Fed Warns The Plunge In "Routine" Jobs Won't Slow Down Anytime Soon

Tyler Durden's picture

Employment in the United States is becoming increasingly polarized, growing ever more concentrated in the highest- and lowest-paying occupations and creating growing income inequality. As the Dallas Fed explains, market changes involving middle-skill jobs in the U.S. are hastening labor market polarization. So-called "Routine" jobs have declined from 58% of employment in 1981 to 44% in 2011, while both types of non-routine jobs have expanded. The number of routine jobs declined in every recession since 1970, as did most other types of jobs. However, routine jobs always rebounded during the economic expansions that followed the recessions of the 1970s and 1980s.



This pattern changed dramatically in the three recessions since 1990. None of the routine jobs lost in these downturns came back in the following expansions.


This is a problem since middle-skill, routine jobs still account for almost half of all existing jobs; and as the Dallas Fed concludes, the pace of labor market polarization is unlikely to slow down anytime soon.


Source: Dallas Fed

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NOTaREALmerican's picture

Above average people don't do "routine" jobs,  don't these guys know anything.

Number 156's picture

What do you think they want 'Immigration Reform" for?

Its the new slave trade, and most of the 'immigrants' don't seem to get it.

power steering's picture

It's about the votes Einstein. It's not about lawn care.

ParkAveFlasher's picture

I prefer this article to the other one of the same name and content. 

ZerOhead's picture

I agree... it's newer... and newer is better.

Just like the new way they calculate GDP and the number of unemployed...

StacksOnStacks's picture

That Janet Yellen is so hot right now!

Kprime's picture

GDP, it's always New and Improved

TeamDepends's picture

They are actually not the same.  On the other one there is a typo,  it is supposed to read "Poutine".  The "first lady" has publicly declared poutine taboo, and, well, have you priced the ingredients to make real gravy lately?

Chief Wonder Bread's picture

All jobs are routine.

It's a sliding scale.

It ranges from the 'routine' to the 'poutine'.  power + routine = poutine.

Chief Wonder Bread's picture

Anyone of us could be a robot and not even know it.

You could be one.

I could be one.

The guy who thinks he's a successful Zero Hedge contributor?

There could be robots on this site right now having conversations with each other and not even know it.

The internet is a house of illusion.

TeamDepends's picture

Deckard: Suspect? How can it not know what it is? Tyrell: Commerce, is our goal here at Tyrell. More human than human is our motto. Rachael is an experiment, nothing more. We began to recognize in them strange obsession. After all they are emotional inexperienced with only a few years in which to store up the experiences which you and I take for granted. If we gift them the past we create a cushion or pillow for their emotions and consequently we can control them better.
i_call_you_my_base's picture

It's about cheap labor, and secondarily, votes.

Monty Burns's picture

It's about the votes Einstein,


It's also about wrecking the social and racial cohesion of the country.

Number 156's picture

That too, Niels Bohr,
which you touch on another issue;
They care only about themselves. They could care less if getting re-elected would destroy the lives of hard working people. 


i_call_you_my_base's picture

That's good, because 90% of Americans are above average.

zorba THE GREEK's picture

McDonalds needs to cut the shift to 6 hours and add a fourth shift.

ZerOhead's picture


Unemployment problem finally solved Obamastyle.

Salah's picture

What the Fed Res needs....what the US Govt needs....what the US economy needs....is the equivalent of another Internet.   A treetrunk with many branches.

Betcha a goddamn million dollars...the fucking US military is sitting on such a thing, right fucking now.

alien-IQ's picture

I guess that's the news the market needed to push to yet a new all time high by the close.

venturen's picture

well investment banking and trading rigged stocks is pretty routine....why did they come back?

NOZZLE's picture

Weber Grill has the nerve to sell this fucking hubcap with a wire rack inside for $30 and to top it off, manufacture it in China.  https://c7cf1aee0f9592118cd3-45a8e764187dff1857a6ffe8280848dc.ssl.cf2.ra...

So after working at your shit job as a fry cook, paying your rent, paying for your overpriced food you can somehow afford to spend $6lb on ground meat to put on this piece of junk.

power steering's picture

Shit and I'm rolling my roadkill up in bananna leaves and just throwing it in the old campfire. There's a great invention every day ya just gotta look around I guess.

lasvegaspersona's picture

if you can get your hands on bananna leaves, you could get a bananna...screw the roadkill...

power steering's picture

I don't barbie my banannas Hoss but I agree, screwing roadkill is kind of a lasVegas thaing

Deathrips's picture

Ummm...I bought one of those a couple years ago for 15$.


