I have a question for the more economically astute...

[Peacetrain]

I am putting it in this forum, because it relates to the President. The unemployment rates for state workers here in Iowa has a LOT to do with early retirement packages that were offered. They will be hiring new workers but of course at a beginning wage.

I know the last unemployment numbers last week has a spike in unemployment of government workers, while the private sector gained jobs.

Besides the wind down of the census workers.. would early retirements in other states account for more of the government workers losses?

[Hawkowl]

1. No

Retirees do not count towards the unemployed because they are no longer in the labor market. The unemployed (at least in order to be counted) have to be actively seeking a job AND had to have been involuntarily removed from their last job within an arbitrary time frame (generally within one year before the government starts calling you a discouraged worker and removes you from the rolls of the unemployed).

[TexasProgresive]

2. Everyone I know that retired early applied for unemployment comp &

got it. They are required to seek employment but nobody is hiring so they collect up to 400 a week.

Robert Heinlein wrote: You can sway a thousand men by appealing to their emotions quicker than you can convince one man by logic. It doesn't have to be a prejudice about an important matter either. Zebadiah Jones from If This Goes On AKA Revolt in 2100

[Hawkowl]

3. Interesting

I (thankfully) haven't been unemployed for about 15 years. It used to be that early retirees couldn't claim unemployment, although it varies by state. What state are you in?

[TexasProgresive]

4. Texas

n/t

[babylonsister]

5. Are you serious? They agreed to retire early, yet are allowed

to collect unemployment? Or were they forced to retire early?

[rasputin1952]

7. That's what I was thinking...

if forced into early retirement, that's considerably different than retiring after say 30 years w/o pressure to retire.

[babylonsister]

8. Considerably; I hope the poster clears that up. And even if

someone retires early, they aren't usually forced, but asked. That might have changed-I don't know.

[TexasProgresive]

9. They took incentive packages and, yes, got to file for unemployment. n/t

I think the state looks at it that they are unemployed and were not terminated. I don't know the reasoning but it is certainly the rule with my retired friends - one came by to visit and said with the extension voted in he was to start up again and get some payments retroactively.

The upshot is that they retired, went to the employment commission and filed for unemployment compensation and received it.

Robert Heinlein wrote: You can sway a thousand men by appealing to their emotions quicker than you can convince one man by logic. It doesn't have to be a prejudice about an important matter either. Zebadiah Jones from If This Goes On AKA Revolt in 2100

[babylonsister]

10. If they weren't terminated, then they didn't retire. I cannot figure

out what you are talking about.

[TexasProgresive]

11. Well yes they are terminated in that their employment ended.

THey met the requirements according to the union contract to receive pension funds due them and then they applied for unemployment compensation as they are no longer employed. It's really quite simple.

Robert Heinlein wrote: You can sway a thousand men by appealing to their emotions quicker than you can convince one man by logic. It doesn't have to be a prejudice about an important matter either. Zebadiah Jones from If This Goes On AKA Revolt in 2100

[DrToast]

6. It does and it doesn't

There are two main stats that get released the first Friday of every month. The unemployment rate and the number of payrolls.

Someone retiring isn't going to impact the unemployment rate because they have left the labor force and are not looking to be employed. (Unless they look for work after they retire from their government position, but let's assume they don't do that.)

Now the payroll report measures the number of actual jobs. So if the hypothetical person retires and the job is NOT filled with someone else, that counts as a lost job. If the person retires and the job gets filled with someone else, there is no impact on payrolls.