Unending Unemployment Is Agony, Research and Common Sense Show

Last week, we read the stories of "the 99ers," people who have exhausted their unemployment benefits and still can't find a job. This week, new research shows those stories aren't just anecdotal: those who lost their jobs due to the Great Recession largely aren't finding work again.

Rutgers University's Center on Workforce Development just released a new study "No End In Sight: The Agony of Prolonged Unemployment," following a group of people who were laid off during the recession. Researchers found this disturbing fact: of those who were unemployed in August last year, only 13 percent had found a full-time job by March.

Thirteen percent. The others? Some were lucky enough to find something part-time. Most of them were still looking, but another 12 percent had become so discouraged by the job market that they "left the labor force"  — i.e. gave up looking.

They're not job snobs either. The report says almost three-quarters of them are willing to take a paycut and even more are willing to change careers. Those who did find jobs took home lower salaries and fewer benefits.

The number of would-be workers who have been looking for more than seven months went from 48 percent to 70 percent.

The impact? People are using food stamps, moving in with family and friends, skipping medical care, racking up credit card debt and raiding their retirement savings. Not to mention the stress, anger, depression and hopelessness that many are dealing with.

The 99ers Yvonne and Doug expressed concerns last week that older workers are having an even tougher time finding work, despite their years of experience, and the data shows that's true. Younger workers had an easier time finding a new position, much more so than those over 50.

The study's authors warn that this recession is nowhere near behind us. The effects, they say, especially on the long-term unemployed, will be with us for years to come.

"Among those still searching for work — many for more than a year — are millions who have never been without a job and who have at least a college education," says researcher Carl Van Horn. "The inability of these job seekers to find new opportunities is an economic and cultural disaster."

Photo credit: Editor B