Two states now report unemployment rates over 10%

State unemployment rates have come out this week, and the news is...grim, to say the least. Two states now show unemployment rates of over 10%.

Michigan unemployment hits 10.6%

Michigan has entered the era of double-digit unemployment. The state's seasonally adjusted jobless rate in December bolted by a full percentage point to 10.6 percent, according to data released this afternoon by the Michigan Department of Energy, Labor & Economic Growth.

Rhode Island unemployment rate hits 10%

Joblessness in Rhode Island reached the double digits in December with 10 percent of workers unemployed, the worst such rate in three decades and nearly doubling over last year, according to state figures released Friday.

The news is just as bad in other states.
North Carolina is at 8.7%
California reached an amazing 9.3%
Georgia and Florida hit 8.1%
Oregon is checking in at 9% with Washington at 7.1%
New York jumped a full percentage point to 7%, while New York City itself reached 7.4%. New York, like many other states, has run out of state funds for unemployment and has been taking Federal loans to keep the checks going.


These percentages only include a portion of the workforce. Those whose hours have been reduced are still considered employed. Those who are only able to find a part time job are still considered employed. Those who are can only find temporary work (through a contract or temp agency, for example) are considered employed - even though they may only get assignments sporadically.

The cascade of bad jobless numbers this week has been stunning, and may get even more stunning when the BLS releases all the data on Tuesday.

reply to post by anachryon


I posted a thread about the Michigan unemployment a few days ago. Not a single comment...heh.

I live in Michigan so it's a big deal to me. It's bad here. I know quite a few people who are not working because of layoffs. Fortunately my wife and I have been spared.

What's most alarming about this..unemployment was 9.6 percent the month prior. It jumped 1 percent in 1 month. That may not seem like much...but that is 1000's of people.

The number is sure to be much higher than that as this doesn't include people who are unable to draw unemployment anymore or who are now working part time or much lower paying jobs.

It will only get worse here as the auto industry continues to struggle. I don't see this trend changing anytime soon.

It's just more bad news to pile on top of the increasingly discouraging news that i see everyday.

reply to post by anachryon


In my county in Florida we are at 10% unemployment and Cape Coral Florida has the highest foreclosure rate in the United States. My friend who is in realestate invester is getting ready to buy 6 houses for $69K a piece. These homes less then 2 years ago were going for $250,000 ea. The size of the homes are 1700 Sq. Ft. with 3 bdr. 2 bath 2 car gar. with pool.

Ye Michigan is only going to get worse. Unfortunately enough, I live across the border in Ontario and something like 500,000 jobs are have a direct relation to the auto-sector. Out of the 7 million people in the labour force, if the auto-sector fails, 15% unemployment will result (then less disposable income running through the market, businesses close, etc,etc.- we're in trouble).

I can only imagine what it will be like in Michigan

Exactly why would N.C have 8% unemployment? I can understand NY with the whole financial sector going to # but N.C isn't a state that hits me as a big loser in a recession fueled by bad credit and a failing auto-sector. Fill me in here.

reply to post by amari


The rest of my family lives in Florida. They have lost a ton of value in their home as well. If they were to actually try to sell the house they would lose a huge amount of money. Housing was booming in Florida before all of this started to hit. They live in Punta Gorda..the area that was hit by Hurricane Charlie. My brother, who works construction, has been struggling for work and has been layed once already..and he's one of the lucky ones. Most of the workers are still layed off. They work on a skeleton crew now. They aren't building houses either...it's an elementary school.

The housing crisis has to be killing florida right now. They are lucky that they don't have state taxes, but i have a feeling that won't last much longer.

Originally posted by amari
reply to post by anachryon

 

In my county in Florida we are at 10% unemployment and Cape Coral Florida has the highest foreclosure rate in the United States. My friend who is in realestate invester is getting ready to buy 6 houses for $69K a piece. These homes less then 2 years ago were going for $250,000 ea. The size of the homes are 1700 Sq. Ft. with 3 bdr. 2 bath 2 car gar. with pool.

Yeah! and then he'll turn around and sell them to some French tourists looking for a summer home - tell him thanks thanks.

Originally posted by amari
reply to post by anachryon

 

In my county in Florida we are at 10% unemployment and Cape Coral Florida has the highest foreclosure rate in the United States. My friend who is in realestate invester is getting ready to buy 6 houses for $69K a piece. These homes less then 2 years ago were going for $250,000 ea. The size of the homes are 1700 Sq. Ft. with 3 bdr. 2 bath 2 car gar. with pool.

That's ridiculous But aren't homes in Florida generally cheap (no matter what the economic whether is like?)

reply to post by anachryon

The cascade of bad jobless numbers this week has been stunning, and may get even more stunning when the BLS releases all the data on Tuesday.

