Uh Oh: The Number Of Job Openings In The U.S. Dropped By More Than Half A Million In Just One Month

According to the Labor Department, the number of job openings in the United States just plunged by the largest amount we have seen in nearly four years.  The latest JOLTS report shows that the number of job openings has declined by 538,000, and that is a really big number for just a single month.  But we shouldn’t be surprised by this at all, because it is perfectly consistent with all of the other dismal economic numbers that have been coming in recently.  An economic slowdown is here, and many believe that it is just getting started.

Very briefly, let’s review some of the reasons why we should expect to see the employment numbers get worse.  As the economy slows down, goods begin to pile up in our warehouses, and that is precisely what the numbers show.  In fact, the inventory to sales ratio in the U.S. has now increased for five months in a row.

Fewer sales should result in less stuff being shipped around the nation by freight, rail and air, and this is yet another thing that we see happening right now.  Overall, U.S. freight shipment volume has dropped for three months in a row.

Once businesses realize that economic conditions have changed, then they start reducing the number of job openings and laying off workers.  That is why employment statistics are often referred to as “trailing indicators”.  The employment numbers don’t usually start to go down until other indicators start dropping first.

And without a doubt, the employment numbers are starting to move.  Continuing jobless claims have been rising at the most rapid pace in 10 years, and U.S. businesses have been adding jobs at the slowest pace in 18 months.

With all of that in mind, we should not be surprised at all by this latest number

Job openings, a measure of labor demand, tumbled by 538,000 to a seasonally adjusted 7.1 million, the Labor Department said in its monthly Job Openings and Labor Turnover Survey, or JOLTS, report on Tuesday. The drop was the biggest since August 2015.

That is a really dreadful number, and there is no way to spin it to make it look good.

One factor that is shifting the employment environment is all of the minimum wage laws that are being passed around the country.

A number of liberal enclaves have raised the minimum wage to 15 dollars an hour, and as a result a lot of small businesses have been forced to let workers go

In what has become just one more example of government intervention going the exact opposite of what socialists intend, minimum wage laws are driving a “payroll tsunami.”  Small businesses are being forced to lay off workers in order to comply with a law demanding an increase in wages.

This isn’t all that surprising. Economists, small business owners, and other analysts have said that the net result of higher wages is a loss of jobs. And small businesses, who don’t have the capital or return that large corporations do, are feeling the proverbial pinch. According to Fox News, several mom-and-pop coffee shops and restaurants, are responding by cutting hours, eliminating jobs or closing down entirely because they can’t keep up with rising wages under the law.

My very first job was flipping burgers for McDonald’s, and I made $3.35 an hour doing it.  As a teenager, I was grateful to have such a job, but now such minimum wage jobs are in danger.  Wal-Mart and other major corporations are already making extensive use of robots to perform basic tasks, and making human workers more expensive is going to hurt those at the bottom of the economic food chain the most.

But for the moment, things are still relatively stable.  Most Americans still seem to believe that the bubble of debt-fueled economic “prosperity” that we are currently enjoying is going to continue for the foreseeable future, and they are spending money as if tomorrow will never come.

According to Zero Hedge, U.S. consumer credit has now surged past the 4 trillion dollar mark…

After a few months of wild swings in mid 2018, in February US consumer credit continued to normalize, rising by $15.2 billion, slightly below the $17 billion expected, following January’s $17.7 billion increase. The continued increase in borrowings saw total credit storm above $4 trillion, and hit a new all time high of $4.045 trillion on the back of a America’s ongoing love affair with auto and student loans, and of course credit cards.

We better hope that the U.S. economy is able to pull out of this new slowdown, because most of us are living right on the edge financially.

Sadly, we never seem to learn.  The same mistakes that we made last time around are all happening again, and Americans are completely and totally unprepared for what is coming.

And the warnings are all around us.  On Tuesday, the IMF downgraded their forecast for global economic growth for the third time in six months.  Commenting on this downgrade, IMF executive director Christine Lagarde noted that this is a “delicate moment” for the global economy…

Christine Lagarde, the IMF’s executive director, said the global economy is in a “delicate moment.”

“Only two years ago, 75% of the global economy experienced an upswing,” Lagarde said, according to the text of a speech she’s due to give at the US Chamber of Commerce. “For this year, we expect 70% of the global economy to experience a slowdown in growth.”

It is not often that I agree with a globalist like Christine Lagarde, but she is quite right in saying that this is a “delicate moment”.

Global economic numbers have not been this bad since the last financial crisis, and many believe that we have now reached a major turning point.

