Economic Concerns as Hiring Slows Significantly within the U.S.

Recent hiring numbers have begun to see a significant slowdown within the United States this year, as employers were only capable of adding a further 142,000 jobs to the market. This provided a severe setback for the economic expansion that was never really gaining speed for most of 2014. With the ACA, Sarbanes-Oxley, high taxes, terrible regulations, America continues to shoot itself in the foot.

Recent hiring numbers have begun to see a significant slowdown within the United States this year, as employers were only capable of adding a further 142,000 jobs to the market. This provided a severe setback for the economic expansion that was never really gaining speed for most of 2014. With the ACA, Sarbanes-Oxley, high taxes, terrible regulations, America continues to shoot itself in the foot.

The labor department released a statement suggesting that the unemployment rate has seen a small decline, from 6.2% to 6.1%, as a result of further people dropping out of the workforce. However, the data that is showing up for new jobs comes in far below the estimated numbers of 200,000 and above that economists had been expecting. To many people, the evidence of a slower pace in hiring numbers could be a sign that the economy is not as strong as Americans had been lead to believe in the past.

In fact, the only people who believe the economy is doing well are in the White House.

The Impact of the News

The released data has been established as unwelcome news for residents of the White House, and the Democrats, who have been boasting about the rebound of the economy as a justification for keeping the senate securely in the hands of Democrats through November’s elections. At this point, it seems that the White House can continue to preach about recovery all that it wants, but the facts remain that the disappointing report on jobs shows that Americans may actually be taking a step backwards.

What did anyone expect with all those regulations? And Obamacare has not even hit America like it will in 2016.

In an attempt to fight back against the negativity surrounding the latest economic results, the White House announced that the economy has provided ten million jobs (this is not what nearly could have been and these are mainly part time jobs – unimpressive) in the private sector since recovery began in the labor sector in 2010. However, although this may be a sign that progress is being made, it is also a reminder that there is much more that needs to be done to create jobs, in order to:

* Grow the middle class

* Change the future for the long-term unemployed

* Improve the health of the labor market

The Economy May not be as Strong as it Seems

As the latest report shows a slowdown in hiring, the number of jobs could prompt new calculus from the Federal Reserve (FR), which is beginning to consider the best time to raise interest rates. Most investors believe that this will begin in the middle of the following year, however some members of the FR have been calling for rate hikes earlier than that, since the economy’s recovery has been described as ‘strong’. By who? Federal bureaucrats!

If the FR was not printing out money America does not have and propping up this administration, this Obama economy would be a depression.

America is Being Led by Central Planners who are not Pro-Private Sector

A few more months of less than satisfactory job creation could slow the plans for raised rates, especially if the growth of wages remains particularly subdued. Average hourly earnings have only increased by 2.1% over the last year, which is barely faster than the rapidly rising prices of services and goods. The growth of wages is far beneath the 3.5% rate that should be on par with the Federal Reserve Board’s inflation target. It seems that employees do not need to concern themselves with offering wage increases to keep workers, when net job creation remains much slower than it should be for a healthy labor market in the U.S.