Boston, MA 02/13/2013 (wallstreetpr) – Problems for US are not ending as the new budget battle has started to decrease in the job openings. Many employees fear that the government will impose more taxes and more government cuts will lead them to a fall. So, most of the employers has stopped hiring new employees which has resulted into a lot of positions to be filled in many organizations.
The number of positions to be filled by the candidates has decreased drastically and now has reached to 3.62 million declining by 173,000. The threat of imposing more taxes has created major concern in the minds of people. Sources say that the economy will see a slow rate of advancement even in the coming year 2013 because many of the companies are still waiting to see how the new policies of payroll taxes and spending cuts go.
The stocks were booming as many investors waited for the speech of re-elected president of US, Barrack Obama.
Barrack Obama’s annual speech is due at a time when the US is facing an economical crisis and the nation is in middle of making reforms. Some of Obama’s critiques view his tenure as a wasted one as jobless rate increased from 7.8 to 7.9 in the past 4 years. However, It is also to be kept in mind that many leading industrial countries are also struggling with the same problem. Emerging economies such as India have seen a decline in industrial output in the last two months. Along with the start of a new year and a fresh tenure of President Barrack Obama, the government report on job vacancies in America was also released. The employment report shows an increase in job placements during the last two months of 2012. Per the initial revisions 247,000 workers joined payrolls during November while 196,000 workers got jobs in December. The final revisions to the reports added another 127,000 jobs to the total of two months .
Data collected from the major industries of US showed that there has been a huge decrease in the job openings, since the start of 2013. Business and professional services industries showed that there has been a decrease of 92,000 in jobs available. The only industry which showed a positive trend when it came to job openings was construction.
In the beginning of this fiscal year, Congress regress the payroll tax that fund Social Security Benefits from 6.2% to 4.2%. The new government is thinking of devising a policy to avert $1.2 trillion dollars in spending cuts.
During December, fewer people quit their jobs compared to all the months since year 2000, when Labor Department started taking a monthly log of U.S. job market. There were 2.16 million people who left their jobs in December and the number of people who quit their jobs in November was approx. 2.18 million. In
In the last year, 1.8 million jobs were created and Home Depot, Inc (NYSE:HD) was one of the companies that did most of the hiring. It plans to add 80,000 hourly and part time jobs in the coming season of housing boom. Its rival home improvements retailer Lowe’s Companies, Inc (NYSE:LOW) will also be boosting its headcount by 13%.
However, these 1.8 million jobs couldn’t get US back on its steps because the times before regression in 2007 were far better than this. In December 2007, there were approx. 1.8 persons vying for the job and now there are 3.4 persons struggling for the same job.
This job generation has brought America’s jobless rate down to 7.8% which is the lowest in the last four years. It has been studied that employment has paced up in the last three months due to expansion on the payrolls.
The shares of Home Depot, Inc (NYSE:HD) were up by 0.04% and currently trading at $67.37. The shares of Lowe’s Companies, Inc (NYSE:LOW) were down by 0.30% and currently trading at $39.67.