Katrina, Rita Cost 500,000 Jobs
The U.S. government has stated that more than 500,000 people have lost their jobs due to the devastation inflicted by Hurricanes Katrina and Rita. When the Labor Department released its weekly jobless report, 24,000 claims came from people who have been put out of work thanks to the hurricanes, bringing the claims related to the storms to 502,000 since September 3. Before the hurricanes, U.S. employment was shown to be stabilizing at healthy levels. As a whole, weekly claims for aid now seem to be falling and in the case of hurricane related claims, leveling off. Now that Hurricane Wilma has hit Florida, hurricane related claims may rise again, meaning that more people will have been put out of work. There is really no way to protect the job market from this; people have no control over the weather. This would be a hard thing to predict, but I'm just curious as to how long it will take the labor economy to stabilize again, and how difficult it will be for employees to find new jobs in the wake of the storms. Will the job market stabilize itself, or will it require much more government intervention?
3 comments:
The economy has been through hurricane-related losses in the past. The only difference in the case of the 05 hurricanes is that there are many more of them at a higher devestation. The government has always intervened with these situations, but there may need to be extra help in particular locations of devestation. So, to answer your questions my answer is that the government needs to intervene more in locations that are in high percent devestation.
I agree with the government going to the locations that have a higher percentage of devistation. We have had many devistating Hurricans before but we are not use to having a few with devistating losses in a couple months. Obviously when there is a Huricane the has caused many losses then there needs to be more help. So the government just needs to prepare for the highly devistating Huricans with more help than usual.
~Jessica Hutchison~
I believe that the job market will rise dramtically once the area gets cleaned up, and here is why. Once areas start to get redeveloped I feel that many businesses will open up to these new areas, especially businesses that weren't open down there in the first place. I think you'll see more corporate businesses and less of the mom and pop shops that are typical in small towns. Smaller business are much less likely to reopen because it would cost too much for the owners. So in the future I would expect to see a much larger job market in that area than the market that was previously there.
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