White-collar recession, blue-collar depression

Tuesday, November 2, 2010
By Paul Martin

Loss of manufacturing jobs hollows out the economy

By Howard Gold
MarketWatch.com
Economists may have declared the 2007-09 recession over, yet the pain lingers.

Unemployment has hit younger and older workers, males and African-Americans especially hard. But one group is paying the biggest price: Blue-collar U.S. manufacturing workers have suffered disproportionate job losses, and their plight has big implications for all of us.

In October, the overall U.S. unemployment rate was 9.6%, while total unemployment and “underemployment” (including people who would prefer to work full-time but currently aren’t) topped 17%.

In addition, the disparity between white-collar and blue-collar unemployment is stunning: 4.5% among college graduates versus 10.8% for those with a high-school diploma, and 14.3% for those without one. Read why economist Gary Shilling thinks it’s not a real recovery on MoneyShow.com.

The likely reason is a precipitate decline in U.S.-based manufacturing employment. The United States has been losing those jobs for years, but the pace of the decline picked up steeply in the past decade and during the recession.

The Rest…HERE

Leave a Reply

Support Revolution Radio