10.2%: Unemployment surges to 26-year high

By THE ASSOCIATED PRESS

Friday, Nov. 6, 2009                 Share on Facebook

Washington – The unemployment rate has surpassed 10 percent for the first time since 1983 — and is likely to go higher.

Nearly 16 million people can't find jobs even though the worst recession since the Great Depression has apparently ended. The Labor Department said Friday that the economy shed a net total of 190,000 jobs in October, less than the downwardly revised 219,000 lost in September. August job losses were also revised lower, to 154,000 from 201,000.

But the loss of jobs last month exceeded economists' estimates. It's the 22nd straight month the U.S. economy has shed jobs, the longest on records dating back 70 years.

Counting those who have settled for part-time jobs or stopped looking for work, the unemployment rate would be 17.5 percent, the highest on records dating from 1994.

The jobless rate rose to 10.2 percent from 9.8 percent in September. Economists say it could climb as high as 10.5 percent next year because employers remain reluctant to hire.

Friday's report is the first since the government said last week that the economy grew at a 3.5 percent annual rate in the July-September quarter, the strongest signal yet that the economy is rebounding. But that isn't fast enough to spur rapid hiring, raising the specter of a jobless recovery.

"You need explosive growth to take the unemployment rate down," said Dan Greenhaus, chief economic strategist for New York-based investment firm Miller Tabak & Co.

Greenhaus said the economy soared by nearly 8 percent in 1983 after a steep recession, lowering the jobless rate by 2.5 percentage points that year. But the economy is unlikely to improve that fast this time, as consumers remain cautious and tight credit hinders businesses. In fact, many analysts expect economic growth to moderate early next year, as the impact of various government stimulus programs fades.

Many economists also worry that persistently high unemployment could undermine the recovery by restraining consumer spending, which accounts for 70 percent of the economy.

One sign of how hard it still is to find a job: the number of Americans who have been out of work for six months or longer rose to 5.6 million, a record. They comprise 35.6 percent of the unemployed population, matching a record set last month.

Congress sought to address the impact of long-term unemployment this week by approving legislation extending jobless benefits for the fourth time since the recession began. The bill would add 14 to 20 extra weeks of aid and is intended to prevent almost 2 million recipients from running out of unemployment insurance during the upcoming holiday season. President Barack Obama is expected to quickly sign the legislation.

The employment report showed that job losses remain widespread across many industries. Manufacturers eliminated a net total of 61,000 jobs, the most in four months. Construction shed 62,000 jobs, down slightly from the previous month.

Retailers, the financial sector and leisure and hospitality companies all continued to reduce payrolls. The economy has lost a net total of 7.3 million jobs since the recession began in December 2007.

The average work week was unchanged at 33 hours, a disappointment because employers are expected to add more hours for current workers before they begin hiring new ones.

There were some bright spots in the report. Professional and business services companies added 18,000 jobs. And temporary employment grew by 33,700 jobs, after losing positions for months. That's a positive sign because employers are likely to add temporary workers before hiring permanent ones.

Still, economists expect jobs likely will remain scarce even as the economy improves. Diane Swonk, chief economist at Mesirow Financial, said that small businesses, a primary engine of job creation, still face tight credit and don't have the cash reserves to support extra workers.

And many companies are squeezing more production from their existing work forces. Productivity, the amount of output per hour worked, jumped 9.5 percent in the third quarter, the Labor Department said Thursday.

That's the sharpest increase in six years and followed a 6.9 percent rise in the second quarter. The increases enable companies to produce more without hiring extra people.

