The MOTU strike again

[oldr_n_wsr]

Just throwing money at it will not solve the problem.

Long term benefits should be tied to some kind of retraining program (helped paid for by the gov). After a year or so of being unemployed, getting a similar job at a similar pay in a similar career may not be plausable, it may no longer exist. Too few jobs with too many applicants drives the wage down. Applicants have to lower their expectations. Jobs being replaced by technology or being moved out of your area mean less opportunities.

After 26 weeks, the applicant pretty much knows the market for his skills and it probably sucks. Tieing extended benefits to some type of retraining course(s) would help the chronically unemployed learn skills for a new career. Pay may be lower but it is most likely going to be more than the UI max.

I took almost a 20% pay cut in my current job compared to the career I had up until 2011. Not that big a deal as I was making good money. But if push somes to shove, working beats not working any day.

The medical field (all aspects from billing and coding to NA's and PA's to orderlies) is hiring. If I were unemployed I would look very closely at that. Maybe a location change is in order also for the long term unemployed. All options need to be looked at.

[Big RR]

oldr--working beats not working any day for sure, but then going from, say, a $65,000 a year job with benefits to $8.00 an hour and no benefits, even though it is working, is a pretty large step down--much more than the 20% you experienced. Face it, a lot of jobs, even for highly educated/experienced people are not that easily found; throw in being over 50 (or 60), paying for COBRA coverage, and other expenses, and we see how that $8.00 an hour will not even begin to meet expenses.

I read an article that said people can expect at least a month in the job search for every $10,000 they expect to make; more if they are older or in certain areas. The 6-9 months of UI benefits many people get doesn't even begin to cover this period.

You make good points about training and relocation, but many can afford neither, and the limits placed on the retraining grants offered in my state (both in terms of money and time) make training for many positions impossible unless you can afford to fund it yourself (and support yourself during it). Likewise, many cannot afford to relocate; the equity in their biggest investment (their home) is all but lost and they can't sell it or afford to visit another area, let alone relocate there. So they sit and live by withdrawing their 401ks; the government reaps a big bonanza on the early withdrawals, and we only delay the full effect of this situation.

I can tell you from my experience with being laid off a few years ago after a merger that there are a lot of underemployed and semi- retired people still in the same boat. I was lucky because I could go into business for myself, but I know many talented scientists still looking; people with PhDs from some of the best universities in the country, and with strings of publications and patents. some do some adjunct teaching (I do some of that myself) for very little, but many are caught between a rock and a hard place. IMHO, there is a time when you have to give up the search and do what you can, but from a national view it doesn't make a lot of sense to dump these talented people on the garbage heap or tell them to become greeters at Walmart. It makes sense to continue the benefits for a long enough time to make sure these unemployed persons actually cannot find jobs in their respective fields.

[Crackpot]

Oldr. May I point out the automotive design market? Been radically contracting for years. And has suddenly exploded in many cases beck to pre recession levels (for this industry that began around the turn of the millennium)

A lot of jobs rely on the availability of investment to start it. When you go thiugh a prolonged period (like the one we are emerging from) where there is little to no investment means there is no work to do regardless of if there is work to be done.

[oldr_n_wsr]

oldr--working beats not working any day for sure, but then going from, say, a $65,000 a year job with benefits to $8.00 an hour and no benefits, even though it is working, is a pretty large step down--much more than the 20% you experienced.

As I have posted here in the past I was a day or two away from starting an $8/hour job stocking shelves at my local stop & shop (my last salary as and EE was in the 6 figures) and I am 55yo to boot, so I do know what you speak of. My current job (as an EE) is about 15% less than what I was making at my peak (20% less when I took the job as I have gotten one raise and two bonuses since starting here in june 2012).

I am advocating that the gov, rather than just throwing money at people in the form of extended unemployment beni's, they should perhaps spend more tieing that money to retraining (fully funded maybe). In the late 70's I used CETA to get electronics training and found out I liked the field and went on to a pretty successful career (so far). CETA paid for the course (9 month in class), the books and paid me $82.50 a week. At the time there were loads of electronic technician jobs, so many that I had multiple offers a month before I graduated. Targetted retraining, (medical field?) with UI beni's linked to retraining seems to be the way to go nd money well spent

ETA
This is one of the rare times I advocate more spending by the gov (state and fed).