The phrase
"discouraged workers" refers to people who want to work but have given up looking for a job because they believe there are no available opportunities. They feel hopeless and have stopped actively seeking employment.
Full definition
A 2012 study published in the Journal of Accounting Research found that better - paid employees are less likely to steal; higher wages promote social norms that
discourage workers from conspiring to steal inventory.
The number of multiple jobholders decreased by 514,000 from November 2016 to 7.6 million, and the number
of discouraged workers not in the workforce (469,000) decreased by 122,000 from one year ago.
According to the above - referenced USAToday article, Goldman Sachs Chief Economist Jan Hatzius says wages will rise only slowly as
discouraged workers who stopped looking for jobs stream back into an improving labor market.
I have noted in other posts that Statistics Canada produces a whole host of «unemployment rates» — some of which
include discouraged workers — to help offer this picture.
The most recent jobs report suggests more and
more discouraged workers are seeking to get back into the workforce accounting for a small uptick in the unemployment rate.
Unfortunately, most economists predict that the unemployment rate will remain elevated
as discouraged workers reenter the labor force amid slow gains in jobs.»
The seasonally - adjusted SGS Alternate Unemployment Rate reflects current unemployment reporting methodology adjusted for SGS - estimated long -
term discouraged workers, who were defined out of official existence in 1994.
Among the marginally attached, there were 408,000
discouraged workers in April, little changed from a year earlier.
But the unemployment rate does not capture the problem created
when discouraged workers give up their job search and drop out of the labour market.
But it doesn't include people who have given up looking for work, so -
called discouraged workers, or those who are working part time but would like to be full time.
Insurance companies and employers will take advantage of an injured worker by denying a legitimate claim for medical benefits, undervaluing a claim for income benefits, pressuring the worker to return to work prematurely (including light duty work) or to accept a low cash settlement for a permanent disability,
discouraging a worker from seeing a new doctor, or refusing to accept responsibility for a repetitive stress injury.
These improvements were reflected in the rise in the participation rate to 63 %, up 0.6 % since September, confirming there is greater slack in the labour force than conveyed by the headline unemployment rate, and suggesting that longer term unemployed or
discouraged workers who have hitherto remained on the sidelines are being pulled back into the labour market by the growth in employment opportunities.
It can mask weakness in the market if there are large numbers
of discouraged workers, as in the U.S. which now has a lower jobless rate than Canada despite a poor job creation record.
The Fed's continued insistence that it will raise rates soon is especially perplexing as inflation continues to run below its 2 % target, and the U-6 unemployment rate — which accounts
for discouraged workers and those working part - time because they can't find full time work — is still well above pre-crisis levels.
The unemployment rate is far from a perfect labour market barometer due to
the discouraged workers problem.
A laid off manufacturing worker who has given up hope of ever finding another job is not counted in the unemployment statistics, so an economy with a high number of
discouraged workers could have a misleadingly low unemployment rate.
You might recall Fed Vice-Chair Janet Yellen discussing at length the numerous pitfalls of the headline unemployment rate, which doesn't count
the discouraged workers who've dropped out of the labour force, those who've stopped looking for work but say they would still like to have a job, and those who would like to work full - time but could only find part - time employment.
A broader measure of joblessness that includes
discouraged workers and those at work part - time for economic reasons fell sharply, from 8.3 percent to 7.9 percent after being at 9.5 percent just a year ago.
During a presser in September 2014, the governor conflated «
discouraged workers» with «labour market slack.»
The real number of
discouraged workers is probably much higher.
The US has an extremely low rate of labor force participation, because there are no jobs to be had, and
discouraged workers who can not find jobs are not measured in the unemployment rate.
The underemployment rate is a broader measure that includes
discouraged workers and those who have part - time jobs but want full - time work.
Because the decline is being driven by unusual labor - force flows — aging workers retiring, the lure of government disability payments,
discouraged workers and other factors — the jobless rate is a perplexing indicator of job - market slack and vigor.
It discourages workers from making excessive demands that would reduce capital accumulation and new investment.
But the question that needs to be asked is, how many of those stay - at - home dads actively chose that role and how many were forced into it by the economic recession, the «unemployed job - seekers, the underemployed, and
discouraged workers»?
Excluded from these numbers are secondary, irregular, flexible, or part - time earners; part - time students; work - at - home dads (WAHDS); unemployed job - seekers, the underemployed, and
discouraged workers.
Disabled and
discouraged workers are excluded.
In the current situation, we have a lot of
discouraged workers.
Discouraged workers are a large factor in the falling unemployment rate.
They have been better at forecasting the unemployment rate, even as it has become less useful as an indicator of how strong labor conditions are because of
discouraged workers and more lower wage jobs.
Yes, the unemployment rate has come down, but much of it it due to
discouraged workers.
GDP growth is not improving much if at all, and much of the unemployment rate improvement comes more from
discouraged workers.
Please ignore
the discouraged workers, and all of the new people on disability.
GDP growth is not improving much if at all, and much of the unemployment rate improvement comes more from
discouraged workers, and part - time workers.
These statistics on unemployment do not include «
discouraged workers» — those who have lost their unemployment benefits or simply stopped looking for work.
Discouraged workers are persons not currently looking for work because they believe no jobs are available for them.
GDP growth is not improving much if at all, and the unemployment rate improvement comes more from
discouraged workers.