> AP: NH jobless to get extended benefits
> AP: Shaheen discusses jobless benefits in Somersworth today
> Wide range of NH jobless rates (4)
> Politico.com: The White House feels political pressure on jobs, spending

YOUR COMMENTS

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No business owner in their right mind would be hiring/expanding w/ cap and trade and health care taxes on the horizon -and- an anti-free market administration in D.C. looking to demonize anyone in the U.S. who dares to turn a profit... 10.2% and going up... Welcome back Jimmy Carter...
- Hedge, Newton

I would hazard a guess that the economy is cyclical. Some of the silly partisan comments from both sides just reinforces the fact that the electorate is stupid and naive.
- Bob, Freedom

The real unemployment rate is 17.5% (the U6 measure), not the 10.2% (the U3 measure, designed to undercount various categories of unemployed to make it look better for politicians).
- Meghan, Concord

Mike from Milford--very well said, you hit it exactly right. This mess has been in the making for many years and we all share in the blame. Unfortunately, we have become a nation of whiners with an addiction to borrowing, spending, and consuming.
- Matt, Contoocook

To Mike from Milford,

I will watch Fox and MSNBC over any other news comrade outlet! They present the true facts not distorted or conveniently ommitted ones. Hey I would like to respond to this, "Do you actually believe the current admin created or saved 1m jobs?" Please keep in mind we are over 10 % reporting and over 17% real unemployement and for the gov't reports, oh that is right their numbers are wrong! For example in one case instead of reporting 6 jobs they stated 450 pointing to the number of HOURS and when it was pointed out to them they did nothing to correct the number FACT.
- Dick, Deerfield

Both those on the left and right give politicians way too much credit and blame for our economic woes. We just went through the biggest credit bubble in a century and you think you're going to return to full employment in months not years. It is going to take a lot of hard work on all of our parts to get out of this-we as a society are going to have to do more saving, investing, and producing and less borrowing, spending, and consuming.

I for one am tired of and bored with blaming our woes on Democrats, Republicans, and any politician for that matter. Stop whining. Arent' you better than this! Isn't the New Hampshire spirit about the individual, not needing government. Then prove it. If that's true then one man (Bush or Obama) can't effect your lives that much...or do you need the straw men to serve your insecurities?

Don't get me wrong. There are structural problems within our society, that through public policy decisions, our politicians have caused. But try spending a little less time in front of the tube watching Fox News or MSNBC; our commmunity will be a better place for it.
- Mike, Milford

This is what happens when you run an economy based on borrowing against artificially elevated home prices. Yes those who used their home as a bank caused businesses to wrongly expand to meet their spending demands. Once the bubble burst, that was it. Unfortunately, the persons running, or should I say ruining the economy, are trying to fix this bubble that caused this. This country will be destroyed by their wrong headed actions.
- Steve, Raymond

I "HOPE" things "CHANGE" in 2010 or sooner. I never thought I would miss "W" but he was 10 times the leader of this man child narcissistic Chicago thug and his playmates.
- Allan, Rochester

Ah..."BushObamanomics"... 10% unemployment.

Your hope for "change" will be crushed by your trust in politicians and government - enjoy.
- Mac Wade, Newmarket

Lets keep blaming Bush. Its all his fault. This downward slide has been going on for 22 months. Blah blah blah...What a load of garbage. Honestly, I can't see how any of this is Obama's fault. HE HAS NOT DONE ANYTHING. The truth is the Democrats took control of Congress in 2006 and we've been in a nosedive ever since. They wrote the stimulus bill and twited Bush's arm to sign it. This is ALL Pelosi and Reid's fault. And no, this is not revisionist history. Its all facts.
- William, Dover

Could you all please stop !!!

Bush and our current president are both to blame

One grows goverment and cuts taxes not to birght

One explodes the size of goverment and raises taxes just plan stupid !!!

Govenment is not the solution Ronald Regan !!!!!!!!!
- Jack, Goffstown

The last thing the government needs to do is to pay people to sit at home on their duffs.
the first thing the government should have done is stimulate business and the economy to create jobs to get these people off their duffs and onto the business working rolls.
But of course, that isn't the Democratic plan.
- Sandy, Thornton

Jeff from concord The stimulus package WAS signed by Obama the bank bailout was signed by Bush. take your pick as to which bill was worse than the other. They have both screwed us for generations.
- dave, goffstown

Paul M from Nashua,
Nafta was negotiated by GHW Bush and he attempted to get it passed while he was still in office. Unable to do so, he passed it to Clinton who added some measures to protect American workers. By the way, when the House voted on it more Republicans voted for it than Democrats.
- jon, hooksett

The Stimulus package was signed under GWB's watch, NOT Obama.

