Jobs report: More people went on disability than got jobs in June

posted at 1:46 pm on July 6, 2012 by Ed Morrissey

Here’s a fun tidbit that I missed from the June jobs report.  Most months, the number of people transferring out of the workforce on disability claims are easily dwarfed by the people who find jobs.  In June?  Hope and change, baby:

More workers joined the federal government’s disability program in June than got new jobs, according to two new government reports, a clear indicator of how bleak the nation’s jobs picture is after three full years of economic recovery.

The economy created just 80,000 jobs in June, the Bureau of Labor Statistics reported Friday. But that same month, 85,000 workers left the workforce entirely to enroll in the Social Security Disability Insurance program, according to the Social Security Administration.

As Investors Business Daily further notes, that isn’t the exception in the Obama recovery, but the rule:

The disability ranks have outpaced job growth throughout President Obama’s economic recovery. While the economy has created 2.6 million jobs since June 2009, fully 3.1 million workers signed up for disability benefits.

I discussed this with economist John Lott, co-author of the book Debacle: Obama’s War on Jobs and Growth, and What We Can Do Now to Regain Our Future, along with Grover Norquist.  Lott explains that as people run out of jobless benefits after the two-year cycle, they look to transfer to a more permanent subsidy.  These people have given up hope of finding any kind of work in the future, and probably for good reason; two years without a job makes skill sets erode, and creates anxiety among employers who are definitely in a buyer’s market in terms of labor needs.  John explains further why this report is most certainly not a “step in the right direction,” and explains why American unemployment is now actually worse than in Europe:

John Lott on the new jobs numbers by cptned

 

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It’s not that new. Unionized public sector workers claim disability in the last year of employment to sweeten their already lavish retirement benefits with sweet sweet disability benefits.

gwelf on July 6, 2012 at 2:06 PM

Yep, even though they are also working as much overtime as possible in the last year or two because it counts toward pension calculations.

slickwillie2001 on July 6, 2012 at 3:49 PM

I have a disability in that I have to wrap my head in duct tape to keep it from exploding when I read this stuff. I should be compensated for this affliction.

Buttercup on July 6, 2012 at 3:50 PM

pilamaye on July 6, 2012 at 2:28 PM

Those jobs that you mentioned there are plenty, but they are beneah the Julias of this land…I mean waiting tables, washing dishes,fllippig burgers sounds like real work….ewwww….Julia is mot endorsing this exploitative stance….

jimver on July 6, 2012 at 2:37 PM

You both got that right. My 19 year old son is a year out of high school and has had no trouble finding new jobs when he wanted one. In the last 3 years (including high school), he’s had 1 job at an ice cream shop, 2 jobs as a waiter (at the same time), and now works at a Costco full time for over $11 / hour. He makes almost as much as my wife does with a Masters degree working in the public library.
The jobs exist for people who would rather work to earn a living than collect a gubmint check. But sometimes you need to be willing to step down a bit to take what’s available.

dentarthurdent on July 6, 2012 at 3:58 PM

That IBD Factoid about Jobs vs. SSDI in June is the most devestating piece of info to come out today. Romney’s people are idiots if they don’t make an add out of it.

AYNBLAND on July 6, 2012 at 4:04 PM

Alms for an ex-leper.

Buttercup on July 6, 2012 at 4:12 PM

I agree that this needs to be used by the Romney campaign, along with the fact that food stamp use has exploded. Be sure to include the tidbit that “mountain pride” and self reliance are to be discouraged.

tj4osu on July 6, 2012 at 4:17 PM

Oh, i’m sure they won’t look at any of the Romney job reports very closely and let him blame Obama for everything.

Wagthatdog on July 6, 2012 at 4:38 PM

If Romney wins he “inherits” twice the mess Obama did so he gets to blame Obama twice as long as he is blaming Bush right?

Wagthatdog on July 6, 2012 at 4:39 PM

President Obama clearly stated it won’t be fixed overnight. The question is how long does he consider overnight? If 3 1/2 years isn’t overnight then what is? 8? 9?

