The unemployment rate in the United States is at a low of 4.1%, but this does not mean that every single American has a job. There are many factors that can contribute to unemployment and not all of them have to do with an employer closing or employees leaving for different opportunities. Today, it’s time to rethink unemployment because there are other jobs created by technology that may make it easier for people to move up without having to always stay with one company.
The unemployment rate in the United States
In the United States, the unemployment rate has been on a downward trend for over 30 years. The national unemployment rate falls to about 4% in April of each year and stays at that level until about November, then it climbs back up to about 5%. Economists have argued that this pattern is what most economists call “the natural rate of unemployment,” which is a theoretical state where businesses can always find workers. However, as the population ages and more people stay in school longer, many argue that there’s a significant risk of this natural rate being exceeded.
The unemployment rate in the US is at a 20-year low after reaching an all-time high during the Great Recession. The unemployment rate has been consistently falling since its peak of 10% in Oct. 2015, but there are still many people who struggle to get work despite having a college degree or relevant experience.
Unemployment in the United States and its causes
In November 2018, the unemployment rate in the United States was 4.1%. This rate is higher than it has been since 2008 and reflects a labor market that has become less productive over time. The causes of this situation include automation, globalization, and declining skillsets among workers. New solutions are emerging to address the issue of unemployment; one such solution is the Universal Basic Income (UBI).
Unemployment has been a growing problem in the United States with some estimates showing that in 2017, over 40 million Americans, or 6.7% of the population, had no job. In the US, unemployment is not a result of seasonal changes but rather a result of a larger issue: technology and automation.
How technology has contributed to unemployment
Unemployment is a complicated issue, and while it’s important to consider the factors that cause it, technology has made a huge impact on the rate of unemployment in recent years. Less people are working because in some cases, they don’t need to work either. Technology has changed everything, and given people opportunities to pursue passions or hobbies without being held down by 9-5 jobs.
One of the primary causes, according to experts, is that companies are shifting their focus to AI. They do not require as much staffing as they used to and so unemployment is becoming more prevalent because people aren’t able to find jobs in their field.
The Benefits of rethinking unemployment
In the next century, we will not be able to count on the availability of jobs with a high salary and hope for our retirement to be secure. The economy is changing and in order for us to have a continued quality of life, we must embrace the technological advancements instead of shrinking away from them.
The traditional definition of unemployment denotes joblessness in a society as a negative status; nowadays, for many people, unemployment is just another way of life. It can bring positive benefits such as finding oneself and building momentum.
Many people who have lost their jobs have turned to the unemployment system which has led to a downward spiral of benefits and decreased wages. It’s time we rethink unemployment and the way in which it should be managed.
Although unemployment is down in the U.S. from its peak after the 2008 recession, it remains at high levels in many communities and has been increasing for women, recent college grads, and minority workers. It’s time to rethink unemployment policies to ensure greater access to training and education opportunities.