Unemployment by the numbers
Published 12:34 pm Thursday, December 20, 2018
Over the last year, there have been great stories about Virginia’s lower unemployment figures. Some about the lowest numbers since 2009, others about the lowest in x number of years, still others about how we are doing better than most other states. Currently, Virginia is below 4 percent. This is all good! Keeping this in mind, we ought to look at those numbers more closely. In our part of the state, we continue to lag behind most other regions of Virginia.
Overall, there are 427,000 people that are classified as unemployed. This number includes many that are temporarily between jobs. One of the concerns that we should worry about is who is unemployed. Those that are defined as young workers (those between the age of 17 and 25 who are not in school) make up a significant portion. Of that group, only 38 percent are looking for a job. Sixty percent are living at home which may explain why they are not working. The concept of working does not seem to be a major issue on their mind.
Another concern is that 21 percent of the unemployed are college graduates or higher. This is very worrisome. Someone has been left holding the bag for that money spent on their education. That might be any combination of family, loans, or the taxpayers. Because we do not know individual data about these folks, one can only guess that they got a degree in something that did not lead to job opportunities. As an example, five years after graduation for those who received a diploma in Psychology, the average annual income was $24,000. Clearly not enough to justify spending $60,000 to $80,000 to receive that degree.
BETTER GUIDANCE WITH DECISIONS
These two concerns — what young people are getting trained and educated for and what is motivating them — must be addressed.
When I talk to young people, I encourage them to open their eyes and plan for their future. I suggest they find something they have a passion for but then consider is it something that can support themselves and a family. If they cannot buy food for the table, it is not a career. The state publishes a report that estimates the number of job opportunities that are going to be available in the coming years and what is needed to fills those jobs. If we are training more than we need for a particular skill, then wages will be held down or one may have to move out of state. If we are not training enough with particular skills, then the market will drive up salaries.
As for the issue of motivation, to look for a job or to train for a skill, it is a safe bet that life is simply too easy living at home and getting free meals. It might be of value for parents to insist that those folks pay in some fashion for the right to live in the family home.
WHAT ABOUT THE REST
Of the 437,000 unemployed, there is one segment that has been ignored for far too long. There are approximately 25,000 individuals that fall between the cracks of the Virginia Employment Commission. They will use every day of unemployment benefits before taking a job, then work the least they can to qualify again. We can no longer sit by and let this happen. I am working with the governor’s administration in hopes that we can create a plan to get these folks into the right training and job to make them productive members of our communities. This would benefit their households by not only helping them care for their families but also to help their children understand that work is the way out of poverty.
All over Virginia we need workers, but those workers need skills at all levels. We must do a better job of matching skills and those who need jobs. Wish us luck on this bipartisan effort.
FRANK RUFF JR. serves as the 15th District senator in Virginia. He can be reached at Sen.Ruff@verizon.net, (434) 374-5129 or P.O. Box 332, Clarksville, VA 23927.