Fact Check: McCrory Wrong on Job Numbers

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The other day, Governor McCrory announced that North Carolina had fully recovered from the recession. However, new analysis from South by North Strategies shows that adjusting for population growth, we still need over 400,000 more jobs to be created. At the current rate of job growth that would take 5 more years. Not exactly a Carolina Comeback. From the Public News Service article about the analysis,

CHAPEL HILL, N.C. - Not everyone is buying Governor Pat McCrory's claim of success after October unemployment numbers indicated the state had recovered the jobs lost during the Great Recession. While the number of people employed last month is slightly above pre-recession levels, John Quinterno with South By North Strategies in Chapel Hill says that's not the whole story. "Just because we have the same number of payroll jobs we did almost seven years ago is not the same thing as a recovery," he says. "In no way, shape or form should that be taken as a sign we won the battle against unemployment in North Carolina." Quinterno said a healthy economy needs to add jobs to support population growth.

Analysts estimate more than 280,000 workers are not counted in the unemployment data because they have given up on finding a job. If they were included, the unemployment rate would be 12.5 percent, versus the reported 6.3 percent. Furthermore, Quinterno says North Carolina must add more than 400,000 jobs to accommodate the 11 percent rate of population growth the state has experienced since 2007. "Replacing the number of jobs lost during the recession is not enough," he says. "You have to replace those jobs and you need to be creating jobs each month to accommodate the growth and size of the workforce."

According to South by North Strategies, the state has over 28 percent more unemployed residents than it did seven years ago. 

Comments

  1. Albert Lampley's avatar
    Albert Lampley
    | Permalink
    Mr. Governor, just to remind you, your policies have no effect or little to do with NC having an uptick in the economy. President Obama and his economic advisors have created an atmosphere for growth. You sir, Pat McCory have hurt the middle class of NC by your Budget cuts and reduction of resources for public schools.
  2. CCC's avatar
    CCC
    | Permalink
    So...North Carolina announced that the recession is over in this state. <br /> <br /> The main piece of "evidence" was that there are now "more jobs" in the state than before the recession began.<br /> <br /> May I suggest that these figures are indeed correct.<br /> <br /> Why?<br /> <br /> Because many companies in the state have been chopping up ONE JOB into SEVERAL JOBS so that they don't have to pay benefits! <br /> <br /> Example:<br /> John works a 40 hour week at the widget factory.<br /> Sue works a 40 hour week at the cog plant.<br /> <br /> The companies employing John and Sue realize that they are now required to provide benefits for workers who clock in over 30 hours a week. To save money, both companies cut their employee hours in half and advertise for a new employee to take the remaining hours.<br /> <br /> John and Sue can't live off of 20 hours a week and are forced to look for another part time job. Lucky, John picks up an additional 20 hours at Sue's factory...and...Sue picks up an additional 20 hours at John's factory.<br /> <br /> 2 North Carolina jobs just became 4! Wow, what growth and recovery!<br /> <br /> Now both employees have all their hours back but must spend more on gas and no longer qualify for benefits!<br /> <br /> Way to go North Carolina!!!
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