Are you concerned about the current state of the job market in America? You’re not alone. The job market is cooling off, slowing to a pace we haven’t seen since late 2020 during the COVID lockdowns. While natural disasters have played a role in this slowdown, there are other factors at play that we need to consider.
When looking at the job market, it’s essential to pay attention to two key factors: public sector growth and manufacturing. Unemployment currently stands at 4.1%, but when we factor in discouraged and underemployed workers, that number jumps to 7.7%. This is a concerning trend, especially when we take into account the revisions made by the Bureau of Labor and Statistics for previous months. In August, job growth was revised down to 78,000, and in September, it was revised to 223,000, resulting in a total decline of 112,000 reported jobs in just two months.
The manufacturing sector has also taken a hit, with promises from the Biden-Harris Administration falling short. Despite their pledge to create one million new manufacturing jobs by 2024, the data shows a different story. Since March 2022, manufacturing jobs have actually decreased by 577,000. In October alone, the sector lost 49,000 jobs, largely due to the Boeing strike.
On the other hand, the federal government has been increasing its public sector by 40,000 jobs, relying on taxpayer funds and pensions. This increase in government positions only serves to subtract from GDP, adding to the country’s economic woes. With an average increase of 43,000 public sector positions per month over the past year, it’s clear that the government is headed in the wrong direction.
At Extreme Investor Network, we understand the importance of staying informed about the economy and how it affects the job market. Our team of experts analyzes the latest trends and provides unique insights to help you make informed investment decisions. Stay ahead of the curve and visit our website for more exclusive content on economics, investing, and more.