jobs added. The downward revisions were all in government jobs.
The average work week also declined and hourly earnings fell by 3 cents to $23.09.
The report may dampen expectations for the economy to pick up in the second half of the year. With hiring stagnant and wages declining, consumers won't see much gain in incomes. That will limit their ability to spend, which undercuts economic growth. Consumer spending accounts for about 70 percent of the economy.
The economy expanded at an annual pace of only 0.7 percent in the first six months of the year. That was the slowest six months of growth since the recession officially ended in June 2009.
Most economists forecast that growth may improve to about a 2 percent annual rate in the July-September quarter. But that's not fast enough to generate many jobs.
The economy's weakness was underscored Thursday by the Obama administration, which estimated that unemployment will average about 9 percent next year, when President Barack Obama will run for re-election. The rate was 7.8 percent when Mr. Obama took office.
The White House Office of Management and Budget projects overall growth of only 1.7 percent this year.
Next week, President Obama will deliver a rare address to a joint session of Congress to introduce a plan for creating jobs and boosting economic growth
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In California, we are about to pass legislation that requires anyone who hires a baby sitter to provide the sitter with 10 minute breaks every 2 hours... like a union freakin' job. You will have to hire two sitters so they can give each other breaks.
I'm not making this up. Our gay assemblyman, Tom Ammiano, feels the need to legislate how we hire freakin' babysitters.
The free market can't handle this? huh Tom? ...you micro-legislating, nanny state craving, liberal doosh bag. I hate you and your ilk. Not 'cause your gay tho, but because you are a microcosm of what is wrong with America!!!!!
This is why we suck now.
God bless the Tea Party for trying to bring back some self reliance and fiscal sense.
http://www.thenewamerican.com/culture/family/8822-calif-nanny-state-may-legislate-babysitter-pay
We are such a soft nation now. We are craving Utopia. We are craving cradle to grave gov't management of our lives. We deserve what we get....
Don't blame Obama for the unemployment. As Matt Yglesias on ThinkProgress pointed out, we are witnessing unemployment because the Republicans are getting what they wanted: tax cuts for the rich and massive layoffs of school teachers, librarians and fire-fighters - not to mention a lot of employees in FEMA.
The Republican game plan is simple. Demonize school teachers. Fire public employees. Then when they join the ranks of the unemployed, blame the unemployment rates on Obama.
Incidentally, when the GOP takes power, they will eliminate all minimum wages laws, unemployment insurance, and OSHA. Americans will be fight each other for jobs with third world wages, no health insurance or fringe benefits, or even minimal safety standards. The rich will get richer, the middle class disappear.
That's your future, when the GOP wins. Enjoy.
*Source.ThinkProgress, September 2. I also quoted Matt Yglesias' analysis on the same website.
He's King Midas with a curse
He's King Midas in reverse
Now, lets offer some incentives to being jobs back to America. Here are four ideas for doing that.
1) Only allow tax cuts to corporations where a majority of their employees are located in America.
2) Do not allow corporations to reduce their gross income by their business expenses unless a majority of their workers are located in America.
3) Prohibit Corporations who relocate overseas from selling their products in the United States or be charged steep tariffs or penalties.
Each of these solutions would provide huge incentives to employ American workers. Jobs would soon return to America. It then becomes the obligation of the American people to get the skills and education needed to fill those jobs.
Apple and General Electric outsource much of their manufacturing to foreign countries. A few reasons for outsorcing jobs include lower labor costs, lower taxes, amd less stringent enrironmental restrictions. That is quite an incentive to send jobs overseas. The reality is that the United States is still a huge and important market to these companies.
Now, lets offer some incentives to bring jobs back to America. Here are four ideas for doing that.
1) Only allow tax cuts to corporations where a majority of their employees are located in America.
2) Do not allow corporations to reduce their gross income by their business expenses unless a majority of their workers are located in America.
3) Prohibit Corporations who relocate overseas from selling their products in the United States or be charged steep tariffs or penalties.
Each of these solutions would provide huge incentives to employ American workers. Jobs would soon return to America. It then becomes the obligation of the American people to get the skills and education needed to fill those jobs.
**********************************************
How many?
They have only shot themselves in the foot on this one. No jobs = no money = no sales.
So who are they going to sell their product to now???
Capitalism, Gotta love it!
-R. Limbaugh
That reminds me. Happy labor day, union thugs! Instead of joining their parade this weekend, look at some speciailized sites like vdare.com or fairus.org to learn more and tell your friends and family.