I'll be looking for a nice drop in stocks when that info comes out.

reply to post by David9176

The number is sure to be much higher than that as this doesn't include people who are unable to draw unemployment anymore or who are now working part time or much lower paying jobs.

Evening David.
I think it would be instructive to take some time to show you the REAL set of unemployment numbers. There are actually six different categories related to job losses:

U-1 Persons unemployed 15 weeks or longer, as a percent of the civilian labor force.

U-2 Job losers and persons who completed temporary jobs, as a percent of the civilian labor force

U-3 Total unemployed, as a percent of the civilian labor force (this is the "official unemployment rate" as reported to the press)

U-4 Total unemployed plus discouraged workers, as a percent of the civilian labor force plus discouraged workers

U-5 Total unemployed, plus discouraged workers, plus all other marginally attached workers, as a percent of the civilian labor force plus all marginally attached workers

U-6 Total unemployed, plus all marginally attached workers, plus total employed part time for economic reasons, as a percent of the civilian labor force plus all marginally attached workers

(Marginally attached workers are persons who currently are neither working nor looking for work but indicate that they want and are available for a job and have looked for work sometime in the recent past. Discouraged workers, a subset of the marginally attached, have given a job-market related reason for not looking currently for a job. Persons employed part time for economic reasons are those who want and are available for full-time work but have had to settle for a part-time schedule. )

Although the official number, U-3 was 7.2% for December, 2008, the U-6 figure was 13.5%. In reality, the U-6 number is a better measure of true unemployment, but as you can see, reporting that number would cause wide-spread panic, so the tamer U-3 number is reported.

reply to post by ProfEmeritus

Although the official number, U-3 was 7.2% for December, 2008, the U-6 figure was 13.5%. In reality, the U-6 number is a better measure of true unemployment, but as you can see, reporting that number would cause wide-spread panic, so the tamer U-3 number is reported.

Heya Prof

Thanks for pointing this out. I wasn't aware of the different tiers they use for unemployment numbers. I figured it was higher but that is even higher than i originally thought it would be.

Where did you come across this information? I was looking for numbers like this but i had trouble finding them.

That's ridiculous But aren't homes in Florida generally cheap (no matter what the economic whether is like?)

reply to post by Portugoal



They weren't cheap before this. Property values were booming just a couple years ago. My old man had actually made quite a bit of money by selling some property he had bought. He had held it for only 6 months but made 20,000 grand, but the house they are living in now has lost half of it's value. IMO i thought it was overpriced anyway but most houses out there were.

reply to post by David9176


Really? Funny you say that because ads would run here advertising how low prices of Florida homes are and that was really appealing to the SnowBirds (seniors who go to Florida over the Winter).

I know soo many people who have bought property there in the past 4 years or so and pretty low prices. Guess it all depends on location as usual (locations safer from hurricanes vs. locations ready to get smoked the next hurricane that comes).

reply to post by David9176


I found this one. Looking for more recent stats now.

www.bls.gov/data/


I live in Houston, and I am getting 30 applications a week for a $7.00 an hour, 20 hour a week position. From people that have come into my store daily for years. As customers.



edit because I can't get the link right. off to find the "how-to" forum.

[edit on 23/1/09 by subbcindy]

reply to post by subbcindy


The link works but it says the data isn't available?

Originally posted by David9176
reply to post by subbcindy

 

The link works but it says the data isn't available?

Ditto.

reply to post by Portugoal


The hurricanes have alot to do with it. Punta Gorda was almost annihilated a fews years ago by Hurricane Charlie..which is where my parents live. They were actually in the process of building their house at the time while renting another until it was done. Property values skyrocketed after the rebuilding began and so did the construction boom.

If you know how to work construction, Florida is usually a place of endless work. It's warm all year round and the Hurricane's make more work for you, but as of right now...they are really hurting.

They also have the 3rd highest debt of all the states...it's just over 5 billion i believe.

reply to post by anachryon


I think if the truth be known, that the average of all the states combines would be closer to 12% or pushing 13%. I have no bases for this idea just call it a hunch....

Man I know if the economy had to rely on how much I spend it would fail very quickly. I have cut way back on everything I used to take for granted. No more $25.00 meals, or Levi 501's until I can get back some normalcy.

That's joe the plumber speak for, I have cut way back on gratuitous food purchases, and cut my clothing allowance.

reply to post by TH3ON3


I"m right there with you man. I don't buy anything anymore....I even skipped Christmas. I didn't buy and no one bought for me.

I won't give up my internet though. That will be on of the last things to go if it comes to that.

Until then you will all be forced to listen to my endless bitching and misdirected anger!

think if the truth be known, that the average of all the states combines would be closer to 12% or pushing 13%. I have no bases for this idea just call it a hunch....

Actually, as I stated above, the U-6 number for December 2008 is 13.5% That is the true total unemployment rate, for all practical purposes.