Damn You Cesar Chavez!
Count me among those who believe there are some serious structural problems with our economy that may well force us to live with an unacceptably high level of unemployment for some time to come. Today’s Unemployment Insurance claims “unexpectedly” spiked to 484k vs. a 440k consensus, and were 24k higher than last week.
That said, week after week we’ve been treated to — let’s call them what they are — excuses as to why the weekly claims for unemployment insurance are not dropping as quickly as everyone would like.
Today, for example, we see the following (via the WSJ, sub. required):
A Labor Department economist said this latest rise can be pegged to lag effects from the spring holidays, including Easter and Cesar Chavez Day, which is celebrated in worker-heavy California.
Cesar Chavez? Really? Are you kidding me? Is the Journal being punk’d?
Thanksgiving, Christmas, MLK Jr. Day, snow storms, Easter, Cesar Chavez. Upcoming next week are Administrative Professionals Day and Take Your Children to Work Day, so fear not when UI claims breach 500k again.
Adding a clarification: In my haste to get this post published today, perhaps I sent an unintended message, and for that I apologize. My post was in no way whatsoever intended to diminish, belittle, or besmirch the life and accomplishments of Cesar Chavez. The point was to highlight the absurdity of attributing today’s jump in unemployment claims to the Chavez holiday. Isn’t this what seasonal adjustments are all about? Was it not on the calendar for all to see? Snow storms and other weather-related problems cannot be accounted for in advance. But holidays? Give me a break. Again, the point had nothing to do with Chavez per se, and I’m sorry if I was unclear about that.
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April 15th, 2010 at 10:27 am
I read that earlier and could only laugh. If we ever hear the truth again, no one will believe it anyway.
April 15th, 2010 at 10:35 am
During times of universal deceit, telling the truth becomes a revolutionary act.
– George Orwell
I read this quote yesterday in response to an article in the NYT and the author commented that “the Times doesn’t do revolutions.” We can add the WJS to that list I suppose.
April 15th, 2010 at 10:46 am
Luckily, steak and BJ day has already passed. http://www.steakandbjday.com/
April 15th, 2010 at 10:55 am
Great minds — I was thinking the same thing yesterday!
There seems to be some “support” at 450k initial claims, no?
http://briefing.com/Investor/Public/Calendars/EconomicReleases/claims.htm
Hee hee:
The jump in claims should not be taken as a sign of weakness in the labor market.
No, I think I’ll rely on the persistence of unemployment and high initial claims to draw that conclusion. Duh.
April 15th, 2010 at 11:20 am
The story that really blew the doors off of me was about Fortune 500 companies resurgance in profits, even with a significant drop in sales. Usually, the two don’t go hand in hand, but when you’ve been paring workers, 2/3rd’s of the cost of doing business for many of these outfits, you can make profits out of thin air. http://money.cnn.com/2010/04/13/news/companies/fortune_500_profits.fortune/index.htm
I really do believe that companies were looking forward to an opportunity to get rid of some dead weight, or perceived dead weight, to strengthen their bottom lines. This recession created that window to do it from. They overshot on firings, but they won’t make the same mistake on hirings.
when some blue collar guy mumbles “it’s gettin’ harder for the honest man to earn a livin’”, you can rest assured he has a firm handle on the status of our employment in this country.
April 15th, 2010 at 12:16 pm
Automation son, automation.
Something no one is talking about is automation in the larger sense and the impact on the need for people/workers. If you include things like globalization, robots, electronic controls, the internet, computers etc the impact is huge. Employers just don’t need as many people as they used to. The impact on people has moved in this country (and the world) on the quiet wings of smoke. I think we are just seeing the beginning of the impact on the economy, employment etc.
No one is talking because there are no easy answers, me thinks. Not only is the working class (including white collar workers) stressed (as seen in falling real wages) with cheap labor from Mexico, Vietnam, China, India etc., their competition also comes in the form of robots, electronic controls, computers, the internet and communications.
May you live in interesting times.
April 15th, 2010 at 12:20 pm
When are all those unemployed bastards gonna get the message?
Stop claiming damn it, we’re printing here!
April 15th, 2010 at 1:32 pm
Cesar Chavez Day makes more sense than a holiday celebrating a general who lead violent treason against the United States in defense of slavery – Robert E. Lee day is observed in 5 states.
April 15th, 2010 at 2:19 pm
We are to believe that grapes are always picked in the early spring, right after planting. August and September are used for drinking the juices from said grapes. Save us from the journalism majors.
April 15th, 2010 at 3:04 pm
They forgot “Undercover Boss” …all those attention-hungry CEOs talking to their agents means they don’t have time to freakin’ hire people.
Besides once you’re making more money than Croesus what else would be worth your time than a little Tube time?
April 15th, 2010 at 5:22 pm
This is the first I’ve ever heard that Cesar Chavez day was heavily celebrated in California. Everything was open here in LA on that day this year.
April 15th, 2010 at 7:08 pm
Cesar Chavez day is widely observed not just in California, but in most states in the Southwest — in Colorado, it’s a day off for many workers.
Thor, I doubt this would be apparent to the financial pros in California who populate this website.
Out here in the Southwest, we are astonished to see Wall Streeters suddenly gone on days we’ve never heard of…Rosh Hashanah comes to mind.
April 15th, 2010 at 7:37 pm
There are still people around who deeply appreciate and honor one who helped relieve the workload on most abused workers other than coal miners. You think you are so different, but you are clearly missing gratitude for the gifts you never earned. There’s still time for a moment of silence.
April 15th, 2010 at 10:29 pm
I love that dog whispering show. Especially that one about the dog that hated hardwood floors and would only walk on carpet. Caeser really had to work with that one, to get him to like wood floors again.
But staying home and not trying to get a job, just to see the Dog Whisperer… well, that is pretty lame.
:-)