As we are looking for the hidden deals and minefields left in the wake of ObamaCare, it is worth remembering that unemployment – the issue voters care most about — remains at record levels. This report explains:
Unemployment increased in 27 U.S. states in February and dropped in seven, a sign the labor market needs to pick up across more regions to spur consumer spending and sustain the economic recovery.
Mississippi showed the biggest jump in joblessness with a 0.4 percentage point rise to 11.4 percent, according to figures issued today by the Labor Department in Washington. Nationally, unemployment held at 9.7 percent in February for a second month and employers cut fewer jobs than anticipated, figures from the Labor Department showed on March 5.
Today’s report indicates broad-based hiring is yet to develop following the loss of 8.4 million jobs since the recession began in December 2007. Florida, Nevada, Georgia, and North Carolina set record levels of joblessness last month.
“Until we see improvement in employment in a fair number of U.S. states, it’s not going to do a heck of a lot for the recovery,” said Jennifer Lee, senior economist at BMO Capital Markets in Toronto. “The worst seems to be over, but there’s a huge amount of work to be done to create jobs. It’s going to be a long, winding road.”
This, after all, was to be the focus of Obama’s term. After the Scott Brown upset, Obama again promised a pivot to jobs. But he’s never delivered. Instead, he has championed a stimulus plan that didn’t save or create millions of jobs and a health-care plan that is already sucking billions of dollars out of employers’ coffers. Will employers — with health-care costs now to swell up and tax hikes due in 2011 — really be expanding payrolls? Unlikely.
It’s not hard to see the campaigns this fall, asking why it was that Obama and the Democratic Congress were busy placing new mandates, taxes, and fines on business while the job picture was still bleak. It will be hard for incumbents to convince voters who have yet to see any benefit from Obama’s big-government liberal agenda and a good deal of pain (e.g., seniors facing Medicare cuts, small businesses looking at tax bites, unemployed workers) that what we need is more of the same.