Credit Score News, Tips & Advice
Website CertifiedPrivacy Protected
Credit Score News, Tips & Advice « Credit Scores > Credit Score News > Financial Trouble To Affect Thousands Of Temporary Employees

Financial Trouble To Affect Thousands Of Temporary Employees

By Sally Maison
Published: Thursday, June 24th, 2010

75939668All the while investors are already celebrating for the upbeat economy for the past few days until recently. The world market is experiencing financial trouble due to the low unemployment rates lately. And the unemployed will further cause disturbances in the economic cycle if they persist on saving their cash rather than finding other work and spending more wisely.

Private employers were reportedly hiring only 40,000 + employees according to the statistics for the month of May. This is a dramatic decline from the almost 220,000 employees hired in the month of April. So far, this has been the lowest employment figures since January of this year. This dispelled the belief that the US economy is already recuperating from the losses in the recent economic recession.

With bearish markets soon to appear, creditors are also more careful in scrutinizing who gets a loan approval and who must walk to another creditor’s office. During times of dull markets, it is important for lenders to find people who will pay back what they borrowed in the appropriate time. That is why they are now being extra careful in evaluating loan applicants who will receive loan approvals.

The effect of this is the number of decreased loan grants. With the decrease in loan grants, the sectors that will be affected gravely are the unemployed and those in the poverty threshold. While this is commonsensical knowledge, it is also to be considered that these sectors of society are the ones who need the loans most. This means that, in an unstable market like what we are having today, the most vulnerable people are those who are living in the lower levels of the social spectrum.

In order to salvage the unemployed sector from dire consequences of the unstable markets, two things can be undertaken by the government: one is to make more jobs and second is to offer more help in the form of welfare and subsidy. But the former is more preferred than the latter since it is a more proactive solution than to dole out welfare checks.

In the meantime, temporary workers are advised to find jobs on the sideline in order to have a continuous source of income. Labor agencies are partnering with private institutions in order to create jobs for the unemployed mass. Still, the Obama administration is quite behind its promise of keeping unemployment levels down to less than 10%.

No Comments

No comments yet.

RSS feed for comments on this post.

Sorry, the comment form is closed at this time.