April 3, 2009

March Labor Report Shows no Sign of Relief for Job Market

The Bureau of Labor Statistics released the March Labor Report this morning, announcing a new jobless rate of 8.5%. This month's rate is a .4% increase from February's report, making it the highest jobless rate since 1983.

The Labor Department said the new figure represents the loss of 5.1 million jobs since the recession began in December 2007. The report also showed that the average work week for employees dropped to 33.2 hours, indicating a mandated or requested reduction by companies. Losses continued to increase in manufacturing, construction, and the service sector.

Despite speculation that the country might be seeing the worst of the recession yet, economists are predicting losses will continue in the upcoming months. Hugh Johnson, the chairman and chief investment advisor of the investment firm Johnson Illington Advisors told NPR today, "This is about as bad as it gets in a recession, so I think – and I cross my fingers when I say this – we should see, yes, further job losses in the months ahead, but they are not going to be as severe as they have been over the last several months."

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