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Reporter's Notebook: Meeting the Long-Term Unemployed

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Mitchell Hartman filed this Reporter's Notebook for his Marketplace series "Help Not Wanted"

The first thing I did when I got the assignment to go to Chicago for a week of reporting on unemployment, was to call one of my oldest friends in the world. When we were little, we lived in the same crummy apartment building in East Rogers Park on Chicago's North Side.

She's all grown up now, owns a nice big apartment in Evanston, and has an executive-level job at one of Chicago's premier academic hospitals. I asked her if she knew anyone who was unemployed. "Not really," she said, after a long pause. "Not that I can think of, anyway."

The next day, she called me back. She'd thought of some. Quite a few, actually. Two people in her building--both middle-aged professionals, out of work for months and months already. And then some parents at her kid's school. Her colleagues at work knew a bunch as well.

The long-term unemployed were coming out of the woodwork.

And Illinois certainly has its share of them, with the 8th-highest unemployment in the nation. At 11.2 percent, it's worse even than my struggling home state of Oregon.

Long-term unemployment a national trend

But really, we could have gone anywhere to find high, persistent unemployment. As one economist told me, long-term unemployment is now off the charts. Nearly half of unemployed people (46 percent) have been job-hunting for 27 weeks or more -- the highest percentage since the Bureau of Labor Statistics began keeping track in 1948.

The typical job hunt is now 35 weeks -- that's more than eight months. Again, a record. There are five job-seekers for every available job. Before the recession it was less than two-to-one.

The effects of long-term unemployment

And unemployment--especially when it lasts a while -- hits like a brick.

I've seen this in the parents at my kids' school. We know high-tech workers, architects, urban planners, nurses, teachers, technical writers -- all out of work for a year or more. In some families, both parents have lost jobs. I found the same pain -- and shame -- in the voices of middle-class workers I met in Chicago who have lost jobs and had no luck so far finding new ones.

One night around 2 a.m. I stumbled on a weird scene. As rain pelted down, spotlights shown on workers in hard hats hanging from struts a hundred feet in the air. They were upgrading a section of railroad bridge over the Chicago River. It seemed like hard, harsh work, and the hours were lousy. Several men came over and said it was pretty good, actually: the first construction jobs -- the first jobs -- they'd seen in over a year.

The youngest job-seekers are really taking it on the chin in this so-called "recovery." I met a dozen graduates at Loyola University Chicago who are frankly freaked out at their job prospects. Most don't have anything you'd call the on-ramp to a career lined up for the summer or fall. The lucky ones are working retail or behind the bar. At least they won't have to sponge off their parents. Or they can't. One told me whatever the job market holds, she's "off the parental payroll" now.

Unemployment dreams and versus

I hit a rich vein when I asked them about their dreams -- nightmares, really. One told me she dreamed she was a barista -- but the espresso machine was in Brazil. And she didn't speak Portuguese. People were yelling orders at her, and she couldn't understand a word. Click on the audio links in the sidebar above to hear some more of those job dreams and unemployment nightmares.

If you have one, I'd love to hear it. You can post in in the comment section below.

At Columbia College in downtown Chicago, I found a scrappier scene -- poetry students poetry -- slamming at the school's start-of-summer arts festival. I asked them to pen me some spontaneous verse about unemployment. Again, you can listen to what they came up with by clicking on the audio links above.

The new frugality

I got a tour of one 48-year-old woman's rental apartment in the suburbs -- a "frugality" tour, she called it. She showed me the fancy Vita-Mix juicer she bought -- at Goodwill. The cashmere sweaters she got at a thrift store. The TV that doesn't have cable anymore.

Earlier in her life she might have been ashamed at showing this new lifestyle to a stranger. But now she takes pride in it. After decades of paying her own way, putting herself through college, working hard and never being idle, she's been unemployed for more than a year. She's taken the opportunity to go back to school and get a Master's in counseling. She now volunteers to help women at a domestic violence shelter prepare resumes and go out to look for work. But she hasn't found any herself. And her unemployment's about to run out.

I dropped in on a roomful of part-time sessional academics sipping tea and eating pastries at the Russian Tea Time restaurant downtown, as they were tutored by union organizers on the fine points of applying for unemployment benefits.

