Reason For Today's Unemployment Rate Plunge: Part-Time Jobs For Economic Reasons Surge Most Since QE1 Announcement

Tyler Durden's picture




 

We already noted the absolutely stunning surge in reported Household Survey jobs which "added" 873,000 jobs, or the most since 2003 and the second most in the past decade, which was just a little bit off the Household Survey used in the monthly NFP jobs changes, which came at 114,000, or about 8 times less. But what was the reason for this epic jump in Household survey jobs? Simple, and those who have read our series on America's transition to a part-time worker society know the answer. The reason is that the number of part-time people employed for economic reasons soared by 582,000 to 8,613,000, the most since October 2011, and the largest one month jump since February 2009, when "restoring" confidence in the economy was all the rage... and just before the Fed announced the full blown QE1 in March of 2009. Odd symmetry.

So putting it all together, what does this mean for the true state of the US economy? Recall back in September one of our Charts of the Day was the number of Unemployed and Underemployed for the month of August, which was 25.8 million. Readers may be surprised to learn that when putting it all together, in September this number increased to 26.2 million.

Q.E.D.

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Fri, 10/05/2012 - 09:18 | 2859155 PrintingPress
PrintingPress's picture

Just printing jobs!

Fri, 10/05/2012 - 09:22 | 2859178 Pool Shark
Pool Shark's picture

 

 

Yep, just change the denominator...

[Does this mean we're now counting those people waiting in line for their Obamaphone as "part-time employed"?]

 

 

Fri, 10/05/2012 - 09:23 | 2859214 spastic_colon
spastic_colon's picture

yes exactly, as well as those hired to protest at rallies, and to stand in line for AAPL toys

Fri, 10/05/2012 - 09:40 | 2859323 Stock Tips Inve...
Stock Tips Investment's picture

There is no doubt that a decline in unemployment is good for the economy. There is long way to go and many things to fix. The risks and dangers are present tambien.Sin But there is no doubt that the numbers provided are very positive this morning.

Fri, 10/05/2012 - 11:20 | 2859781 hapless
hapless's picture

"There is no doubt that a decline in unemployment is good for the economy."

I believe you are confusing cause and effect here..

Fri, 10/05/2012 - 11:43 | 2859867 Element
Element's picture

Show this employment data against income tax receipts and wages data.

Fri, 10/05/2012 - 14:42 | 2859914 notbot
notbot's picture

Hey Stock Tips, didn't you already post this comment.  Ctrl C, Ctrl V today?

http://www.zerohedge.com/news/2012-10-05/obama-mission-accomplished#comm...

Fri, 10/05/2012 - 14:42 | 2859916 notbot
notbot's picture

Good idea, I'm going to start posting all my comments twice too:

 

Hey Stock Tips, didn't you already post this comment.  Ctrl C, Ctrl V today?

http://www.zerohedge.com/news/2012-10-05/obama-mission-accomplished#comm...

 

Fri, 10/05/2012 - 13:02 | 2860104 foodstampbarry
foodstampbarry's picture

You believe the data? You're a fucking idiot.

Fri, 10/05/2012 - 13:18 | 2860171 Quantum Nucleonics
Quantum Nucleonics's picture

Wow, David Axelrod is on ZH!

Fri, 10/05/2012 - 13:21 | 2860185 knukles
knukles's picture

LOL

(discharged in 1967 under Section 8 for consuming AGent Orange and Sterno)

Fri, 10/05/2012 - 09:21 | 2859185 GetZeeGold
GetZeeGold's picture

 

 

Part time printers......WANTED!

Fri, 10/05/2012 - 10:13 | 2859490 jekyll island
jekyll island's picture

If you have three of those part time jobs, it is probably close to one full time job.  I am glad Obama pulled this one out.  I wonder why he waited so long to get the economy rolling again, isn't an election right around the corner? 

 

 

Fri, 10/05/2012 - 11:10 | 2859735 Zap Powerz
Zap Powerz's picture

Dey took er jerbs!!!!

Fri, 10/05/2012 - 09:18 | 2859161 Dr. Engali
Dr. Engali's picture

Flip them burgers bitchez!

Fri, 10/05/2012 - 09:39 | 2859310 Peter Pan
Peter Pan's picture

So let me get this straight. If 12 million full time jobs were turned into 24 million part time jobs, America would no longer have any unemployment ?

What do they take us for ?

Fri, 10/05/2012 - 09:20 | 2859169 mayhem_korner
mayhem_korner's picture

 

 

Benny's doin' a heckuva job...

Fri, 10/05/2012 - 09:24 | 2859217 Waterfallsparkles
Waterfallsparkles's picture

Yep, and there goes QE3.  He just hit his target.

Fri, 10/05/2012 - 09:25 | 2859218 spastic_colon
spastic_colon's picture

time to start raising rates!

Fri, 10/05/2012 - 09:20 | 2859170 the 300000000th...
the 300000000th percent's picture

Part time at 7 eleven =bullish= full blown recovery

Fri, 10/05/2012 - 09:22 | 2859175 lolmao500
lolmao500's picture

And is it me or people are already acting like animals in California due to the gas shortage?? Fights breaking everywhere at gas stations and lots of panic buying going on.

http://www.hurriyetdailynews.com/turkey-increases-navy-force-in-mediterr...

Turkey increases navy force in Mediterranean

Turkey is reinforcing its position in the Mediterranean Sea following the escalation in tension along its border with Syria.

A number of warships and submarines have been sent to bases in the Mediterranean from the northwestern province of Gölcük where the main base of the Naval Forces is located. The ships were fully loaded with arms labeled "war load."

Fri, 10/05/2012 - 10:29 | 2859563 fuu
fuu's picture

Were you around in the 70's with the gas lines? It was everywhere, not just California.

