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Former Deputy Secretary of Labor Steven Law and Former Labor Department Chief of Staff Paul Conway on the disappointing jobs report and outlook for jo...
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From disappointing to shocking.
When you take a broader look at our unemployment situation including folks who have given up looking for jobs in those forced to work part time.
Even jobless rate that rises to nearly 15%.
With more on this we're joined by Stephen on the CEO of American crossroads and a former deputy secretary of labor.
I'm Paul Conway a former chief of staff for the Labor Department thank you both for being here.
I wanna dig into these numbers because I think that 15% is important number people should understand.
And Stephen -- first we -- the use sixty all in rate.
15%.
It grows it ticked up just a little bit what does that say about the employment picture right.
Now.
Puts a pretty dismal picture -- not only is the bottom line rates flatten job back creation has -- but you've got so many people out there who are underemployed.
Who working in jobs they'd rather not be and who working part time because they can't find -- full time work.
Kenji got a huge part of the economy out there that severely underemployed and it's and impacting them economically in a very big way.
Paul former separate labor secretary Elaine Chao was on earlier and we talked about how.
The participation rate is so low and almost it's almost dismal at this point.
Yeah actually its way down in one of the things looks after.
Keep in mind about this thing is the clear participation rate is down because the rate of growth and creation of jobs is so dismal.
And now at this point you're have over forty months of unemployment rate at eight point 2%.
And so the tension that workforce is quite high they wanna go work but the current opportunities -- not being created fast enough.
When we dig into the numbers a little bit we only created thirteen thousand jobs in the goods producing.
Sector of our economy -- that's our that's our manufacturing sector basically so we saw the ISM numbers the manufacturing numbers over the course of the week.
There they were not good at all it doesn't appear to be improving.
Right -- I think that the bigger news here is that we're almost -- months pass -- this started this recession.
Think should be looking a lot better if you look at past recessions going all the way back to 1960.
There's a lot more growth a lot more job growth that we see.
Ordinarily this time this is the worst recession by far going all the way back to 1960.
In terms of a turnaround in GDP and job growth and that's starting to really rippled throughout the economy people are feeling a personally.
Right and they get enough of a group like the millennial as the people -- we're again we're talking about college whether -- needed degree your coming out for the first time.
Twelve point 8% of kids eighteen to 29 are now unemployed -- One point seven million of them though just gave up all together.
The people that are supposed to get has gone again.
-- -- this is the finest generation these are the folks who put on the uniform after 9/11 -- served in two wars around the country and everything else liked and then they come home.
And that unemployment rate for some of the return -- -- is up to 30%.
And in here's what the -- is if you take that one point seven million.
Number you added into the twelve point eight the non seasonally adjusted number free 229 girls it's sixteen point 8% the highest level since World War II.
Out and trial you know one -- Gaza single loan debt on to that these kids don't have jobs and they're coming out into our world with all this debt.
Stephen really adjusting to the numbers between African Americans and Hispanics the spreads are just getting wider aren't -- Gets really did disconcerting I mean they've what what we've seen uptick in the unemployment rate for African Americans a lot of people attribute that has to average American -- looking for jobs.
But the problem is as Paul noted.
There's just no opportunity out there so people are trying to start their career trying to get that first job go get them a leg up and -- lead to something else -- finding absolutely nothing out there and is creating a tremendous amount.
A distant discouragement and people are just aren't going to be other gathered their career started for another ten years.
-- and -- to his point.
Two thirds of the jobs that we added this time this month -- temporary but in the past temporary turn in full time we're not seeing that trend.
Now there's no confidence -- that we talked to the number employers are we do they don't have the confidence in this environment we're regulations and taxes to do -- so what does that mean for young workers.
Is that we're -- hitting on -- first time job skills how to work on a team had a producer project had to be responsible and timely.
None of that is being imparted to this generation.
Because the lack of opportunity that has long term consequences for the country in terms of competitiveness with China and India and not only that but -- older workers were -- in the workforce longer.
-- Let me ask you about this you both part of the labour department what would you do what would you do different Stephen just to get we need growth.
Well -- -- average business owner has actually zero confidence in the direction the country right now they're really concerned about the implementation of Obama care.
They're concerned about a cliff of -- possible taxes being imposed upon them just.
Six months from now the president is not providing the kind of leadership and clarity that we need.
For businesses to have the confidence to start hiring again.
And so there needs to be a clear direction of pro business policies established on taxes on cutting back Obama care.
And cutting back the kinds of regulations that are just to shuttling the hands of businesses it would like to hire these individuals.
-- your former Labor Department chief of staff were not seeing that are we -- not getting a clear anything out of this administration.
Now and -- -- -- -- and -- concept where the president was very good on social media and our grassroots reaching out to young Americans.
In 2008 here's a novel concept listen to them again -- a majority of want taxes cut the -- -- one of of them want more opportunity created in at the end of the day.
-- -- at the end of the day this is the next generation of leaders in America and what are we doing for them giving them more government debt.
That's not what they want.
Hello and that we are given them Steven M Paul thank you both for taking the time of the US.
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