[Via Communist Internet... http://www.egroups.com/group/Communist-Internet ] . .Extreme downturn for many By Arthur Perlo People's Weekly World www.pww.org "What's the difference between a recession and a depression? A recession is when your neighbor loses his job. A depression is when you lose yours." Not very funny - especially if you are part of the 870,000 increase in unemployment since last October. Nine months ago, the official unemployment rate was at a low of 3.8 percent - a level not seen in decades. It started a steady rise in December and seems to have leveled at 4.4 percent - 6.2 million people - in April/May. This might not seem like a big jump, but last fall, news stories reported that businesses were so desperate for workers, they were offering jobs to people who ordinarily wouldn't get hired. Now, companies are hiring fewer workers and are being choosier about whom they hire. As layoffs continue, it will grow harder for workers to find any job, much less one with pay and benefits comparable to the job they lost. These official figures greatly understate the situation. They count only people who are not working at all - not even one hour per week - and who are actively looking for work. In addition to the 6.2 million officially unemployed, there are 3.3 million part-time workers who want and need more hours. Another 5.2 million are not actively looking for work, but want a job. This adds up to 14.7 million people unemployed or underemployed, for a rate of 10 percent - more than twice the official rate! While unemployment is up over the last nine months, it is still low compared with recent history. Unemployment isn't on the agenda in Washington or at the news desks of the corporate media. But when the real unemployment rate reaches double digits, it is at depression levels for African Americans. For young people, it is a catastrophe. Black official unemployment, now more than 8 percent, has stayed just over twice the rate for white workers. This is almost as bad as during the high unemployment of the 1980s. There are no separate statistics given for discouraged or part-time Black workers, but if they were counted, it is likely the unemployment rate would be closer to 20 percent. It is more difficult to get a picture of Latino unemployment. The Bureau of Labor Statistics collects figures for "Hispanic" workers, which cover a diverse population. Unemployment for this group has increased quite rapidly, from 5.4 percent last October to 6.4 percent in April/May. For teenagers, the situation is catastrophic. The figures show 12 percent unemployment for white teens (aged 16-19), 27 percent for Black teens. But there is a serious problem in the official method of measuring unemployment. If we counted all teens who would be working if they could find a job, I estimate the overall unemployment rate would be 35 percent and for Black teenagers, 65 percent! The situation calls for urgent action: *A substantial federal program for new public works (schools, clinics, public transport, water treatment) and public service (child care, elder care, teachers and school aides, health care) that would employ up to five million people. Passing HR-1564 - the Rebuilding America's Infrastructure Act - would be a good start. *One million additional part-time, full-time and summer jobs for young people. These could range from maintenance and enhancement of parks to public art to providing computer support for public and non-profit agencies. This program would provide important services. By providing meaningful, constructive jobs, it would make a significant contribution toward relieving existing problems in education and crime. *These and other jobs programs should have a strong affirmative action commitment. Whatever means is used to achieve the goal, at least half of the jobs should go to unemployed African Americans and Latinos. Only in this way can the racist gap in employment start to be closed.
