Let’s Prepare Workers for the Fastest Growing Jobs . . .Now!

Let’s Prepare Workers for the Fastest Growing Jobs . . .Now!

Now that the unemployment rate has remained above 9 percent for the past 21 months, economists want to increase what is considered the normal unemployment rate, currently around 5 percent.  The new norm may now be more like 6.7 percent, according to a paper released by the Federal Reserve Bank of San Francisco Monday.  Rather than focus on whether the current high unemployment rate is more likely permanent than temporary, the focus should be on preparing the unemployed for those labor markets expected to grow.  Let’s tackle the mismatch between workers’ skills and what employers are looking for.  According to DOL, home health aides top the list.

Highlighted Clip for Tuesday, February 15, 2011: 

"What Is the New Normal Unemployment Rate?"

Recent labor markets developments, including mismatches in the skills of workers and jobs, extended unemployment benefits, and very high rates of long-term joblessness, may be impeding the return to "normal" unemployment rates of around 5%. An examination of alternative measures of labor market conditions suggests that the "normal" unemployment rate may have risen as much as 1.7 percentage points to about 6.7%, although much of this increase is likely to prove temporary. Even with such an increase, sizable labor market slack is expected to persist for years.