Saturday, October 09, 2010

Duration of Unemployment

by Calculated Risk on 10/09/2010 11:45:00 AM

An update by request ...

Unemployment Duration Click on graph for larger image.

This graph shows the duration of unemployment as a percent of the civilian labor force. The graph shows the number of unemployed in four categories: less than 5 week, 6 to 14 weeks, 15 to 26 weeks, and 27 weeks or more.

Note: The BLS reports 15+ weeks, so the 15 to 26 weeks number was calculated.

In Setpember 2010, the number of unemployed for 27 weeks or more declined to 6.123 million (seasonally adjusted) from 6.249 million in August. It appears the number of long term unemployed has peaked, but it is still very difficult for these people to find a job - and this is a very serious employment issue.

The 5 to 14 week category declined in September, however the less than 5 week category continued to increase - and is now at the highest level since January 2010.

The less than 5 week category shows how the turnover in the labor market has changed. Back in the '70s and '80s there was much more turnover in the labor market. And that added turnover is a key reason the overall unemployment rate was higher in the early '80s recession than right now.

Note: Even though these numbers are all seasonally adjusted, they can't be added together to calculate the unemployment rate.

Percent Job Losses During Recessions And a repeat of a popular graph ...

The second graph shows the job losses from the start of the employment recession, in percentage terms (as opposed to the number of jobs lost).

The dotted line is ex-Census hiring. The two lines have joined since the decennial Census is almost over.

Best to all

Employment posts yesterday (with many graphs):

  • September Employment Report: 18K Jobs Lost ex-Census, 9.6% Unemployment Rate
  • Employment-Population Ratio, Part Time Workers, Unemployed over 26 Weeks
  • Unemployment by Level of Education and Employment Diffusion Indexes
  • Impact of estimated Benchmark Revision on Job Losses