The demographics of the unemployed – December 2019
Bottom Line: The demos of the unemployed tell a much more specific story about what's really going on in our labor market. As I do monthly, here are the government reported unemployment rates and my adjusted rate based on ethnicity:
- Asians: 2.6%
- White: 3.2%
- Hispanic: 4.2%
- Black: 5.5%
And by gender:
- Women – 3.2%
- Men – 3.2%
Here are the adjusted rates once you factor in the long-term unemployed, underemployed and marginally attached workers:
- Asians: 5.1% (lower)
- White: 6.3% (higher)
- Hispanic: 8.3% (higher)
- Black: 10.8% (higher)
After setting new record lows for black adults last month – we did see a slight uptick in rates with greater labor participation taking place this month. In fact, despite the huge jobs gains we saw a slight tick higher for all demographics except for Asians which saw huge gains in employment and further drops in their already lowest unemployment rate. Asians are far and away the most educated and generally skilled and it continues to show in the workforce. The slight increases otherwise are potentially a bit of a blessing in disguise. People who haven’t seen opportunity are now seeing it and entering the workforce. That’s about the best possible news. This has the potential to not only bridge income inequality overtime, but also help lower crime and improve local economies in more challenged neighborhoods. Additionally, it has the added benefit of taking families who’d previously counted on government assistance and creating self-reliance and the ability to improve their lives through opportunity.