Fri, 10/05/2012 - 09:20 | 2859180 tom a taxpayer
tom a taxpayer's picture

The October surprise.

Fri, 10/05/2012 - 09:22 | 2859200 lolmao500
lolmao500's picture

Wait for the November surprise, it'll be even more hilarious.

Fri, 10/05/2012 - 09:20 | 2859183 imapopulistnow
imapopulistnow's picture

Data massagers jumped the shark this time.

Fri, 10/05/2012 - 09:22 | 2859198 the not so migh...
the not so mighty maximiza's picture

I get that feeling too.  Too obvious.  They are desperate.

Fri, 10/05/2012 - 11:11 | 2859739 Zap Powerz
Zap Powerz's picture

Yeah, but how many union thugs were hired at $56/hr to build that ramp used to jump the shark?

Winning!  DUH!

Fri, 10/05/2012 - 09:20 | 2859184 PUD
PUD's picture

Part time workers are eligible for free cell phonez!! I be vote fo Obama!

Fri, 10/05/2012 - 09:21 | 2859186 AC_Doctor
AC_Doctor's picture

McDonalds, 7-11 and PayDay Loans part time jobs are booming!  

Fri, 10/05/2012 - 10:16 | 2859499 jekyll island
jekyll island's picture

Don't forget Starbucks, that is some high quality production there.  My wife paid $4.50 for a pumpkin spice latte.  I think I need me one more of them part time jobs to pay for her coffee habit.  

 

 

 

 

Fri, 10/05/2012 - 09:21 | 2859189 Debtonation
Debtonation's picture

If we all get 2 jobs it will go negative!

Fri, 10/05/2012 - 09:21 | 2859195 EscapeKey
EscapeKey's picture

Lies, damn lies, and government statistics.

Fri, 10/05/2012 - 09:22 | 2859196 Gilligan4Prez
Gilligan4Prez's picture

Really?  You want me to put that where?

Fri, 10/05/2012 - 09:22 | 2859197 papaswamp
papaswamp's picture

Check out table B-1 NSA private payrolls contract by 400,000. NSA participation rate drops again. Y/Y Participation rate has dropped dramatically.

Fri, 10/05/2012 - 09:22 | 2859199 max2205
max2205's picture

Retail sock gonna MOVE....  this has to be a top....suck'em in baby

Fri, 10/05/2012 - 09:22 | 2859203 Waterfallsparkles
Waterfallsparkles's picture

So one Job is now counted as 2 Jobs.  One full time Job lost and 2 part time Jobs to replace the prior 1 Job.

Fri, 10/05/2012 - 09:23 | 2859205 saints51
saints51's picture

service industry FTW!!!

Fri, 10/05/2012 - 09:22 | 2859208 Monetary Lapse ...
Monetary Lapse of Reason's picture

Those folks that have been dropping off their 99 weeks have found it necessary to find some employment.. any employment.  Bullish!

Fri, 10/05/2012 - 09:26 | 2859227 Village Smithy
Village Smithy's picture

Big factor, I agree.

Fri, 10/05/2012 - 12:30 | 2860014 Freewheelin Franklin
Freewheelin Franklin's picture

And the ones that had been working under the table are now on the books.

Fri, 10/05/2012 - 13:21 | 2860187 Raymond K Hessel
Raymond K Hessel's picture

You kinda make sense. Good catch!

Fri, 10/05/2012 - 09:24 | 2859210 Dollar Bill Hiccup
Dollar Bill Hiccup's picture

It don't matter.

Batter up! Pass the popcorn, let's get another beer, yeah!

No one reads the fine print anymore.

Especially those who don't even know who is running for election.

Fri, 10/05/2012 - 09:23 | 2859211 PUD
Fri, 10/05/2012 - 09:30 | 2859267 taketheredpill
taketheredpill's picture

Canadian numbers were a blowout, +52,100 vs expected +8,500.

But Self-Employed made up 33,800 of these "full-time" spots, so we'll see.  Wages dropped to 3.3% yoy versus 3.8% last month which also feeds into the "employed but crappy wages" theme.

Hard to see how Canada surges from here with Europe imploding, China slowing, US dead in the water, but WTF do I know.

Keep thinking about quitting this business and becoming a landscaper, working outdoors.  Nice.

Fri, 10/05/2012 - 09:24 | 2859220 Village Smithy
Village Smithy's picture

These jobs numbers are so good that I demand Ben Bernanke resign immediately due to his reckless abuse of monetary policy! sarc.

Fri, 10/05/2012 - 09:25 | 2859223 Alex Kintner
Alex Kintner's picture

Are we now counting those guys who stand around in front of Home Depot and get hired for a day to rake your leaves?

Fri, 10/05/2012 - 09:25 | 2859224 Cole Younger
Cole Younger's picture

Seasonal workers...Christmas crap has been in stores since Agust..Pretty soon, stores will have christmas crap year round..

Fri, 10/05/2012 - 09:26 | 2859229 BandGap
BandGap's picture

This happened in West Virginia years ago. In order for the state not to have to worst unemployment in the nation the governor hired a shitload of campaign workers for three weeks. It worked! West Virginia soared to 49th in unemployment (thank you Arch Moore) just ahead of Mississippi and Arch won the governor job. Right after the election these "jobs" went away.

Fri, 10/05/2012 - 09:25 | 2859230 Everybodys All ...
Everybodys All American's picture

Part time my ass. They made the whole damn thing up.

Fri, 10/05/2012 - 09:26 | 2859233 Vashta Nerada
Vashta Nerada's picture

What is not mentioned is that these part time jobs are second jobs for people, so they can afford groceries and gasoline.

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