Funny how some of you conveniently forget that.

Oh and Jimminy in Hampton, spelling out his middle name does not envoke fear in people like you are hoping it will.
- Jeff, Concord

Another chucklefest. Most of these folks hollering that unemployment is over 10% have been actively rooting for pretty much every union job or government job to be eliminated so the unemployment rate would go even higher.
- Steve B, Derry

Bob from Salem......you need to get your facts straight....the average UAW worker earns $29 an hour.

Don't use the bad numbers created by the right wing media who have stated that the average UAW worker earns $75 an hour by calculating the wages, benefits and pension payments of both current workers and retired workers and then dividing it by the number of hours worked by the currently employed.....I guess you'll believe anything.
- Ken, Manchester

We just cleaned our garage and basement out of all that cheap Chinese junk. Most of the stuff doesn't last even a year or two before it breaks.
We need good manufacturing back in the USA.
- Marie G, Hudson

Hey Sydney, do you include these folks in your short sidedness of 'bad people with 3 names' outlook?

Jamie Lee Curtis
Hillary Rodham Clinton
Sarah Jessica Parker
Jennifer Love Hewitt
Lara Flynn Boyle
Martin Luther King
Courtney Thorne-Smith
Sean Patrick Thomas
Tommy Lee Jones
Alexander Grahm Bell
Jonathan Livingston Seagull
Laura Ingalls Wilder
- heinz, Merrimack

Hey Ed from Manchester-
Please elaborate on that list of rhetorical nonsense.
1) How did Bush policies directly hinder your company?

2) How did Bush reward the wealthy and how did this hinder your company?

3) How is the $$ going where it is supposed to now?

4) How is Obama's policies helping your company now?
- CJD, Manchester

It's gonna be tough for a while. We can all try to do stuff to help the NH economy. Try to spend locally when you can. Most of us can do some good if we just let all the partisans blather. They'll never help a thing.
- Steve B, Derry

We can all thank "CLINTON" and his "NAFTA" plan. All we've been doing since then is sending our jobs overseas and buying back cheap junk from china because it costs less.We are just importing the same contaminated trash these third world countries are living in everyday because its cheaper. Wake up AMERICA!!!
- Paul M., nashua nh

Failure, time and time again. This administration shoots from the hip without giving any thought to what it is doing. No plans, no foresight, no nothing. This is certainly change. So how do you libs who voted for this community planner like the change?
- Brian, Farmington

First of all living on NH Unemployment is almost impossible. Even when you get the max.

Second: Forget who's to blame, just fix it before we go into a depression. This is the worst unemployment in 26 years.

It impacts the blue collar worker significantly more than the white collar jobs.

Just fix it and maybe we can live a normal life again!
- BA, Derry

Well, I see it this way..... My place of employment is doing a lot better than it has in since the Bush years almost destoyed it. Bush rewarded the weathly plain and simple. Now that the $$ is going to where its supposed too, us small co's have a chance to finally make some ...not just be in survival mode.
- Ed, Manchester

Does this mean more money for the 100/hr UAW union people in future.

Maybe, Goldman Sachs, the friends of Democrats will get get bonuses.

Increased money to fund Acorn for sure is in the cards.

More meetings with SEIU union group. They must need more money.

We now must bailout liberal newspapers to combat this problem.

MSNBC with its terrible ratings and unprofitable operations needs some dough.

Change we can believe in. What a joke.
- Bob, Salem

Steve Micke in Freedom wrote "Thank you George Bush for this lasting legacy."

