Good news: No hike in jobless rate
by Marcus E. Howard
mhoward@mdjonline.com
August 27, 2010 12:00 AM | 1451 views | 8 8 comments | 5 5 recommendations | email to a friend | print
MARIETTA - Cobb's jobless rate of 9.9 percent did not change between June and July, and remains lower than the unemployment rates of metro Atlanta and the state. But the state labor commissioner says the rate does not mean things are getting better, but rather that people are giving up on looking for work.

Cobb's unemployment rate of 9.9 percent is the third highest rate ever recorded in the county. The record unemployment rate was 10.8 percent in January 1976. The second highest was 10.1 percent in January and February.

According to preliminary data released Thursday by the Georgia Department of Labor, in metro Atlanta, the jobless rate marginally decreased from 10.3 percent in June to 10.2 percent in July. Unemployment increased in Clayton, DeKalb and Paulding counties.

The unemployment rate statewide also decreased slightly from 10.3 percent in June to 10.2 percent in July. It was the 34th consecutive month Georgia has exceeded the national unemployment rate, which marginally increased from 9.6 percent in June to 9.7 percent in July. There were 15.1 million Americans looking for work in July, according to the data.

Georgia's labor force shrank by 21,043 workers from June to July, as longtime unemployed workers became discouraged and gave up their job search, the state Labor Department reported.

Coupled with the increase of 19,026 discouraged workers in June, Georgia's labor force has deteriorated by more than 40,000 workers during the past two months. It is the first time since 2001 that the state has experienced significant reductions in the labor force for two consecutive months, according to the state Labor Department.

"Although the unemployment rate remained virtually unchanged, a growing number of discouraged workers dropped out of the workforce," state Labor Commissioner Michael Thurmond said in a statement. "For the second consecutive month, the number of jobs in our state declined, new layoffs increased and long-term unemployment continued to rise."

Marietta Mayor Steve Tumlin said he and city officials are doing everything they can to improve the local economy - "whether it's applying for a grant, stimulus money or just encouraging people to take advantage of breaks to move businesses here. We're trying to do our little share here in Marietta."

The unemployment rate has impacted everyone, from dry cleaners to restaurants, Tumlin said.

Jeri Barr, Center for Family Resources CEO, said her nonprofit, which provides a range of services to struggling households, saw a 129 percent increase in people asking for help with their rent and utilities in June, compared to June '09.

There were 1,474 requests for assistance at the Marietta-based nonprofit, totaling $1.25 million, according to the CFR.

"Folks are being laid-off, whether they are in leadership positions, management positions, service industries, all walks of life," said Barr.

While data supports the belief that many laid-off workers have stopped looking for work, Barr said her organization will only help those who are attempting to better their lives.

"We're not a place where you can come and just get assistance," she said. "You have to be willing to work for self-sufficiency."

In July, there were 367,391 people in Cobb's labor force, of which 36,257 were unemployed. The state Labor Department defines "unemployed" as someone who is not working, but is actively seeking employment.

In Cobb, 3,111 people filed first-time claims in July for state unemployment insurance benefits. That is a 21 percent decline compared to the 3,942 people who filed in June, according to the state labor department.

Statewide, 68,089 laid-off workers filed initial claims for unemployment insurance benefits in July, a 5.1 percent increase from 64,794 in June.
Comments
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Darth ElmerFudd
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August 30, 2010
If we just slashed taxes across the board by 50%.. the unemployment rate would drop and fast. And those that say we'd not have money to pay the economy would boom like its never boomed before.

Darth Bunny
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August 28, 2010
You people should just thank Obama for what you have and get along quietly.
About to be unemploy
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August 27, 2010
what everyone does not realize, is that unemployment statistics are only accurate for those that actually collect unemployment. For those of you who have already run out of unemployment benefits, you are not even counted. For all of you small business owners who had to close down your business and are not eligible for unemployment, you are not counted either. How about all of the employees or contractors who were 1099 at the end of a year, yep not counted. Our true unemployment rate is closer to 15% or higher. Gov't statistics do not tell the whole story.
anonymous
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August 27, 2010
Better news! More people have jobs.
anonymous
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August 27, 2010
What are you talking about Jillian - you need to be working for the government. These companies need to stay afloat or everyone will be out of a job!
Jillian45
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August 27, 2010
How do companies get away with these layoffs? Don't they realize they're playing into a vicious cycle? Unless they're so cash strapped that they're on the verge of bankruptcy, they should hang on to their workers. We should be boycotting companies with ruthless layoff policies, starting with Home Depot.
What??!
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August 27, 2010
Echo the previous comment. Near 10% unemployment is GOOD NEWS? Are you kidding me? We may not have the highest unemployment rate in the County's history but it certainly has been the longest period of economic stagnation in recent memory--with no end in sight. I guess now the MDJ's mantra is "hey it could be worse, at least we're not Michigan." The only reason unemployment is going down is that people are exiting the labor force - mostly by moving out of town. Write an article on whether employers in Cobb County are cutting or adding jobs. That is the real issue.
donnanunn
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August 27, 2010
The title of this article is all wrong..Good News is when the jobless rate goes down not stays the same! The people who are out of work would not consider this good news.
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