A frequent follower of this blog e-mailed me
this interesting article concerning unemployment:
Please read the following discussion of these
points. The link to the source is shown below:
While the unemployment situation seems to be getting better nationwide,
there are still millions who are out of work or underemployed in the wake of
one of the worst recessions our nation has seen in decades. Unsurprisingly, a
lot of research has been done on unemployment and its effects on the
unemployed, but the findings aren’t always what you’d expect. While some of
those out of work will find jobs and reenter the workforce, research suggests
that the effects of unemployment can extend for decades, harming future earning
power, success, and even the livelihoods of the children of those who are
unemployed. Here we highlight some of the most telling, shocking, and
interesting studies done on the unemployed, which demonstrate that finding work
isn’t easy nor is shaking the effect unemployment, even temporary, can have on
an individual’s career, personal life, and financial security for the rest of
their lives.
While some have a great deal of sympathy for the
unemployed, just as many are quick to point out how those collecting
unemployment are simply leeching off of all of those who still have jobs while
enjoying an undeserved break from work. Cruel, yes, but research suggests that
it’s also very much untrue. A study done by Congress’ Joint Economic Committee
found that beneficiaries of unemployment benefits actually spend more time
actively searching for work than those who are ineligible for the benefits. The
results make sense, if you think about it. UI benefits require that recipients look
for work and also provide some support that allows the flexibility required to
really put effort into finding a job.
One of the most distressing studies on unemployment
has to do with its effect on mortality. Researchers at McGill and Stony Brook
Universities found that the risk of premature death is increased by more than
63% by unemployment. While both sexes run a greater risk of premature death,
the results were amplified for men in the study, who seemed to find
unemployment even more stressful than their female counterparts. Spanning 40
years, the study found that pre-existing health conditions played no role and
that death risk was increased most for those under 50 years of age, both
troubling factors as unemployment has been skyrocketing in recent years for
young adults.
The Internet is a big distraction for those looking
for work, right? Wrong. A study released in 2011 actually found that using the
Internet to look for work actually reduced the time spent unemployed by an
incredible 25%. Researchers believe that the enormous breadth of resources
offered by websites today, especially those that allow job seekers to leverage
their personal contacts, as well as the sheer number of people using the web to
look for jobs help account for this high rate of success.
Sadly, one of the behaviors that contributes to the
increased risk of premature mortality of those who are unemployed has to do
with health care, or more precisely, lack of health care. A study by the
Commonwealth Fund found that 72% of people who lost their health insurance when
they lost their jobs skipped needed health care, preventative care, or filling
prescriptions due to cost concerns. This means that not only are unemployed
individuals involved in the high-stress situation of looking for work, but that
any health issues that present themselves as a result, even potentially serious
issues, aren’t being addressed in 72% of cases. Additionally, emergency
situations and unavoidable health care situations have caused just as many,
72%, to be saddled with serious medical debt while unemployed.
One of the saddest findings of modern research on
the unemployed exposes a connection between job loss and achievement in
dependent children, a distressing sign that could mean that the effects of the
recession last long after the economy has rebounded. Researchers at the
University of Chicago found that parental job loss had adverse effects on
children’s behavior, academic achievement, and even employment outcomes,
especially in families that were already economically disadvantaged. The
hardships caused by unemployment were found to reduce the quality of the home
environment by such a degree that long-term issues with children were
considerably more likely to develop, including acting out in class, lowered
cognitive development, and even increasing the likelihood of children repeating
a grade.
While unemployment may put strict limits on the
amount of disposable income individuals have to spend, studies have found that
that doesn’t stop the unemployed from indulging in unhealthy behaviors,
especially drinking. Health economist Michael French and a team from the
University of Miami discovered that as the economy deteriorates, heavy drinking
and alcohol dependence increase significantly, as well as the number of DUIs.
Even those studied who were still employed demonstrated more binge drinking and
drunken driving behaviors during the years of the recession, perhaps due to job
loss fears.
One of the most unfair aspects of unemployment
demonstrated in recent studies is the stigma it attaches to those who are
unemployed, making it difficult or sometimes impossible to find another job.
