LAT1 Task 5 Final 8-2-11
Paul D Burns
Western Governors University

Unemployment is a Serious Social Issue
Unemployment is the condition and extent of individuals out of work within an economy, measured by the “official” unemployment rate (U-5). This measure is the number of unemployed workers divided by the total civilian labor force. As of June the “official” unemployment rate stands at 9.2%. What is rarely reported, and even more ominous, is the underemployment rate. This rate includes two groups that are not considered in the official unemployment rate: discouraged and part-time workers (U.S. Congress, 1986, p. 12). As of June 2011 the U-6 rate stands at 16.2%. There is evidence that underemployment is pervasive in the United States. Some types can be measured more easily than others but it is apparent that many Americans are underemployed (Meyer, 1985, p.20) and because that figure is rarely ever spoken about, the costs, hardships and extent of unemployment are not fully reported or understood (U.S. Congress, 1986, p. 12). Recent studies suggest that unemployment has become a serious social issue in the United States due to the under-reported unemployment rate, the increase in financial hardship to American families, and the policies of government.

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When we do not include individuals who are discouraged, or those working part-time in the “official” unemployment rate, we are underreporting the true extent of unemployment, and creating various socioeconomic problems. Exactly what is the definition of underemployment? In developing a definition of underemployment three elements are essential and should be considered: hours worked, skill utilization and compensation. If a person is willing, available, and able to work full time who is working less than 35 hours per week they are considered underemployed. Likewise, workers that are employed at jobs that