US recovery risks being hobbled by growing army of long-term unemployed
The US economy's recovery risks being hampered by the creation of a new army of long-term unemployed, whose number has more than doubled in the past 12 months.
By James Quinn
Published: 3:26PM GMT 05 Feb 2010
Although a widely-watched monthly jobs report on Friday showed that the unemployment rate fell to 9.7pc in January from 10pc in December, the report also revealed that 41.2pc of those without work - or 6.3 million people - have now been so for more than six months and are officially classed as long-term unemployed.
Statistics released earlier this week showed that 4.6m Americans continue to claim long-term unemployment benefit, signalling 1.7m of those defined as long-term unemployed either do not want to claim or are no longer eligible.
These figures are important, as those out of work for significant periods typically find it harder to find work even once a robust recovery begins, and because they can create a drag on their wider families’ economic output, restricting consumption. more