Lack of Hiring Primary Cause of Today's Unemployment
Created on June 3, 2011
Lack of Hiring Primary Cause of Today’s Unemployment
Change in Q4 2007
Change in Monthly Hiring and Layoffs Compared to Q4 2007, in Thousands of Jobs
Layoffs rose in the beginning of the recession, but have since come back down to normal levels. Business hiring fell sharply and still remains depressed. The lack of new hiring—not increased layoffs—is the reason unemployment remains high.
Chart 2 • WM 3277
Source: U.S. Department of Labor, Bureau of Labor Statistics, “Job Openings and Labor Turnover Survey,” and Haver Analytics.