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Government Jobs Grow During Recession

From a seemingly surprised New York Times:

(Click to enlarge.)

Government Jobs Have Grown Since Recession

By MICHAEL COOPER

August 20, 2009

While the private sector has shed 6.9 million jobs since the beginning of the recession, state and local governments have expanded their payrolls and added 110,000 jobs, according to a report to be issued Thursday by the Nelson A. Rockefeller Institute of Government.

The report, based on an analysis of federal jobs data, found that state and local governments steadily added jobs for eight months after the recession began in December 2007, with their employment peaking last August. State and local governments have since lost 55,000 jobs, but from the beginning of the recession through last month they gained a net of 110,000 jobs, the report found, in part because of the federal stimulus program.

Government jobs are always more stable than private sector jobs during downturns, but their ability to weather the current deep recession startled Donald J. Boyd, the senior fellow at the institute who wrote the report.

“I am a little surprised at the fact that state and local government has remained as stable as it has in the nation as a whole, given the depth of the current recession,” Mr. Boyd said in an interview.

The report offered several possible explanations for the disparity between the private and public sectors. It noted that there can be a short lag between an economic downturn and the time it hits states in the form of lower tax collections, and an even longer delay before the problems hit local governments in the form of reduced state aid and lower property tax collections.

It pointed to the slow pace of decision-making in many states, and the power yielded by politically influential unions. But it also noted that the demand for many government services rises in a recession, and said that billions of dollars of federal stimulus money sent to states helped them avert layoffs

States are likely to cut more jobs this year. Many have already imposed furloughs on their workers, reducing their pay, and with states facing record declines in tax collections, several are planning to cut their work forces. The report noted that some hard-hit states had already made deep cuts, led by Arizona, which cut its state government employment by 8.6 percent from the spring of 2008 to this spring.

The disparity between the public and private sector job market is striking in places like Boise, Idaho. Since the recession began, the area’s unemployment rate has more than doubled, to over 10.1 percent in June, as big employers, especially in the technology sector, shed workers. The Boise area lost 20,000 jobs in the year ending in June, the Idaho Labor Department said, and saw real gains only in government, which had an increase of 1,400 jobs, mostly in the public schools

Well, once Mr. Obama does away with the private sector there will no longer be anything but government jobs.

So there will be no more downturns due to recessions.

Not that there will any more recession either, since Mr. Obama has already announced he will no longer accept business cycles.

This article was posted by Steve on Thursday, August 20th, 2009. Comments are currently closed.

13 Responses to “Government Jobs Grow During Recession”

  1. proreason says:

    “So there will be no more downturns due to recession.”

    Just like in the USSR!!

  2. 12 Gauge Rage says:

    Of course government jobs have grown because as the government gets bigger it needs more workers to feed that beaurocracy. I thought that was a no brainer. But since this came from the NYT what could you expect. Are Obama and his Chicago thugs going to open up a Ministry of Disinformation? Or do they already have it by another name?

  3. thetimeisright says:

    I get e-mail,s every day to work for the government in many area,s. I just don,t delete them i hit the spam button.

  4. Right of the People says:

    “Donald J. Boyd, the senior fellow at the institute who wrote the report” & “Nelson A. Rockefeller Institute of Government”

    Don’t they mean Donald J. Boyd who is a senior at Nelson A. Rockefeller High School?

    I find it hard to believe that someone who supposedly has a degree, probably at least a Masters, is surprised that employment with the gubmint is stable. From a high school senior maybe but a “Senior Fellow” at a supposedly prestigious institute?

    12 Gauge, they already have one, the New York Slimes who published this ca-ca.

  5. canary says:

    I can’t find an article I read recently, where Obama has plans to an enormous greater number of government workers. It’s Obama’s regime, the gestapo

  6. MinnesotaRush says:

    I wonder if this same “senior fellow” was amongst the batch that convinced o-blah-blah that the Public Option will drive prices down, create competition, and keep the insurance companies “honest”???

    Just aksin’ ya’ know.

    (Sidebar question – How the hell would o-blah-blah and gang recognize “honest”!)

  7. mpauline says:

    Hey Right of the People,

    Why did you write “gubmint”?

    I guess this article just means that, since the recession that started during the Bush Administration is causing so many layoffs, the amount of government jobs is a larger percentage of the economy. The Bush Administration added 200,000 federal employees just for the Department of Homeland Security.

    • Liberals Demise says:

      He could just as easily have said “REGIME!!”

    • Right of the People says:

      Because down in Tejas where many Border Patrol agents spend the beginning of their careers they pronounce “government” gubmint and for that matter, “business” is bidness. i.e. We do bidness with the gubmint and make lots of money. You tend to pick it up.

  8. canary says:

    mpauline,
    It doesn’t say anything about govt jobs becoming larging percentage wise.
    it says “have expanded their payrolls and added 110,000 jobs”

    I imagine the 200,000 Bush added for the Dept of Homeland Security, was 9/11 after pilot terrorists drove airplaines and destroyed buildings causing thousands of lives, and billions of dollars in damages.

  9. GetBackJack says:

    Just an observation …

    Irresponsible credit lending produced the economic mess we’re wading through. (there are other mitigating factors, but these would not affect us if we were a sober and responsible nation)

    Obama’s every word on the recession reflects this.

    Am I alone in wondering then, what benefit comes from ….

    1. Handing out federal dollars to incentivize even more auto sale?

    2. Handing out federal dollars to incentivize even more new first time buyers in the housing market?

    Isn’t this exactly what caused the first problem?


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