Unemployment trending down

Entering 2010 the U.S. unemployment rate is at 10%. Although I still find very limited prospects for hiring from most large corporations, and small businesses in the US I still expect the unemployment rate to trend down.

This is partly due to the Census entering the hiring juggernaut. The US government is expected to hire around 800,000 individuals that will bring the unemployment rate down. This will look positive on a short term viewpoint, however longer term unemployment will still be at historical levels.

There will also be increased churn among employees as they look for the economy to improve to switch companies. Rates of disgruntle have increased as hourly wages, and hours worked have been cut dramatically. Until capacity utilization reaches a peak or robust levels there will continue to be a weak demand for labour.