Sunday, February 1, 2009

Nearly a year has passed since the last time Todd Wilson claimed his salary for the last time. This seller of computers Kansas was not too worried at first, as it had a strong record of work, savings and a wife with decent work.


But now, with unemployment growing around it, as the new 8000 announced this week by Sprint Nextel, which is headquartered in Overland Park, Kansas, competition for the few jobs that remain are increasing and beginning to despair installed.

"Anyone looking for work now is feeling a financial tsunami," says Wilson, 48, who claims to have exhausted the savings of his family and now spends most days looking for a job center for employment in the area. "One feels as if suddenly, everything has collapsed."


Far from politicians in Washington, in communities across the United States versions of federal economic stimulus plans and bank rescues offer only a slight hope of aid. Many workers say the steady rise in unemployment augurs a long road of hardship in the future.

Only this week, U.S. companies such as Sprint, Home Depot, Caterpillar, Texas Instruments and others announced they would reduce more than 60,000 jobs.


On Tuesday announced 10,000 layoffs. Only in January were cut more than 210,000 jobs. Last Thursday, the Labor Department said the number of Americans who applied for the first time unemployment benefits last week rose unexpectedly to a record figure of 588,000.

All this adds to the 524,000 lost jobs in December and rising unemployment in all the states that led the unemployment rate to 7.2 percent versus 6.8 percent in November, according to the Department of work.


In total, more than 11 million U.S. workers are unemployed, a jump of 48 percent over the previous year.

The figures indicate that about four candidates for every job that opens in the United States, according to Heidi Shierholz, an economist at the Economic Policy Institute, a group of experts based in Washington. The grim employment picture is in almost all sectors, he said.


"Literally, millions of workers unemployed, without hope of finding a new job," said Shierholz. "The row is just too long," he added.

The loss of jobs contributed to that consumer confidence fell down to record levels this month, said Tuesday the economic research institute The Conference Board.


A new study by the Society for Human Resource Management also found that nearly 75 percent of human resource professionals in U.S. companies are waiting for the next few months major job cuts in the U.S. labor force.

Without quick fix?


Economists say workers alike and believe that the efforts of Barack Obama for president reinvigorate the economy will take at least a year or more to renew the contracts.

"With the right package, the economy begin to grow in 2010 and the labor market will begin to rebound after some time," said Shierholz.


That's little consolation for workers and owners of small businesses in the United States, who see their livelihoods eroded at high speed.

"Less than four months to get this job and I worried it will keep," said Anna Chung, 30, who works at a small supplier of auto parts in a suburb of Detroit, Michigan, where the state unemployment rate was 10.6 percent in December, reflecting the problems of the automotive industry. "I'm scared of being next," he added.

In Overland Park, where the headquarters of Sprint dominates the landscape of this town near Kansas City, layoffs have left many tottering.

"Behind every number is a person and a family," said Tracey Osborne, president of the local chamber of commerce.

The increasing number of job losses translate into lower corporate sales of a series of trade in services and support. Tax profits are dropping and money for schools and social services is scarce.

Kyle Witherspoon owns a sports bar located in front of the headquarters of the company's extensive Sprint, and for years has served the sustained flow of Sprint employees. But now says that sales have declined due to job cuts.

This week the bar was occupied by the reservations that were made to dismiss the now former employees of Sprint, and is preparing for the possibility of losing more customers.

"You will feel the impact when people go," said Witherspoon.

In the Regional Council of the United States in downtown Kansas City, economist Frank Lenk said that for every job lost in the companies, will be lost on average two more.

"These are bleak times. People feel a lot of uncertainty for their financial security," said Lenk.

The programmer Larry Martel understands the meaning of uncertainty. He had served six months off last year before getting a job as a consultant firm in the area of Kansas. Now Martel, 50, is simply grateful to receive a check each month.

"There are people who are really suffering. Occurs where you look," said Martel. "Probably worse before improving," he said.

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