The U.S. Bureau of Labor Statistics came out with a report last Friday, April 5th, 2024, Employment Situation Summary, that showed that the Unemployment rate in the USA is only at 3.8%.

However, in my opinion, this number is deceiving. The way that the U.S. Bureau of Labor Statistics measures the Unemployment rate depends on the person actively looking for at least one job during the survey. That means if the person has not been actively looking for a job in the four weeks ending in the survey’s reference week, this is not included as “unemployed”.  What this means, in reality, is that many job seekers are not included in the survey.

So, in my humble opinion, the real unemployment rate is twice or three times that number. It can be as high as 10%. It all depends on what is measured.

What Does This Mean?

Many More Job Seekers in the Market Than Being Reported

As noted above, more job seekers are in the market than reported. Applying the law of supply and demand, with more job seekers in the market, then there is much more demand for open positions. That is why you and I see some roles getting 50-150 applicants on LinkedIn. I have talked to candidates that have spent months looking for roles. This has forced them into part-time work where they take on 3-5 part-time roles to make ends meet.

On the flip side, many employers are inundated with too many choices, so they choose no one and they call NewConfig for help.

Other roles get null to five applicants of desperate job seekers who are not even qualified. Those employers call NewConfig for help, too.


Employer’s Taking Longer and Having Many More Choices

Since they know that if the current candidate does not work out, there will be many others available, many employers are taking longer to send out job offers and lowering the salary offered, too.


More Training, Certifications, and Classes

Many job seekers are taking on Master’s Degree programs, certifications, and training to differentiate themselves from other candidates. This does help set them apart, but it costs money and time.


Final Analysis

Do not believe the hypee that the U.S. Bureau of Labor Statistics issues every month. The economy is not as great and rosy as they want you to believe. I talk to job seekers and candidates every day, and I can tell you that today, employers have the edge. But do not take my word for it. Go and apply for roles yourself. Enter the market and see for yourself 🙂

By Dmitry Nulman