He is yet another uninformed citizen who doesn't understand how the economy works. Steve, please do yourself a favor and google "Carter 1979 Community Reinvestment Act" There, my fellow citizen, is the starting point for the mess we have now. You may also want to google "failed kenseyen economics" for a quick lesson in how increased government spending has NEVER led to a genuine uptick in the economy...only short lived perceived ones. In fact, of the more than dozen recessions since WWII, most of them have been fixed by government CUTS in taxes and spending. I know this will rub some people the wrong way (particularly those who support socialists), but Truth is Truth no matter how you try to spin things.
- Mike, Temple

For approx 30 years at least, Congress and the WH have encouraged and in many cases caused the destruction of manufacturing jobs within the US. Restore level playing field tariffs. This action alone will begin to create American jobs and allow for the higher compensation our common sense safety rules, pollution rules and the economic wage differences between the (temporary) "1st world economies and 3rd world ones. This nations self reliance depends on this action. We must take whatever steps it requires to make investors it as have it hore profitable to put their monies in US manufacturing and withdraw or repeal any laws that have made it logical to invest in overseas manufacturing, as it is presently, but only because the products overseas manufactures make are free trade sellers in the US. It took many years and both major political parties to destroy our nations self reliance. We outlasted the Communist internationalism dream only to have our government adopt, with a different title, the same dream called "Globalism International". Elect nationalists, as it is in this nation your children's children's children will have a first world or a third world living standard.
Cooper tire could not make and ship just down the street, tires cheaper than those made in China and Shipped across the ocean and trucked to the east coast to that same Wal-Mart. Good you say, not if you are the newly unemployed Cooper tire worker from the closed plant that cannot afford even the Chinese tires. Think on it.
- Alexander Mackenzie, Rochester

This economy is the result of a Congress that has continued to line its pockets with cash from lobbyists who work for the big special interests. The same corrupt politicians who blame companies for taking their jobs to Mexico, China and India are the ones passing the laws that either allow it or force it.

Face it folks, our inept and corrupt government is responsible and we are also to blame, because we believed the great messiah's lies when we shouldn't have and we vote them into office even after they are spending OUR money like drunken sailors.

Any idiot knows that the TARP bailout and the stimulus package supported by Obama will do nothing to start the economy. It is built to share wealth from the bottom up and that won't create jobs. Never has, never will. All it will do is make the poor poorer and employers broke and move out.
He knows exactly what he is doing. Check the background on his so called czars.

Then get out and vote in 2010 and call your thugs in DC and tell them you want your money and country back.

It's not about Republicans and Democrats anymore...it's about saving our capitalist economy, our freedoms and our representative form of government.
- Melvin, Keene

is this really the change you believed in?

what's changed? nothing. If anything's
changed I fear it's worsened.

If you're out of work, do you spend more
money on things you can't afford to
fix your budget? I think not. I don't.
So why would the government
- state and federal - think it's OK to do so
on our backs and those of future generations?

Let's cut out the czars, spending and get
back to basics. Please. Small steps first,
right?
- rg, manchester

Obama took ownership of this economy when he signed the American Recovery and Reinvestment Act on February 17, 2009.
We were told the American Recovery and Reinvestment Act would stimulate the economy and keep unemployment below 8%. That was such a great piece of legislation my Congresswoman Carol Shea Porter didn't have to read the bill before voting for it. It cost $787 billion dollars for a 2.5 percent increase in unemployment what a bargain.
- Chris, Merrimack

Thank you George Bush for this lasting legacy.
- Steve Micke, Freedom

Who in his right mind would take the risk of hiring new employees, seeing what Congress is doing, and planning to do? Who would dare pull funds out of the bank to start a new business? Passivity as Dodd and Frank destabilized banking may be Bush's fault, but the complete lack of confidence in our future is the sole fault of this new President who thinks that, in so many ways, the world would be a better place if America were weaker, and that higher taxes would help him guide our money to "its rightful owners."
- Spike, Brentwood NH

Unemployment is a lagging indicator; it reflects economic conditions of approximiately 6 months prior. It is not a current or leading indicator. Looking back to the first 6-12 months of this tumultuous ecoomic period, unemployment was a very low level. It is a measure for reflecting, not forecasting.
- Greg Friedland, Manchester, NH

How long before Obama realizes his plan to stimulate the economy and create jobs is not working. Time for a new plan – this one’s a dud.
- Mike M, Mont Vernon

No matter if it's Bush, Obama or your momma in the Oval Office, none of them are going to resolve the issues facing the economy.

