WP/AP: Productivity Climbs, Jobless Claims Up

[DeepModem Mom]

Productivity Climbs, Jobless Claims Up

By MARTIN CRUTSINGER
The Associated Press
Thursday, May 5, 2005; 8:50 AM


WASHINGTON -- Productivity, a key factor needed to boost living standards, rose at an annual rate of 2.6 percent in the first three months of the year, the best showing in nine months.

The Labor Department reported Thursday that the increase in productivity, a measure of worker efficiency, compared to a 2.1 percent rate of increase in the October-December quarter of last year. It was a slightly better gain than economists had been expecting and represented the fastest increase since a 3.9 percent jump in the April-June quarter of last year.

With the solid increase in productivity _ the amount of output per hour of work _ unit labor costs rose by a moderate 2.2 percent in the first three months of the year. That was up slightly from a 1.7 percent rise in unit labor costs in the fourth quarter but far below the 4 percent surge in the third quarter of 2004.

In other news, the number of Americans filing new claims for unemployment benefits rose for to 333,000 last week, reflecting a larger-than-expected rise of 11,000 benefit applications from the previous week. It was the second straight weekly increase following a rise of 22,000 the previous week.

However, the four-week moving average, considered a better indicator of trends, fell by 2,000 to 321,500 last week, a level that analysts believe shows the labor market is still improving....


http://www.washingtonpost.com/wp-dyn/content/article/2005/05/05/AR2005050500453.html

[mhr]

1. Fewer Workers Doing The Same Amount Of Work

Equal higher productivity.

This measurement is false economic indicator.

What it really measures is how much expenses have declined for big business.

[DeepModem Mom]

2. That's what the headline, if not the article, indicated to me, too! nt

[Itsthetruth]

3. Good Cartoon

[DeepModem Mom]

5. That says it -- thanks, I! nt

[redqueen]

4. Harder to fool DUers than the general public!

:hi:

[Dr Batsen D Belfry]

6. Productivity/Job Satisfaction

At some point productivity will hit a huge brick wall. Look at the related number, called JOB SATISFACTION.

What was the number of people polled who were dissatisfied with their job? Gee, I think it was well over 50%.

Most of those polled indicated the hours they were working were to blame.

Personally, I have had it. I have worked as much as 17 hours a day for 8 weeks straight. I have never made what I was supposed to be making, and my boss currently owes me nearly 1/3 of my remaining mortgage in gross salary. Add to that there are next to no jobs here.

I work full time for peanuts. I have my own business which hopefully will pay off, and I am helping my wife's business, which helps keep us afloat.

If it weren't for the fact my family is here and it would literally kill my grandparents if we moved, I would be looking elsewhere. I have already expanded my search to over 60 miles from home.

I am about 6 months from the productivity wall. If I don't find something by then, I am guessing I will be dead of a stroke or a coronary.

DBDB

[DeepModem Mom]

7. Damn, Dr, that's rough! Good luck to you, and your wife. nt

[Dr Batsen D Belfry]

8. Thanks DeepModem

but I can hardly believe we are the only ones facing this. Everyone I know is working their asses off for as much or less than before.

The advantages we have right now are
1) we don't have a variable rate mortgage
2) we have little debt
3) we just moved our kids to a new school in the fall so we won't have to go private for middle school.
4) we were smart and moved to a house in the city. I have a 20 ft commute to my living room (I work from home) and my wife can walk to work when the weather is nice. We decided several years ago when we bought that it would be cheaper in the long run to pay the city taxes (deductible) than the lower taxes and higher gas bills

DBDB