Clark Howard: U-6 unemployment rate tells real story of U.S. economy

If you are looking for work right now, WOKV’s Consumer Warrior Clark Howard says you have more company than you might think.

That’s as Howard says the headline unemployment rate doesn’t tell the full story. Instead, he recommends taking a look at what’s called U-6 unemployment.

“’s not just the headline number of unemployment. It’s people who have given up looking for work. They had a lot of time they’ve been out there and they say, ‘I give up.’ And then other people who are involuntarily part-time,” explains Howard.

He says this number right now in the U.S. is over 11%, meaning 1 out of every 9 Americans are not holding a job they would love to have.

Despite this number, Howard says we are faring better overall than we were just a few months ago and more relief is coming.

“We get enough vaccines in enough people’s arms and people go out and do things again that they’re afraid to do, that’s when you’re gonna see the real unemployment number come way down and people are gonna be able to find jobs again. People who have given up looking for work will come back out and get new jobs,” says Howard.

Get more consumer news and advice from Clark Howard in his latest on-demand podcasts.

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