In the wake of the divergence in December’s job numbers from the previous few months, President Barack Obama is about to re-campaign how to create
shovel-ready jobs in the manufacturing sector. This has been one of the key focus points of President Obama’s growth plan but has come-and-gone after his election and re-election campaigns.
President Obama said within an address in Raleigh, North Carolina, “working folks are looking for the kind of stable, secure jobs that went overseas in the past couple decades. So next week, I’ll join companies and colleges and take action to boost the high-tech manufacturing that attracts the kind of good new jobs a growing middle class requires.”
Jobs remain a top priority, he said, and the latest economic data shed light on the idea that many were too optimistic too soon. The deceiving unemployment rate is at its lowest point since 2008, but those who are not participating in the labor force is at four-decade highs with over 91 million Americans not employed or not looking for work.
The Institute of Supply Management (ISM) manufacturing PMI data has been climbing over the last several months, but December showed a slowdown from 57.5 to 57. The ISM manufacturing employment index showed a positive increase in employment from 56.5 to 56.9. Markit Economics’ manufacturing PMI data increased from 54.4 to 55 during December.
In the address, the President promised more government by creating three manufacturing hubs where businesses can collaborate with the government to create high-tech jobs (if you got a job, you didn’t earn that?). Congress was asked for $1 billion to spend on 15 such hubs across the country.
With participation rate at historical lows not seen since before women began to enter the workforce on a large-scale, the U6 unemployment rate in December was 13.1 percent, and impending employer complications with his legacy bill, the Affordable Car Act, President Obama has a long way to go.