Well, let’s hope the predictions are wrong but I keep hearing a lot about the prospects of a jobless recovery, as I alluded to in the previous post. What is a jobless recovery?
According to Wikipedia:
A jobless recovery or jobless growth is a phrase used by economists to describe the recovery from a recession which does not produce strong growth in employment. The phrase originated in the early 1990s in the United States, to describe the economic recovery at the end of President George H.W. Bush’s term; it came back into use during the early 2000s.
Basically, it means an economic recovery won’t come to the rescue of unemployed workers. This is probably due to technology replacing jobs, movement to a service economy, and other structural shifts. Another factor to consider is that outsourcing jobs takes away positions in much the same way technology reduces jobs.
Irregardless of the cause, this has a couple practical applications:
- Those with jobs should save a couple extra months worth of safety funds
- Those looking for jobs may need to spread a wider net and look for jobs outside their previous industry/work experience – get creative
One Response
Jodi
September 23rd, 2009 at 11:35 pm
1If there are no jobs, then take personal responsibility and become an entrepreneur. At least you don’t have to worry about being laid off, it’s also not hard – everyone has a talent they can monetize