Long-Term Unemployment

Long-Term Unemployment

The lack of work for an extended period of time, often defined as six months or longer. Long-term unemployment can be extremely harmful to the unemployed person because he/she may lose eligibility for certain government benefits if he/she has been out of work for too long. Likewise, significant long-term unemployment can create a vicious cycle for the economy at large: the skill set of the long-term unemployed workers may languish or even become obsolete in some industries, which makes it more difficult for them to find work when employers begin to hire again.
References in periodicals archive ?
Europe needs far more innovative labor-market policies to spur job creation and reduce long-term unemployment, which can be particularly destabilizing for society.
Jobs data in Iran are scarce and this is one of the few studies dealing with long-term unemployment.
Redcar and Cleveland and Stocktonon-Tees also had especially high rates of long-term unemployment, among the top 10% in the country.
That translates to one in every 72 working-age people in the city facing long-term unemployment - the highest rate in England, and four times the national average.
6) Employers may view long-term unemployment as a signal of lower worker quality, thus decreasing the likelihood that a long-term unemployed person is considered for a job.
While people over 55 and those with low educational or professional skills are considered most vulnerable to falling into long-term unemployment, intermediate and high-skilled workers still struggle to find jobs reasonably quickly in economically struggling countries.
Much research suggests that long-term unemployment has a negative impact on both the supply side and the demand side.
The study compared the number of meals given annually by New York State Hunger Prevention and Nutrition Assistance Program pantries with statewide long-term unemployment per 1,000 people from 2002 to 2012.
Underlying this dire unemployment picture is the rise in long-term unemployment and an overall lengthening of the duration of unemployment spells, which are now far above their levels in previous recessions.
But while general unemployment -- which had been on the rise since 2010 -- appears to be stabilising, and even decreasing by 2 per cent in seasonally-adjusted figures since December 2013, that has not been the case with long-term unemployment.
In a series of annual time-series regressions they found evidence that a long-term unemployment term, defined as the number of those who had been unemployed expressed as a proportion of total unemployment, entered positively in a wage equation.
While today's jobs report is encouraging, many families are still struggling with long-term unemployment and wages that have been stagnant for decades.