Wagthatdog on July 6, 2012 at 4:41 PM

There are too many people that still work that are getting disability…I asked one woman whose husband is on disability what he is doing now and she said building a barn! Being naive I asked what for and she said for all his new farming equipment! No kidding!

DanaSmiles on July 6, 2012 at 3:47 PM

Isn’t this emblematic of the Obama era? Free stuff for everyone! That woman who swooned over the election of Obama because she wouldn’t have to worry about the price of gas or her mortgage anymore. The guy building his barn doesn’t have to worry about the price of gas or his mortgage either. Obama is paying. (Ha. Taxpayers are paying.)

Paul-Cincy on July 6, 2012 at 4:46 PM

lorien1973 on July 6, 2012 at 2:24 PM

G4tv? Never seen it. Heh, I’ll have to beam it up.

petefrt on July 6, 2012 at 5:29 PM

..wa-a-a-y late to the dance on this one, but I gotta say this: fast forward to the first Friday in October; two more of these dog sh|t reports for July and August come in and then, all of a sudden, September is a real screamer at — say — 179,000 jobs.

Wanna bet this over-used disclaimer evaporates from the WH web site like dew in the morning sun?

The War Planner on July 6, 2012 at 6:39 PM

crap-doodle, I forgot the associated comment:

The White House’s official response to the terrible numbers today is the same excuse they’ve used over 30 times now: “it is important not to read too much into any one monthly report.”

poorrichardsnews on July 6, 2012 at 1:50 PM

..think I’ll have a nice lie-down.

The War Planner on July 6, 2012 at 6:40 PM

The White House’s official response to the terrible numbers today is the same excuse they’ve used over 30 times now: “it is important not to read too much into any one monthly report.”

poorrichardsnews on July 6, 2012 at 1:50 PM

Little Bammie’s 2012 DNC Convention speech: “It’s important not to read too much into the last four years…”

slickwillie2001 on July 6, 2012 at 8:14 PM

That IBD Factoid about Jobs vs. SSDI in June is the most devestating piece of info to come out today. Romney’s people are idiots if they don’t make an add out of it.

AYNBLAND on July 6, 2012 at 4:04 PM

Romney’s not showing me a lot of aggressiveness as far as going after Obamugabe. Big disappointment.

8 weight on July 6, 2012 at 8:23 PM

That IBD Factoid about Jobs vs. SSDI in June is the most devestating piece of info to come out today. Romney’s people are idiots if they don’t make an add out of it.

AYNBLAND on July 6, 2012 at 4:04 PM

Romney’s not showing me a lot of aggressiveness as far as going after Obamugabe. Big disappointment.

8 weight on July 6, 2012 at 8:23 PM

Also little Bammie’s ‘drop your foolish pride and go on food stamps’ spots. That’s campaign-ad Gold right there, the American dream.

slickwillie2001 on July 6, 2012 at 8:58 PM

Anyone besides me envision Obama, should he get a second term, still blaming Bush in year 5, 6, 7, 8 and then making a case that the Constitution should be amended to give him a third term? (Sorry folks, didn’t mean to cause you to lose any more sleep.

HoosierStateofMind on July 6, 2012 at 10:24 PM

I guess being brainless is a disability. Having a Phd in the wrong field is useless, a tomato plant in a corn field is a weed. Having a well rounded education would be a Godsend but everyone is not mechanical, language fluent, mathematical, and the many other variables in the work force. Unfortunately many do not have the drive to be a very learned person, another variable, and unemployment is a choice rather than a consequence.

mixplix on July 7, 2012 at 5:43 PM

I look at this dude with the sign and I wonder what his degree is in. I’m finishing my disseratation in Marketing and I have a job, a good one. I have one pub, working on two.

My guess is he doesn’t want to move. If he did, he could open the Journal of Higher Learning and thumb through and find a job. I moved, and I’m working.

I don’t want to secondguess the guy in the pic, but maybe that’s the key, not the degree, but the willingness to go where there’s work.

itsspideyman on July 7, 2012 at 10:26 PM

itsspideyman on July 7, 2012 at 10:26 PM

Disregard. Testing.

thatsafactjack on July 8, 2012 at 7:26 PM

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