Times are tough. Apparently, so tough that some poor out-of-work kid from Sheboygan was trying to sell his naming rights on eBay, before they clued in and took it down. (Who says innovation is dead?)
It’s a good thing President Obama has planned a White House forum on jobs and economic growth for December. With the unemployment rate up to 10.2 percent last month, “another 558,000 people joined the ranks of the jobless, bringing the total to 15.7 million.” And, according to the Strib, “it would be closer to 17.5 percent if certain groups were factored in, such as the estimated 2.4 million workers who became too discouraged to look for work anymore in the four weeks prior to the survey, or the 9.3 million working part-time because they can’t find full-time work.” In Minnesota, one of the state’s 47 Workforce Centers had 38 percent more people seeking aid last month. According to Workday Minnesota and recent data from the Minnesota Department of Employment and Economic Development, “there are 240,000 unemployed workers competing for 31,000 unfilled jobs statewide. That’s nearly eight job seekers for every job opening, a ratio that has spiked from 2-to-1 just two years ago. Since then, job seekers have risen by 83 percent, and job openings have fallen by 50 percent.”
But we know this, right? Or at least many of us are feeling the consequences.
In just the past few weeks Cirrus Aircraft cut 58 workers in Grand Forks and Duluth, local candy makers Farley’s & Sathers Candy Co. eliminated 175 jobs from its headquarters and packaging facility in Round Lake, the Star Tribune eliminated 100 more jobs, and 1,250 Twin Cities janitors were fired from ABM Industries. Granted, the janitors were fired for suspect employment documents (and, thanks to Obama’s new immigration policies, at least they weren’t deported), but it still means more unemployed Minnesotans.
And to top it off, a recent Finance and Commerce report claims that “nearly half of Minnesota employers who made mass layoffs during [the last 21 months] did not comply with the spirit of a federal layoff-notification law, nor did those employers help smooth the way for the Rapid Response Team to serve their laid-off workers.”
Greater Minnesota has taken a huge hit during the recession. In Albert Lea, the state’s biggest manufacturing sector, nearly 43,000 jobs have been cut since the start of the recession — as per MPR, more than in any other major industry. And according to Shakopee Valley News, use of the Scott County Employment and Training resource room — “a public library area that offers computers, fax machines, phones, reference materials and other resources for job hunting” — increased 45 percent between July 2008 and 2009. In fact,members of the House Jobs Task Force recently traveled to Greater Minnesota to gather information from businesses on how the state can help them maintain and create more jobs. Of course, the suggestions focused on more federal grants.
Sure, the stimulus plan has helped to save some Minnesota job, particularly school jobs, but those of us out there who have lost jobs are more vulnerable today to foreclosure and bankruptcy than we were a generation ago.
Meanwhile, 237 members (44 percent) of Congress are millionaires. In Minnesota we have Sen. Al Franken, D, valued at $6,213,028; and Rep. Jim Oberstar, D, at $5,479,538.
Out of a job? MPR and the Downtown Journal seem to think they can help.
34 Reader Comments
7:48 am
This is an issue that has touched almost everyone I know. Heck, even Lou Dobbs is looking for work.
My wife is still working temp (full time, no benefits) jobs for the State of Minnesota. This is a tough time for a lot of folks who lost their jobs (and health insurance) through no fault of their own.
8:30 am
president obama’s going to hold a forum? the same person that predicted without the stimulus package unemployment might climb above 8%? and now it’s 10? i cringe at what he might propose next.
8:32 am
People can be wrong sometimes, cubbie. It’s not really an exact science.
9:04 am
(head explodes)
9:42 am
Sorry, justpbob. Truly.
9:54 am
@justpbob, the unemployment thing has affected every family I know, too, many of my friends and, come January, me. I’m curious about collecting unemployment for the first time in my life, but I’d be more relaxed about it if a baby weren’t on the way.
Has anyone used those Workforce Centers? Have you found any benefit to them?
10:12 am
I called for a new WPA a year ago because I knew that this was coming. That’s not to say that I’m sooo very brilliant, it’s that anyone who was paying attention to the course of this Depression knew it was coming.
This Depression is very much like 1893. It’s also important to note that GDP minus Federal deficits and home equity withdrawals has been negative since about 2001 – which is to say, the economy as a whole less government and the Home ATM has been declining for a decade. Of course we are losing jobs!
Add to this the fact that our workforce is younger than it has been since records were kept and that among 16-24 year olds only half had a job this summer. We’re dropping an entire generation of workers here, let alone unemployed heads of household in their 40s like me. A conference scheduled for December? A year late and many dollars short.
When the Democrats took control of everything, the least I expected was a focus on jobs – it’s a Democrat thang to do. But no. If they won’t stand up for workers and the next generation, who will? Republicans? Yeesh.
10:28 am
I called for a WPA project to make bike commuter paths with that heating element so they’ll be ice/snow free in the winter, promoting year-long bike commuting. I mentioned this somewhere on MNspeak. I have come up with some other good (or ridiculous, I can’t always tell) WPA projects, but can’t remember any others.
Those bright yellow & blue clad folks in DT Mpls, the ones who’ve been around a couple months now, saying hello and picking up garbage? That seems like a result of a jobs-creation plan, maybe??
11:38 am
“People can be wrong sometimes, cubbie. It’s not really an exact science.”
agreed. but 780 billion is pretty wrong. just sayin.
11:43 am
jerad, i doubt you will find much benefit to a workforce center. if you already have access to a computer, know how to look for a job and complete an application they won’t be able to offer you much.
11:53 am
“agreed. but 780 billion is pretty wrong. just sayin”
I’m not sure we know that yet. Imagine the downside of banks and large car companies going under. 10.2 percent and more unemployed. Payrolls not getting met. If you think the teabaggers are whacky….
