Summary
A report from the Ludwig Institute for Shared Economic Prosperity says that 25.2% of Americans are "functionally unemployed," meaning they can't find full-time jobs or earn very low wages. This rate is the highest since June 2021 and suggests that the true unemployment rate may be higher than official numbers show. The report highlights ongoing problems in finding full-time and well-paying jobs in the U.S.
Key Facts
- 25.2% of the U.S. workforce is considered "functionally unemployed."
- This includes people who are jobless, can’t find full-time work, or earn poverty-level wages.
- The term "True Rate of Employment" (TRU) reflects this broader measure of unemployment.
- This is the highest TRU rate since June 2021.
- Official unemployment figures from the U.S. government reported a rate of 4.4%.
- The report states that Black and Hispanic workers have higher functional unemployment rates compared to white workers.
- LISEP believes the official unemployment rate does not account for low wages or reduced hours.
