Latino Unemployment Drops to Lowest Rate Since 2008, a Sign of Continued Economic Recovery
The U.S. Department of Labor’s Bureau of Labor Statistics recently released its job market data for the month of September — and there’s good news for the Hispanic demographic.
According to the Latin Post, the overall U.S. unemployment rate in September dropped to 5.9%. Among the Hispanic population, the unemployment rate dropped to 6.9%, the lowest it has been since May 2008, and a 0.6% decrease from August’s jobless rate.
As more Hispanics find work again, fewer of them may need to resort to filing for bankruptcies — especially Chapter 7 bankruptcy, which allows individuals to liquidate their debts instead of repaying them. Unemployment and unmanageable debt are two of the most common driving factors behind an individual’s decision to file a Chapter 7 bankruptcy.
Another good sign? The poverty rate among Latinos continues to decrease as well, Department of Labor Secretary Thomas Perez said in a statement.
“Things are unquestionably moving in the right direction, but we can do even better,” Perez explained. “The Labor Department and the Obama administration are working harder than ever not just to create more jobs and accelerate growth, but to strengthen the middle class and build an economy that works for everyone.”
It’s also important to note that the Bureau of Labor Statistic’s monthly jobs report doesn’t account for discouraged workers in its count of the approximately 1.74 million unemployed Latinos across the country. Discouraged workers are those individuals who are no longer actively looking for a job or who have failed to become employed after a long period of unemployment.
According to the Bureau of Labor Statistics, 13.2 million Latinos are considered as “not in the labor force” — essentially, they are discouraged workers.
So while last month’s job report brings plenty of good news for the Hispanic demographic’s economic recovery, it still highlights areas where vast improvement is needed to ensure a full comeback from the recession among Latinos.
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