While this is not necessarily shocking, it is deeply saddening just how fast
this happens after a job loss. A group of researchers at UCLA found that hiring
prejudices against the unemployed start the minute they walk out of their
former jobs, with employers judging the unemployed as not as good or less
worthy than those who are employed, even if they’d lost their job only days
before. The negative associations with unemployment persisted regardless of the
reason why people were unemployed, and only when a job was lost through
bankruptcy of a company did potential employers’ views about the individual
soften. Researchers believe that about 5% of the participants’ judgment on
whether the applicant would be a good hire were based on whether he or she was
currently employed, a small but significant percentage.
Youth unemployment is at record-high levels, with
more than half of young college grads unable to find work. The effects of this
could be far-reaching, research suggests, and may have a financial and social
ripple effect that lasts for a generation. Studies have found that unemployment
at a young age sets the stage for employment and financial problems for a
lifetime. Unemployment delays gains in experience, which can lead to a loss in
wages, which can sometimes persist for decades. Additionally, those who experience
one bout of unemployment are much more likely to face future unemployment and
will face longer spells of unemployment than those who’ve never been
unemployed. It’s not fair, but it could be a fairly common reality for today’s
college grads.
An analysis of data from the 1982 recession found
that job loss due to mass layoffs caused a serious drop in earning power, often
for an entire lifetime. Immediate losses in earning power due to unemployment
were found to drop wages by an average of 30% and even after 15 to 20 years the
effects of this job loss still hovered at 20%. This drains workers’ resources
for retirement, savings, and spending alike and demonstrates the h3 and long
lasting impact that unemployment can have.
The unemployed may not just lose their jobs, a Pew
Research Center study suggests, but will suffer serious social and emotional
losses as well. In addition and in response to job loss, the unemployed also
struggle with the loss of feelings of self-respect and friendships, both of
which can increase feelings of isolation and depression and work against the
confidence needed to find new work. Forty-six percent of those unemployed for
six months or longer reported strained family relationships and 43% reported
loss of contact with close friends. Long-term unemployment takes a toll on
self-esteem as well, with 38% reporting a loss of self-respect and another 24%
seeking help for depression or other emotional issues. Even sadder? Many of the
unemployed report that they feel joblessness, even for as little as three
months, will harm their ability to achieve their long-term career goals.
Most of us could guess that time spent out of the
workforce would cause certain skills to depreciate, that’s part of what makes
it so hard for those who’ve been unemployed for a long period of time to find
work. But what you might not have guessed is that research has helped to
illuminate how even skills like reading are subject to this sort of
depreciation. A Swedish study conducted during the mid to late ’90s found that
the participants’ ability to read and make practical use of printed information
decreased proportionally to the length of time they were unemployed. A full
year of unemployment was associated with a 5% drop in skills, even those as
basic as reading.
While it’s no surprise that certain majors aren’t
exactly priming grads for the job market, just how much major affects the
ability to find work is surprising. A Georgetown University report found that
the highest rates of unemployment were found in those who have an architecture
degree, with almost 14% out of work. Architecture was followed by the arts
(11%) and the humanities (9.4%) in the number of young, unemployed grads. The
best majors? Health and education, both of which share a low unemployment rate:
just 5.4%. Yet regardless of major, the unemployment rate for college grads is
still considerably lower than that of non-college graduates. Compare these
stats: unemployment averages 8.9% for college grads, 22.9% for high school
graduates, and a staggering 31.5% for high school dropouts. Even in a
saturated, unstable job market, a college degree is a definite asset.
http://www.onlinecollege.org/wp-content/uploads/2012/08/12-Telling-Studies-Done-on-the-Unemployed.png
2012/08/16/12-telling-studies-
August 16th, 2012 written by
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Administratore very glynjordan@gmail.com out se points concerning
unemployment.
I found this article very informative. Please share with readers of this blog or
email me at glynjordan@gmail.com your opinion about these points concerning
unemployment.
Thanks. Glyn
