How Unemployment Effects All Of Us
People keep talking about the unemployment rate and what hiring, firing, lay-offs, commission changing, adding responsibilities, and more have to do with it.
Why? Because if they don’t, they will stay in the dark and or denial.
Here's a more detailed breakdown:
The unemployment rate is currently at 4.2%, according to NerdWallet.
Near-Term Forecast: Experts predict the rate will increase to 4.3% by the end of 2025, according to the Federal Reserve Bank of Philadelphia.
Long-Term Outlook: Some forecasts suggest the rate could reach 4.4% by the end of 2025, which would be the highest level since October 2021, according to Investopedia.
Factors Influencing the Forecast: High interest rates, which impact borrowing costs, are expected to contribute to slower job creation in 2025.
Historical Context: The current rate is higher than the 50-year low of 3.4% but still within a relatively healthy range compared to historical averages.
Recession Concerns: While the economy has shown resilience, some economists remain cautious about the potential impact of high interest rates and other factors on future job growth.
So now that you understand just a bit more about what is going on, how do you work around your career? How do you bring in money while you search for your next career? One solution is to find a job. A good solid job that you can go to work every day, do a great job and then come home. Food, manufacturing, and healthcare are running short on people. You of course may not be making the same amount of money, but you bring value to a workplace, and you bring in money.
I know you feel defeated. But the more you bring in money, the stronger your self-worth maintains. And that, my friends, is much more fundamentally important than just sitting at home waiting. This is a changed market. Employers are slow in the hiring process, recruiters are overwhelmed with all the resumes that they are reviewing, and you still don’t know why you haven’t heard from anyone regarding your resume from the perfect job you saw on LinkedIn.
This is not an easy market, but if you can add to the economy and work the jobs that are hiring, than do so. These are not long-term jobs for you, they are a way to bring in income, food on your table and maybe keep your savings, in your saving account. What does it looks like now?
Key aspects of the 2025 U.S. economic outlook:
Growth Slowdown: Many forecasts anticipate a deceleration in economic growth compared to 2024. Some estimates suggest a growth rate of 1.6% in 2025, according to Deloitte.
Potential for Recession: The possibility of a recession in 2025 is being discussed, with some analysts predicting a 50% or higher chance of a downturn. (don’t panic on this one, most are saying no to a recession)
Impact of Tariffs: The implementation of tariffs by the U.S. government is a major concern, as they are expected to raise inflation and negatively impact businesses and consumers.
Federal Reserve's Role: The Federal Reserve is expected to play a crucial role in managing inflation and supporting economic growth. Some analysts anticipate a potential rate cut in the coming months, while others believe the Fed may need to wait longer.
Inflation: Inflation is expected to remain above the Federal Reserve's 2% target, with some forecasts suggesting it could reach 3% or higher.
Labor Market: The labor market is expected to remain relatively strong, with job growth continuing, although some analysts anticipate a slowdown in the rate of job creation.
Global Economic Conditions: Global economic conditions, including a potential slowdown in global trade, will also have an impact on the U.S. economy.
I share because I care about you all. Lay-off’s suck! With the big corporations laying off the managers and more, you are allowed to feel and be in a small tizzy. But if you allow yourself to help the solution and not add to it? Now, how will you feel?
If you have questions, what if’s and more, hit me up!