Workplace Issues: Unemployment, Jobs and Budget Cuts
Originally Published In The Examiner.Com - Houston Careers & Workplace Section, March 3, 2011
By: Gloria Towolawi
Unemployment insurance weekly claim report continued in a declining trend. For the week ending Feb. 26, the advance figure for seasonally adjusted initial claims was 368,000, a decrease of 20,000 from the previous week's revised figure of 388,000. The 4-week moving average was 388,500, a decrease of 12,750 from the previous week's revised average of 401,250.
Some of the reports from the states shown that there was a decrease in layoffs in construction, trade, service, and manufacturing industries
Speaking on the job market outlook for the Houston area, the CEO of Daniel Group, Mr. Jarrod Daniel said, “The job market in Houston has shifted from a non candidate to a candidate driven market. Industries like oil and gas, service and government in the past six month have seen unemployment rate moved from 5 percent to 4 percent. In the next two years, the unemployment rate for these sectors will decrease to one and half percent”.
The driven force behind this assumption according to Mr. Jarrod Daniel is that hiring for skilled and educated worker is on the increase.
However, he said on a global front, the effect of the budget cut remains to be seen because there will always be room to make adjustments. This view is quite different from forecasts coming from the Fed and other private economist which sees the economy loosing up to 200,000 - 700,000 jobs as a result of budget cuts.