Still works...not as good as my hasty bake.



ebworthen's picture

I like my little hubcap but I bought it when it was made in the U.S.A. and good ground beef was $1.49/lb.

I could actually use it back then because I had a job and a house.

Now it's the George Foreman grill in the Apt., and chicken.


Baby Eating Dingo22's picture

But its a "WEBER"!! Every store has them, so it's gotta be good.

Home Despot and bLowes would never sell you crap.

With a name like Weber, it's got to be the highest quality bucket ur hard-earned money can buy

I bet that puppy will be part of of the legacy of many generations of family get togethers and good times

30 bucks is a steal. Dont be stupid. Buy them all up before you can't find them anymore

Mrs. Cog's picture

It's those routine meals people can't find that the Fed/gov should be really worried about. Only nine away from....

yogibear's picture

Most of the government jobs are routine and they keep expanding.

docmac324's picture

15.00 dollars an hour will help too..

CheapBastard's picture

That's what Steve Jobs told Barry; "Jobs ain't coming back."

Colonel Klink's picture

Lying to the American population seems to have become routine, when do they get rid of politicians, regulators, and MSM reporters?

ebworthen's picture

Well then, the FED will keep flooding the corporations/banks/insurers with endless liquidity and bailouts to ensure that the slaughter of the middle class and the polarization of society continues!

lasvegaspersona's picture

how about website page editor?...oops that job doesn't exist 

JR's picture

The oligarchs are consistently destroying good jobs in the United States, pushing corporations to go offshore or to bring foreign workers here or to flood the country with an immigration wave that pushes against available good jobs.

So, now, they are warning us that the good jobs they are taking away they will continue to take away; that it is a process set to continue.

Well, the jobs that need to be taken away are the jobs of the oligarchs, of the politicians they’ve purchased and of the voter and public trough mobs that take their marching orders from the tyrants.

If this cartel is not removed, not only will there be continued loss in jobs in America, with all profit going to the international oligarchs, but there’ll be continued loss in freedom and, soon, the final destruction of the nation our fathers built.

It is way pass time that Americans run these people out of town.  They don’t belong here, they were not elected, they took over the Congress, they took over the Presidency, and the courts, all to use for their own purposes.

And it’s time we stop taking orders from them.

Who do we mean? The people who own the printing press that prints the dollars that buy the incumbent members of Congress that expands the reach of almost every government department that floods their toadies with enough money that the cries and pleadings of the people can be ignored.

Frilton Miedman's picture



This trend benefits publicly traded companies, in turn shareholders whom represent the bulk of Americans, so it's break-even, right?

Eh, maybe not - 




Its_the_economy_stupid's picture

American Exceptionalism needs no "routine jobs" going forward.

Frilton Miedman's picture



Yep, exceptionally American engineers will figure out a way to match the productive efficiency of equally educated Chinese engineers who work for $250 a month.



Baby Eating Dingo22's picture

Well, it's not like the Fed ever spelled out what kind of jobs QE would create

Take this job and love it

Frilton Miedman's picture



You ...do ...realise that QE and global free trade are not the same ...right?

I'm thinking, hopefully, folks opposed to, say, the TPP aren't convinced that a protest outside the Fed reserve will effect changes to the TPP, or any other trade agreements.



AdvancingTime's picture

I contend all of us understand what you are saying, but your statment underlines the mess we are in. Neither policy is helping to create the longterm and sustainable kind of jobs we need.

AdvancingTime's picture

Creating jobs in a mature market should be required to pass a certain "taste" test. It should be pointed out that while America is creating jobs it is costing a huge amount. I'm referring to the massive government deficit which I feel is the fuel driving our still rather weak growth. Is it sustainable, and just as important are these the right kind of jobs and will they last?

When a job that falls outside the description of government worker fails to make economic sense it becomes a form of working welfare with the taxpayer picking up the tab. We as a country and as a society have paid dearly for each unsustainable job created through government incentives and partnerships, because of the nature of many of these jobs we might even call them temporary. More on this subject in the article below.


Bemused Observer's picture

Yeah well the Fed can let the government know that the plunge in "routine tax collections" won't be slowing anytime soon either...

AdvancingTime's picture

At the same time they can tell the government that the cost of paying people to never work again during their lifetime is going to increase sharply. The numbers don't work.