Get Prepared NowAbout the author: Michael Snyder is a nationally-syndicated writer, media personality and political activist. He is the author of four books including Get Prepared Now, The Beginning Of The End and Living A Life That Really Matters. His articles are originally published on The Economic Collapse Blog, End Of The American Dream and The Most Important News. From there, his articles are republished on dozens of other prominent websites. If you would like to republish his articles, please feel free to do so. The more people that see this information the better, and we need to wake more people up while there is still time.

10 Reasons Why It Has Become So Soul-Crushingly Difficult To Find A Job In America Today

Have you been unemployed lately?  If so, then you probably know how frustrating it is to try to find a job in the United States today. It now takes the average unemployed worker about 33 weeks to find a job.  There are millions of Americans that have not been able to find a full-time job even after searching hard for an entire year.  Some areas of the United States have been devastated so badly by the economic downturn that they are starting to resemble war zones.  Unless you have been there, it is hard to even try to describe the extreme frustration that one feels when you are unable to pay the mortgage and feed your family.  It can be absolutely soul-crushing.  But it is not the fault of those who are unemployed.  The truth is that our economy is dying and it is not producing nearly enough jobs anymore.  Unfortunately, as you will see from the facts listed below, most of the things that are causing our economy to die have no realistic chance of being changed any time soon.

The following are 10 reasons why it has become so insanely difficult to find a job in America today….

#1 There are a lot fewer job openings in the United States today.  The number of U.S. job openings declined once again in December.  Prior to the most recent economic downturn, there were usually somewhere around 4.5 to 5 million job openings in America.  Today there are about 3 million.

#2 There is a lot more competition for the very few job openings that are actually available.  According to Gallup, the U.S. unemployment rate has been hovering around 10 percent for over a year.  When Gallup includes “underemployed Americans” that have part-time jobs but really want full-time jobs in the numbers, they get a lot worse.  Currently, Gallup says that 19.3 percent of the workforce is either unemployed or underemployed.

#3 The U.S. economy is producing an extremely low number of new jobs.  The federal government says that only about 36,000 jobs were added in January.  Well,  an increase of 150,000 jobs per month is necessary just to keep up with population growth.  We continue to fall farther and farther behind.

#4 All across the nation, state and local governments are rapidly cutting jobs.  Government jobs used to be considered some of the safest jobs available, but today state and local governments all across America are facing horrific budget crunches.  In fact, things have gotten so extreme that some cities are cutting their police forces by up to 50 percent.

#5 U.S. businesses are being absolutely crushed by regulations, and yet the government just keeps piling them on.  For example, the U.S. Food and Drug Administration is projecting that the food service industry will have to spend an additional 14 million hours every single year just to comply with new federal regulations that mandate that all vending machine operators and chain restaurants must label all products that they sell with a calorie count in a location visible to the consumer.  These kinds of ridiculous regulations are chasing U.S. businesses out of the country at a blistering pace.

#6 When you combine all forms of taxation, businesses pay more taxes in the United States than just about anywhere else in the world.  Some of the biggest corporations have figured out how to get around this, but many other businesses are being absolutely crushed by this.  All of this taxation is also chasing businesses out of the country.  Now Barack Obama is at it again.  He has just proposed an increase in unemployment taxes.  This is going to make it even less likely that businesses will want to hire more employees.

#7 Advances in technology mean that less workers are needed today.  A robot can do the labor that a hundred workers used to perform.  A computer can do the work that a thousand people used to perform.  Our society now needs less manual labor than it used to, and that is not going to change.  In fact, our society is only going to become more computerized and more automated.  That means that the ultra-wealthy do not need as many of us to work for them.

#8 Nations such as China are taking jobs away from us.  Tens of thousands of factories and millions of jobs are moving to China.  There is a reason why Barack Obama mentioned China four times during his State of the Union address.  China now even makes more beer than the United States does.  China has been very shrewd.  They have invited international corporations to come over and take advantage of their vast population by paying them slave labor wages.  The U.S. middle class is being shredded by this.  Why should companies pay U.S. workers 10 or 20 times more than they could pay a Chinese worker?

#9 Every single year, the U.S. buys hundreds of billions of dollars more stuff from the rest of the world than they buy from us.  This is called a trade deficit, and it is killing the U.S. economy.  The hundreds of billions of dollars going to the rest of the world could be going to U.S. businesses, and in turn U.S. businesses would need more workers.  But instead of fixing our trade balance problem, our politicians continue to insist that “globalism” is going to be really, really “good” for us.

#10 Every single year the U.S. federal government spends hundreds of billions of dollars just on interest on the national debt.  This is money that we don’t get any economic benefit from.  If we were not in so much debt, the U.S. government would be able to spend that money on goods and services inside the United States and that would support a lot more jobs.  This is just one of the ways that our horrific national debt is a tremendous drag on our economy.

Do NOT follow this link or you will be banned from the site!