Pacific Views

The 'jobless recovery' continued. Again.

390,000.

That's the estimated number of US workers who will exhaust their unemployment benefits this month. And, since the Republican-controlled Congress decided late last year not to extend the Temporary Extended Unemployment Compensation (TEUC) program, 375,000 of these workers won't be able to take advantage of any extensions or supplemental unemployment payments. In other words, they better hope Walmart or McDonald's are hiring.

According to the Center on Budget and Policy Priorities, this January is seeing the highest number of people exhausting their unemployment benefits in any month on record.

Even after adjusting for growth in the labor force, 2.5 times as many unemployed workers will exhaust their regular benefits without qualifying for additional aid in January 2004 as in the average January from 1973 through 2003.

The number of individuals exhausting their regular benefits without obtaining further assistance is likely to remain exceptionally high for some time. In the first half of 2004, nearly two million unemployed people are expected to exhaust their regular benefits without qualifying for further unemployment assistance. That would be larger than the number in any other six-month period on record even, again, with an adjustment for labor force growth.

This analysis also includes state-by-state projections of the number of jobless workers who will exhaust their regular benefits and be left with neither a paycheck nor unemployment benefits. In 28 states, the number of unemployed workers who exhaust their regular benefits during the first half of 2004 without receiving further assistance is expected to be the first, second, or third largest such number on record, once again after adjusting for growth over time in the labor force.

For many of the unemployed, the consequences of going without a paycheck or an unemployment check are likely to be harsh. A survey conducted in April 2003 found that more than half of unemployed workers had cut back on spending on food. Similarly, more than half had postponed medical or dental treatment.

And, still being unemployed., these figures strike very close to this magpie's home.