Many of them have been offered fewer classes to teach -- and no summer work at all -- because schools are cutting back. All have Master's degrees or Ph.D.s. One told me she left a career in the insurance industry to teach writing because she thought an academic job would pay about the same and enrich her life more. But there aren't many tenure-track jobs, and there's a lot of competition.

A hard bounce back

There are those who say that if unemployed people really wanted to work badly enough, they'd find something -- minimum-wage fast food or mowing lawns or odd jobs under the table. Some economists argue that the higher the unemployment benefits, and the more they're extended, the less likely people are to feel the pain of true destitution and take whatever they can get.

And it's true, people do hold out for something better when they've still got an unemployment check coming -- even if it's not nearly what they used to make and doesn't pay the bills. But I wonder -- should people take whatever they can get; settle for work that doesn't pay a living wage; doesn't interest, or stimulate, or inspire them in the least? That doesn't utilize their education, or skills they've built up over years or decades? And that won't likely lead them anywhere but to more low-wage monotonous work down the road?

Many of the long-term unemployed people I've met in my reporting are still holding out, still hoping for something better. Or at least for something halfway decent. They still seem to believe that's what work is all about. But they're running out of time.

About the author

Mitchell Hartman is the senior reporter for Marketplace’s Entrepreneurship Desk and also covers employment.
Ed McKernan's picture
Ed McKernan - Jun 27, 2010

We should all reach out and share what we have with the sick, homeless, and poor. Even the unemployed should seek to be a volunteer, with time or money, or both.

Julie Weber's picture
Julie Weber - Jun 18, 2010

I am one of the many that decided (after nine months of job-searching) to take on some part time jobs that don't pay nearly enough to live on. I sometimes work 60 hours a week and bring home less money than I did when I was collecting unemployment. Laziness aside, it doesn't make sense to put yourself in an even worse financial situation than you might be in after losing your job and getting about half (of significantly less than half for some) of your previous income. Let people think you're lazy... if taking a job means you will be even more destitute then don't do it. Also, the long term effects could be catastrophic. Imagine working at this level long-term because potential employers see you were making a certain wage and base their offers off of your $9.00/hr retail job rather than the 50K you were making before. Just my two cents! ~Julie
jewliweb.wordpress.com

T Ewing's picture
T Ewing - Jun 18, 2010

My brother, although technically working, still counts himself in the ranks of the long term un(der)employed. He lost his mid-level management job two years ago following a heart attack. He took unemployment for a while, and searched high and low for a new job with a similar pay rate. Unfortunately, he was only able to land a job that paid him so much less than his previous job that he lost his car, and his dignity, and has had to declare bankruptcy in the process.

Daryl Reece's picture
Daryl Reece - Jun 18, 2010

Peggy, I'm glad to see that someone else has observed that when "they" say there is a shortage, you should run away. When I was just out of school, I kept hearing "them" say we had a shortage of PhD engineers, so I took the plunge and went back. The slots in academia are limited and industry doesn't really want those high $ engineers. They like the cheap outsourced engineers.

Gary Dare's picture
Gary Dare - Jun 18, 2010

I can't fathom the accusations that some people are cruising on unemployment, when you're getting maybe a quarter of your old pay and, if you have any horse sense, severely downsize. Since there is a cap, those who were well off are probably making less than a quarter or a fifth, and senior executives had long job searches even in a good economy.

Katy Dermody's picture
Katy Dermody - Jun 18, 2010

I was laid off in Oct., 2008. I sent out over 2,000 resumes in 1 month. Received 4 interviews, 2 offers. Took the better offer, even though it was almost a 40% cut in pay. Am now glad I did since the other folks laid off at the same time still haven't found a new job. I never thought that unemployment could be a crutch until I read your story. Now I wonder - if I had tried to hold out for a "better" offer I would probably still be out of work.

Christine Coleman's picture
Christine Coleman - Jun 18, 2010

Great story you capture the real feelings and experience of the unemployment effect on Chicagoans.

Peggy Duffy's picture
Peggy Duffy - Jun 18, 2010

I quit a job at a gas utility company five years ago to go back to school for nursing, as there was a "nursing shortage." The nursing shortage has turned into a nursing glut, and I have been unemployed for four months, so far. I'm considering a cardiac monitoring tech job that will not satisfy the nursing board requirements for 400 nursing employment hours every two years in order to maintain a nursing license.