Politicians have and always will put themselves before the people they supposedly represent. But, go ahead, keep blaming them; they don't care what you say or type anyway...
- Bill, Milford

Hey Obama,
If you're reading this....thanks for all the "Change"
- Tracy, Manchester

CHANGE...Change you can believe in...

We have to defeat the Taliban!

These are Obama's words during the election. Is the Change coming next year or after the mid-term elections or during his second term (that's not a certainty)? What happened to defeating the Taliban? Look, I don't care which party he belongs to or whether he's on the left or right on any issue, start showing some leadership, communication, and start taking a stand on issues instead of flirting with them to see how people react first!
- Jack, Milford

How american of us to expect an instant recovery. You are good at blaming, but do you understand the time/scope involved with the recovery?

When the economy tanks as severly as it did last november, expecting things to instantly get better is similar to expecting a battleship to turn on a dime.

Employment in temporary help services, typically one of the first industries to see job gains, increased by 33,700. The motor vehicle industry also posted employment gains. These are hopeful signs that the unprecedented policy actions are working to stabilize the economy and put us on a path toward recovery.

The unemployment rise despite the rise in real GDP last quarter reflects both the typical lag between GDP growth and unemployment decline, and the recent exceptional increases in productivity.

Of course none of these facts will stop most of you as using this indicator as ammunition for your war against a non-republican government.
- pete, portsmouth nh

Obama owns this economy, and has since Jan. 20.

This economy is still tanking because Obama and the Pelosi Congress is on a taxing and spending spree.
- Stephen A., Manchester

All you folks who voted for "Change we can believe in" last November - how's that working out for you?
- DP, Manchester

Don't worry, Obama will save us.
- CJ, Bedford

Bush inherited his mess from Clinton who had reserves, but still had a 5 trillion deficit. Face it Obama is a popinjay! He had the time to date to fix it, but just keeps adding to the deficit. Has not saved or created many jobs. The true recovery will be when the market continues to rise allowing companies to hire. Though with new taxes to companies, many will never start-up nor have the extra capital to hire people. We need taxes lowered and less hand outs.
- Joel, New Boston

robert greed=democrats lets take a look who will profit on cap and trade= al gore who loses the american people. unkindness=democrats health care plan again who loses the american people leave it to robert to twist thing,s around.robert when these pass legislation unemployment will hit the roof and guess who loses again..
- kevin dumont, nashua

Let see the Democrats have controlled congress since 2007, that's 36 months. Let's see the mess started 22 months ago. 36-22 is 14. That means the Democrats were putting their policies and spending place a year before the crisis hit. Since the Congress creates and approvedsthe budget and bills, that means congress is responsible. It's time to take responsiblity for the mess you created. Resign now or act like a bunch of adults. This hyper partisan crap is getting old from the speaker of the house.
- Andy, Milford

For approx 30 years at least, Congress and the WH have encouraged and in many cases caused the destruction of manufacturing jobs within the US. Restore level playing field tariffs. This action alone will begin to create American jobs and allow for compensation for our common sense safety rules and the economy wage differences. This nations self reliance depends on this action. We must take whatever steps it requires to make investors see it as more profitable to put their monies in US manufacturing and withdraw or repeal any laws that have made it logical to invest in overseas manufacturing, which is what is done, but only because the products overseas manufactures make are free trade sellers in the US. It took many years and both major political parties to destroy our nations self reliance. We outlasted the Communist internationalism dream only to have our government adopt, with a different title, but same dream called "Globalism International". Elect nationalists, as it is in this nation you children's children's children will have a first world or a third world living standard.
- A. Mac, Rochester

What is the big deal they get unemployment for a longer period and have their hands held by the government on the backs of those who still have jobs; until the government runs out of money (hahaha, just kidding they'll just raise taxes or print more money).
- Jay, Manchester

The minute the so-called "stimulus" package was signed by Obama, he took ownership of the economy. He promised if this massive bloated boondoggle of debt was passed that we would be all set, and unemployment would not exceed 8.5%. Wrong, wrong, and wrong again Mr. President. You own it. You deal with it. Ditto for Congressional Dems.
- Mark, Amherst

