The latest unemployment data is worse than expected with the lowest level of jobs (18,000) created in nine months. America needs at least 120,000 jobs monthly to keep up with the status quo. At 9.2 percent unemployment, there are 14.1 million people out of work and lest we not forget, many people have given up on their job searches adding more to these dismal numbers.
Additional startling statistics reveal: Out of work teenagers at 24.5 percent, Black American unemployment at 16.2 percent, Hispanic unemployment at 11.6 percent.
President Obama, has called the problem with unemployment "a bump in the road." It's more like a sink hole. Obama Campaign Advisor David Plouffe announced that the problem with jobs isn't a major issue for his campaign, it's about what affects individual voters.
"The average American does not view the economy through the prism of GDP or unemployment rates or even monthly jobs numbers," Plouffe said. "People won't vote based on the unemployment rate, they're going to vote based on: 'How do I feel about my own situation? Do I believe the president makes decisions based on me and my family?'"
This comment is in fact, demeaning to the average American who keeps watch. This is kind of a big deal.
- Unemployment was 7.6 percent when Obama took office and our present rate is 9.2 percent.
- 787 billion dollars in stimulus money resulted in a net loss in jobs. Unemployment is at its highest sustained level since the Great Depression.
This latest rise in unemployment proves that there is a lack of confidence in American growth. Who will pay? The very people that Mr. Plouffe referenced, those informed American people.
I'm bloody tired. Yes, blame everything else but the desk where the buck stops. There was some basis to discuss the inherited state of the economy two years ago but enough is enough two and one half years later. This compares to "my dog ate my homework two years ago" and I haven't been able to get it back.
The U.S. Chamber of Commerce Small Business Outlook Survey of April, 2011, gives us a chilling forecast of future job recovery. Small business has created 64 percent of all jobs in the U.S. for the last 15 years so it's a big deal. Like it or not, we rely on small business to create jobs and it's the job of Washington to create an environment where they can continue to create and support jobs.
Some key survey findings include:
They want Washington to get out of their way. They worry about more governmental regulations; 70 percent of them don't plan to hire employees in the next year, nine percent will continue to lay off employees, and 72 percent claim that the health care law made hiring more difficult.
Business is fearful to expand and hire for many reasons.
- The National Labor Relations Board (NLRB) suit against Boeing because they want to expand, not re-locate, expand and create new jobs in a "right to work state." This will not be their only target.
- NLRB plan to add new stipulations to the union organizing process that will prohibit time for management communication
- New energy taxes: the price of groceries is an obvious effect
- The ever confusing, premature health care initiative
- Uncertainty about corporate and payroll tax rates
- The changing definition of the "nouveau rich" -- 250,000 threshold for tax purposes. This new category is likely to encompass the very people who create jobs in small business.
- Corporate fear of the effects of proposed federal estate taxes, proposed at 55/60 percent in 2013 (with $1 Million exemption)
The consequences of these initiatives will result in less expansion, more off shoring, more hunkering down, squirreling away profits for the next rainy day. Remember, when people are out of work, they can't pay their taxes.
Washington, loosen up on small business; Create real hiring incentives. Pull back the large corporate tax shelters such as those enjoyed by GE. Shake loose job opportunity via a stimulus/tax break for Baby Boomers who must work longer due to their vanishing retirement income. Create incentives to keep jobs state-side as well as disincentives for off shoring of American jobs. Be creative, Washington.
If I didn't know better, I would think there was a concerted effort to break the collective bank of American business. The reality, job growth has gotten much worse under Mr. Obama's watch. Make it easier for business growth and more jobs will be created. This will result in more tax paying members of the public.