Several different types of unemployment are currently affecting our country. Whether you are personally dealing with a job loss or not, it is important to be familiar with the nation's unemployment trends. Society is affected as a whole when unemployment rates rise, so you don't need to be an economist to have an interest in the subject.
Frictional unemployment is a type of unemployment that will always be present in the labor force. In the case of frictional unemployment, people are only temporarily unemployed due to a transition. A person who is moving from one job to the next, yet hasn't started with the new company yet, is an example of frictional unemployment.
This type of unemployment occurs when there aren't enough jobs to support the people who are trained in a certain field. For example, many people studied basic computer technology in the 1990s as the Web grew in popularity. However, some college graduates found that there were many people competing for the same entry-level jobs, making it a bit harder to find a desired position in the field.
As the job market and economic climate changes over time, unemployment rates will continue to rise and fall. The variable rate of unemployment that is affected by the economy is known as cyclical unemployment. During a recession, for example, the job market can't sustain as many employees.
Unemployment rates can change according to the season, as there are certain times of year when the labor force has a higher demand for workers. This is known as seasonal unemployment. During the winter holidays, for example, there are more opportunities for retail positions. This is due to the increase in shopping. Certain communities may see different trends in seasonal unemployment. A resort town on the coastline, for instance, will have fewer jobs available during the colder months.
It doesn't take a degree in macroeconomics to understand that many factors impact our labor force as a whole. While you may hear about general unemployment rates on the news all the time, it is important to understand the different types of unemployment. A shift in numbers could simply be attributed to seasonal unemployment, or it might be a sign of economic change. As you can see, there is more to our nation's unemployment rates than meets the eye.
Have questions about how to file for unemployment insurance benefits? These straight-to-the-point answers will help you get back on your feet again.
You can file for unemployment online, which can be a big relief during a recession. You won't need to waste time at the unemployment office. Instead, you can get your benefits and put that time toward finding a new job.