BY: Adam Gavriel
In the case of the American economy, slow and steady is NOT winning the race.
Disappointing numbers from April are starting to leak out, and a report from CNBC.com from Wednesday reports that private companies created just 119,000 jobs last month, well below expectations.
Economists had expected 150,000 jobs to be created in April (a prediction down from March), and the economy under-performed to the lowered standards.
“”Nearly every industry has seen slower growth since the beginning of the year,” Moody’s economist Mark Zandi said on CNBC. “Smaller businesses are experiencing much weaker growth.””
Without the support of strong small businesses, the American economy will have difficulty creating jobs. Small businesses would account for just 50,000 of the added 119,000 jobs. Zandi believes that this may be due to the Affordable Healthcare Act (Obamacare). Zandi went on to say in an interview that, “The data seems to be suggesting healthcare is having an impact.”
Continuing reports from CNBC.com suggest that Gross Domestic Product (GDP) is in the middle of its longest sub-3% growth rate since 1929!
Unemployment, that also includes the jobless, and the underemployed (often referred to as the “real” unemployment rate) remains at 13.8%. Nevada has been hit the hardest with a real unemployment rate of a staggering 19.6, nearly one-in-five Nevadans are out of work. Only six states have real unemployment rates of less than 10%. They are North Dakota at 6.2%, South Dakota at 8.1%, Nebraska at 8.6%, Wyoming at 9.5% and Oklahoma and Iowa at 9.8%. (See the actual numbers of all 50 states HERE).
Although the national reported unemployment average has actually decreased as of late, the real unemployment rate has risen in six states, and stayed the same in three (including Connecticut).
Michael Pento, founder of Pento Portfolio Strategies, had this to say about the economy:
“The fact is that the U.S. economy isn’t growing fast enough to significantly increase the revenue to the government, but our debt is still soaring. It’s a shame they won’t just implement real measures to grow the economy like reduce regulations, simplify the tax code and balance the budget.”
The Bureau of Labor Statistics will release the April numbers officially Friday.
While the economy remains at a standstill, we at Crossroads Consulting are trying desperately to help, but we need you to fulfill our goal of finding rewarding work for as many people as we possibly can.
With over fifty job openings, Crossroads Consulting is looking, not only for people with good resumes, but just good people to fill openings we’re working on all around the nation.
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Human resources is a human game, and human capital is what makes it work. Our attitude is right there for everyone to see in our motto, “We’re putting the ‘Human’ back into ‘Human Resources.’”