12:08 pm
we know it hasn’t accomplished what he promised it would. and i worry the answer will be ‘we didn’t aim high enough. we need more’.
12:13 pm
i’m just cranky because a friend of the family had her 4th kid by the 4th different father today. taxpayers are supporting all 9 of them. hurray for us.
12:53 pm
They saw 80% of the people that find jobs have an inside connection.
1:25 pm
Jerad, you will wanto to apply for unemployment benefits right away. These days, you can do a lot (if not all) of the required reporting online. It’s not too hard.
Important: Don’t put a guilt trip on yourself for using unemployment benefits. We all helped make our emplyers productive and/or profitable for many years, a small portion of those profit were set aside for times like this. You have helped earn this money, and your family needs it.
The first time I was laid off, I was too proud to get unemloyment benefits. By the time it happened again, I was wiser and took the money.
Depending on how up-to-date your home computer and Internet access is at home, the Work Center may have some value you to you. Come early, as they fill up quickly now.
1:31 pm
I’m on unemployment now. (Bad situation still considering legal action) You can do absolutely everything online. I was chosen as one of the lucky ones that had to come in for 3 sessions at the work force center to meet with a counselor. Complete waste of time but they can stop your benefits if you don’t go in. I’m looking but I’m not going to settle for anything. You can collect benefits up to 2 years now with the extension they just passed.
2:00 pm
I’ll buy your drink at the next Meetup, Dougie. Good luck!
2:09 pm
Ditto on unemployment and any other general assistance benefits (incl. food stamps) aid that is offered. Don’t play the “I have pride” card. The benefits are there for a reason, and they are not welfare.
Just remember this: You will have to pay income tax on your unemployment benefits. (The change, btw, was made during the Reagan administration.) So, be sure to hold back 30% of your checks to return to Uncle Sam next April.
2:11 pm
@jpbob and Dougie_D: Thanks for the tips! I don’t think I’ll be ashamed to collect unemployment. In fact I’m grateful that it gives me a bar which potential new salaries would have to beat. Otherwise, as an anxious soon-to-be-dad, I’d probably lunge desperately for every White Castle Assistant Manager position I saw.
It sounds like neither Cubbie nor Dougie_D got much out of the workforce centers. Good to know!
@Dougie_D: Good luck with your situation.
2:11 pm
Noodleman, You can choose to have them take out the taxes before you get your unemployment checks/direct deposit. I am making it by fairly easy so that’s the route I went.
2:12 pm
sure you can collect for 2 years, but it only replaces at best something like 40% of your income, maxing out ~$566/wk. How many people can reduce their expenses 60% for 2 years?
One thing you’ll need to be careful about Dougie is, the longer you collect unemployment, the harder they will frown on you declining any job offers.
Meaning, initially they’ll let you decline job offers that don’t pay close to what you were making, or that have much longer commutes, or don’t quite match your experience. But 18 months from now, if you were to turn one of those down, they could deny your claim.
Other benefits of the work centers: if you need to print resumes or cover letters, you can get free laser printing there. They also offer phone banks to use, so for people that find it helpful to get out of the house, you can do much of your job searching from there. And, they also have job search support/networking groups that may or may not be useful to you.
2:17 pm
oh, btw Dougie:
good luck.
I’m pretty certain you weren’t all that happy where you were anyway, so hopefully, you’ll end up better off.
(and good luck to you too, jerad)
2:25 pm
DougieD is right about the taxes. That wasn’t the case last time I was out of work, and that year’s taxes was the worst — I was just getting back on my feet and had to face a big tax bill. Not fun.
2:40 pm
@justpbob: The couple of times when I had to collect unemployment (being in radio, it wasn’t that unusual to be between gigs for some time), the benefits were tax-free. (That’s how long ago it’s been for me.) After the rules had changed, I almost went on unemployment (but had secured a new gig within a couple of days) the option to deduct was not offered. So, I’m glad to hear that option to deduct is now available. A lot of people got a big surprise those first few years after the rule change.
3:14 pm
mnblrmkr, I don’t have to worry about turning down job, I don’t even get responses for sending in resumes for jobs I’m completely qualified for. And its not really 60% less. Once you figure out the reduced commuting costs, United Way, and the not eating out lunch and not saving for retirement I’m getting about 80% of what my take home was.
I have started to look in Chicago, San Diego and the NW. Might as well try if they made a great offer I would move in a second.
3:32 pm
The job market sucks! Good luck all you unemployed it is a jungle out there!
4:45 pm
“Once you figure out the reduced commuting costs, United Way, and the not eating out lunch and not saving for retirement I’m getting about 80% of what my take home was.”
What do you mean by united way? you are getting food assistance?
6:45 pm
From that comment I assumed that his previous employer participated in the automatic withholding program for United Way pledges.
8:18 pm
Yes, I was donating $10 a paycheck to United Way before. It was HIGHLY encouraged.
8:56 pm
“It was HIGHLY encouraged.”
Of course…
11:53 pm
That’s a great way of goosing the numbers. No wonder MN ranks so high in charitable “giving.” lol
12:01 am
During pledge drive time you would receive an email from your VP at least every few days comparing the different groups in your pyramid and how many people have participated. When you signed up there was a suggested donation that was approximately 5% of your after tax income.
10:53 am
Not to denigrate the United Way, or anything, but the strong arming that goes on in some companies kind of makes me sad. The focus has been totally taken away from giving and moved to some sort of weird self-satisfied competition.
11:37 am
I would venture to guess that United Way donations percentage figured into the VP’s reviews and bonus also.