Jobless Rate Continues To Inch Up
DETROIT (WWJ) - The country’s jobless rate inched up this past week. WWJ and Fox 2 Business Editor Murray Feldman explains what may be going on in the employment sector.
Feldman points out that construction jobs are down, which creates a rippling effect. For every home that is built, seven other job categories are going to be effected. And homes will not be built when there are more foreclosures all the time. The cost of raw material prices have increased and that exacerbates the problem.
A lot of people have stopped paying their mortgage and will be out of those properties as the banks and courts catch up with the paper work.
Furthering the issue is that cities and towns across American are struggling with their budgets because of that they are laying off people.
Over the past month 39,000 people lost their jobs in government, that is expected to continue and perhaps even grow. A lot of people who have been slated for cuts have not yet applied for jobless benefits yet… having just received their layoff notices.