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Wednesday, August 31, 2011

"Job Insecurity Remains High"

Workers don't feel very secure:

Job Insecurity Remains High, by Catherine Rampell, NY Times: ...workers still employed remain anxious about their job security... A USA Today/Gallup Poll conducted in mid-August, based on a survey of 489 adults employed full or part time, found that 30 percent said they were worried about being laid off, similar to the 31 percent who answered this way in August 2009. The survey also found that workers were concerned that their hours, wages and benefits would be cut back. Benefit cuts were the most common worry...
Lower-income workers were especially likely to be concerned about their job security...

The prospect of long-term unemployment, which is very high right now, makes the expected cost of unemployment particularly large. A strong social safety net can help to offset the negative economic consequences that uncertainty causes (e.g. unwillingness to make long-term commitments such as the purchase of a new car). Conversely, a weakened social safety net -- which if anything is the direction we are headed -- makes the problem worse.

    Posted by on Wednesday, August 31, 2011 at 11:24 AM in Economics, Unemployment | Permalink  Comments (24)


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