All of you who blame W: 22 months ago the house and senate were both controlled by Democrats. That is where spending originates, not the oval office. Come one, take a civics class. you can't blame this on Bush. You can blame the lack of a speedy recovery on Obama and his brilliant idea to spend his way out of a debt problem. That is like an alcoholic drinking his way out of alcoholism. Wake up people!
- Tom, Manchester

Oh come on Tom...He's a nice guy and a super community orginizer. I don't think he had to much control over the bad guy with three names (why do all bad people have three names?) He's trying to do what he can, but at this point the Left can stop blaming President Bush...that's for sure.
- Sydney, Londonderry

guess what now that capand trade and health care soon to pass expect those numbers to jump even higher, i,m anxious to see if the m.s.m.reports on this. now i know what obama meant by change that,s all we will have left in our pocket when he,s done with us..
- kevin dumont, nashua

Fear, greed, lack of knowledge, bigotry, thoughtlessness, unkindness. Good Job Tom!
- Robert, Deerfield

You can't blame just one man...many are responsible for the current situation... Congress is to blame for not doing enough now...TARP didn't include us...what about a 6-month or 1-year freeze on mortgage payments? That's a bailout of many.

But many of us keep voting for these people in Congress because they belong to "their" party...how about start looking at what they are doing instead of what party or ideology they belong too? The government could start doing things to keep jobs here in America and make buying american goods for attractive.

The government can't do it all. Companies need to start considering hiring people with the skills for the job and put some time into training them instead of just looking for the perfect candidate.
- Jack, Milford

Where did this all start?..........Oh 22 months ago. Thanks "w"! Great job.
- Jake, Manchester

At least Reagan had a plan when unemployment was this high. He cut taxes which allowed people and businesses kept more of their money. Those tax savings led to capital improvements and to the hiring of more workers. This amateur we call a president is doing the opposite. He told us that the unemployment wouldn't go past 8% if the stimulus was passed. It looks like the joke is on us.
- Don R., Exeter, NH

So let me get this straight Tom in Campton. In spite of the fact that Obama has been president for 10 months and as the article states the economy has shed jobs for 22 straight months, that is his fault.

Also, he is supposed to identify a mass shooter that rose to the rank of Major in the US Army yet that organization is blameless? Do you realize what that you are saying about the Army if Obama holds any blame in this shooting?

Are you serious? Tell me Tom, since you are an economist, what should have been done to stop the job loss. You realize that the Bush tax cuts are still in effect right?

How do you feel that Bush 43 did as president if this is Obama's fault as you stated? I'm not sure if you recall but the worst attack on US soil happened 9 months into Bush's first term.
- John R, Keene

Can we stop blaming Bush now, or did you want to milk this a few more quarters?
- Jonathan, Bedford

What happen to the stimulus plan keeping unemployment under 8.5%? So 787 billion for union jobs, 1.2 trilion(and climbing) for public healthcare. That's adds up to a bankrupt country and a worthless dollar. Thank you Paul Hodes and Carol Shea!! Just one question when we are all unemployed who's going to foot the bill?
- Andy, milford

The only thing "in recovery" is the Republican Party--that is, the real Republican Party of Reagan conservatism.
- Susie, Horseshoe Bay, TX (NH native)

The only thing "in recovery" is the Republican Party--that is, the "real" Republican Party of Reagan conservatism.
- Susie, Horseshoe Bay, TX (NH native)

But wait, how could this be? I thought once we replaced President Bush with Barack Hussein Obama all the nation's woes would end. Didn't the Pork-ulus spending bill "save" or "create" jobs for all these people? Maybe if we just throw some more money at them (and lard additional astronomical deficits on our childen and their children, etc.) this will all go away. Besides, the Democrats don't want anyone to work so that they will become more dependent on government hand-outs. Which begs the question, can socialism really be a "workers paradise" if there are no workers? Hope for change. 1/20/13
- Jim, Hampton

10.2% unemployment and terrorist attacks on US soil.

Great job Obama, just wonderful.
- Tom, Campton


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