Unemployment rate predicted to move higher yet.

[1979Shocker]

U.S. businesses stepped up hiring in December

WASHINGTON — Businesses stepped up hiring in December, adding a net total of 103,000 jobs during the month and offering a little hope for a sustained improvement in the struggling U.S. jobs market.

The Labor Department said government jobs fell by 10,000 in December, but private employers — the backbone of the economy — boosted hiring, adding 113,000 jobs after a gain of 50,000 jobs in November.

The December job gains were enough to drive down the unemployment rate to 9.4 percent from 9.8 percent the previous month, marking the largest one-month decline in the nation’s unemployment rate since April 1998. December’s jobless rate was the lowest since May 2009.

Of course, the next paragraph might give part of the reason for the drop.

Another key reason for the drop in the December unemployment rate was that the government no longer counts people as unemployed when they stop looking for work.

[Smooth007]

I fill in the HR duties of my small company when I am not being the assistant controller and CPA. I have hired approximatley 1 person each year - see the results.
2007 - 1 hired (15 applicants)
2008 - 2 hired (40 total applicants)
2009 - No hires
2010 - 2 hires (500 applicants in two weeks time period)

It was overwealming and difficult to sort through. Additionally, each year we dropped the wage rate over a $1,000 for the salaried postion. (ie. $30,000 to $29,000 to $28,000 etc.)

[DUShock]

I continue to hear from people who manage money that the worst is not over, but it is to come.

I don't see any evidence of any hiring, but there is the constant fear of more layoffs waiting on the horizon due to a bad quarter.

I agree entirely! There is a definite disconnect between Wall Street/Corporate America and Main Street/Small Business America. I suspect some enterprising PhD Economist is working on a dissertation applying a new data set/econometric model which will encompass the disparity.

[1979Shocker]

Here's something I found interesting.

Factories boom, but with few new workers

The U.S. manufacturing sector is roaring back after the worst recession in generations. So why aren’t factory jobs coming back as quickly?

One big reason: Business executives like Drew Greenblatt, owner of Baltimore-based Marlin Steel Wire Products, have figured out how to make more widgets with the same number of workers. To do so, he's had to upgrade the skills — and wages — of his employees. But his profits are bigger than ever.

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The worst celebrity Super Bowl ad moments ConsumerMan: Video late fees 'scam' spreads Life Inc.: At a minimum, U.S. is a lot like Greece Last July, the company, which makes wire baskets, installed $700,000 worth of robots, continuing a steady process of automation Greenblatt began when he bought the company in 1998.

“In the old days, we had a $6 an-hour-guy who would hand-bend 300 bends an hour,” said Greenblatt. “Now we have guy who’s paid $22 an hour with the robots but he’s giving me (20,000) bends an hour. Do the math.”

So if you're layed off and don't have the skills, don't expect to be hired back.

[wsushox1]

So if you're layed off and don't have the skills, don't expect to be hired back.

Can you blame the companies for doing that?

[SubGod22]

So if you're layed off and don't have the skills, don't expect to be hired back.

Can you blame the companies for doing that?

Not at all