Department of Labor Today: People with state and federal unemployment insurance jumped to 31.5 million, the worst of all.
Bureau of Labor Statistics today: 4.8 million jobs created, unemployment fell by 3.2 million.
BLS underreported unemployment at 13.7 million, based on data from the Labor Department. What is happening is irritating. Read and shrink.
By Wolf Richter for WOLF STREET.
Typically, the employment report from the Bureau of Labor Statistics is released on the first Friday of the month. And the unemployment claims report is released every week on Thursday. But this month, the monthly jobs report was also released today due to the weekend of July 4. And now we have this delightful situation from both reports on the same day, with unemployment insurance data from the Department of Labor (people who actually receive unemployment benefits under state and federal programs) calling the report-based survey of the Office of the Liar a liar. Labor Statistics. And we will review them.
What the Department of Labor reported today:
The total number of people who continued to receive unemployment compensation in the week ending June 27 under all state and federal unemployment insurance programs, including concert workers, increased by 937,810 people in the week, to 31.49 million (not seasonally adjusted), the highest, worst, and most heartbreaking ever:
The number of people receiving state unemployment insurance (blue columns in the table above) has essentially been flat for three weeks (increased this week), as many people got their jobs back while many other people were recently laid off. But the number of people participating in federal unemployment programs, including concert workers (red columns), has skyrocketed.
What the Bureau of Labor Statistics reported today:
Incredibly, given the record number of unemployment insurance beneficiaries, the Bureau of Labor Statistics dared to claim that the number of unemployed fell by 3.2 million in June to 17.8 million, after having dropped incredibly by 2 , 1 million in May, which makes it a decrease of 5.3 million in two months. The BLS claims to have obtained these numbers through its household surveys.
Given that a record 31.5 million people were receiving state and federal unemployment insurance benefits in the past week and that this record number of people were actually unemployed, according to the Department of Labor, the BLS is now underemployment of at least 13.7 million people (31.5 million less 17.8 million). What a sad joke:
Along the same line of nonsense, the BLS, based on employer surveys, reported this morning that the number of jobs increased by 4.8 million in June, despite continued announcements of mass layoffs, after increasing by 2.7 million in May. , for a total of 7.5 million jobs added to the network since the April low. Which means that even when millions of people are laid off each month, many millions more people are getting their jobs back or getting new jobs, according to the BLS.
This goes against the record of 31.5 million people who now receive unemployment insurance under state and federal programs.
The details of the Department of Labor:
Meanwhile, the number of newly laid-off people who filed their initial unemployment claims at state unemployment offices in the week ending June 27 was 1,427 million initial claims (not seasonally adjusted), slightly less than last week but slightly more than two weeks ago. This is the weekly influx of new unemployed who applied for state unemployment insurance.
This influx of new unemployed under state programs has now been in the same range for the third consecutive week with no further improvement. Therefore, layoffs have continued with the same ferocity, more than double the maximum magnitude during the unemployment crises in 1982 and 2009, during the last three weeks:
The number of people who continue to claim unemployment insurance after filing their initial claim under state programs at least a week ago – the “insured unemployed” – increased by 266,351 people to 17.92 million in the current week
This increase of an additional 266,351 “continuous claims” under state programs indicates that more people are being laid off and added to the “insured unemployed” than were called back to work. These people are represented by the blue columns in the first box above.
Also, people who receive federal unemployment insurance.
Pandemic unemployment assistance (PUA), which covers concert workers: 839,563 initial claims they were prosecuted by 47 states in the week ending June 27.
Three states have yet to figure out how to process these federal PUA claims, so they are still affecting their workers. But this is lower than last week’s four states: Georgia, New Hampshire, and West Virginia are the remaining remnants. Florida has finally figured out how to do this and has processed its first batch of PUA claims this week (28,380).
Total, 12.85 million workers continued to receive unemployment compensation under the PUA program, an increase of 1.79 million over the previous week. Concert workers now represent 41% of all people on the state and federal unemployment lists.
Pandemic Unemployment Emergency Compensation (PEUC), covering those who have exhausted all rights to regular state and federal unemployment insurance: Total continuous claims fell to 749,703. But 13 states have not yet processed any claims under the PEUC program, including Florida.
Other federal unemployment programs They include federal employee claims (marked up to 14,645 continuous claims) and newly discharged veterans (marked up to 12,637 continuous claims).
These unemployed in all combined federal programs, and in some other programs, are represented in the red columns in the first table above.
Official data chaos: BLS outdoes itself with its BS
So now, the Labor Department reported this morning that the total number of people with unemployment insurance in all state and federal unemployment programs, including concert workers, increased by 937,810 people to a record 31.5 million.
At the same time, the Bureau of Labor Statistics wanted us to believe everywhere that the number of unemployed people fell by 3.2 million in June to 17.8 million.
The difference between those who actually receive unemployment insurance (31.5 million people) and those who according to BLS are unemployed has today exploded to 13.7 million. In other words, the BLS has underestimated the number of unemployed of at least 13.7 million people.
No one knows how many jobs were created online, but it was not 4.8 million, since the BLS tried to make us believe, or even a smaller positive number, but a negative number, with more jobs eliminated online, because the The number of people still receiving unemployment insurance since the end of May has increased by 1.3 million people., according to the Department of Labor.
The BLS has outdone itself in the BS generation. I do not know if it is under political pressure to produce this BS or if it is simply incompetent with a large part of its staff that is not working properly due to the pandemic. Whatever the cause, the BLS has lost all remaining credibility with this report and has completely collapsed.
Of course, the terrible unemployment data released today by the Labor Department had virtually no time to issue. And the bogus BLS BS triumphed, so to speak, all news coverage.
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