Good news everyone. There are plenty of new jobs being created. And by plenty, we mean hardly any.
The headline numbers for the May jobs report are about what you would expect for a New Normal economy stuck in 2% growth mode: 175,000 net new jobs last month, the unemployment rate ticking up to 7.6%. No broad signs of acceleration; just the opposite.
It’s a recovery. A recovery consisting of low end minimum jobs that the Gang of 8 Amnesty would swallow in less than 5 minutes.
And what kind of jobs are being created? As economist Dean Baker of the Center for Economic and Policy Research points out, job growth was again narrowly concentrated, with the restaurant sector (38,100 jobs), retail trade (27,700) and temporary employment (25,600) accounting for more than half of the job growth in May. Baker: “These are all low-paying sectors. It is worth noting that the job growth reported in these sectors is more an indication of the weakness of the labor market than the type of jobs being generated by the economy. The economy always creates bad jobs, but in a strong labor market workers don’t take them.”
The Obama recovery is certainly creating plenty of jobs. Get 2 or 3 while you can.