This is no time to exhale, Mr. Norris

Floyd Norris is financial writer for The New York Times and The International Herald Tribune. He covers finance and economics. Apparently, Norris believes the job drought might be over, which is an astonishing conclusion to make based on today's modestly good news of unemployment dropping from 10.3% to 10.0% in November.

It's opinions like this that allow politicians to exhale and create a false sense of things improving, making it less likely that job-creation will remain near the top of the national agenda. But in the real world, the middle-class folks I know, employed and unemployed, don't see any significant job gains on the horizon. And believe me, I contact a lot of people about work on a weekly basis in my job search. The news I get from potential employers is almost always 100% discouraging. They simply have no plans to hire.

Granted, there are the occasional tales of people going back to work, but usually at lower pay or fewer hours than they previously worked, meaning they are still struggling. That's not going to bolster the general economy much. Those folks aren't going on shopping sprees this Christmas. The jobs that are popping up are jobs with salaries that people might have made 20 years ago but can't live on today. Those lucky enough to find comparable pay to their previous jobs are more likely to save at a higher rate, meaning they aren't going to buy goods that help grow businesses that allow for more hiring. The destruction that comes from a lack of public confidence, due to companies slashing jobs, comes back to those same companies that now can't sell their products because fewer people have expendable cash. In an odd, ironic twist, companies laying off people are actually hurting themselves. They might enjoy the immediate gains that come from a lighter payroll, but the domino effect eventually returns to haunt them as products go unsold. So then there are more layoffs. It's a vicious cycle.

It's frustrating to see some businesses cutting more employees than need be because it feeds into the entire economic mess were in. I see it happening in the newspaper industry, mainly because certain companies are carrying such high debt that their once-fat profit margins are dwindling. Yet, they are still turning a profit. Perhaps not enough to keep investors and boards of directors happy, but nonetheless some publishers are making money. The unfortunate thing now is that to increase profits, they are getting rid of workers and blaming it on the recession or unions, when in fact the blame lies with the folks who ran up the debt. (Have you seen the new New York Times building where Mr. Norris works?) This quick fix has ruined careers, bogged down the economy, destroyed consumer confidence and rippled through millions of American households like an endless tsunami. There is a lack of compassion and even a shortage of patriotism in the way the workforce is being dismantled.

I would profoundly welcome feeling optimistic again, but until I see the real unemployment/underemployment rate dropping (the U6 number), and until I can get through a week or two without reading about more companies laying off workers by the dozens or hundreds, I respectfully disagree with the opinion of this particular Times columnist.

We have to keep the pressure on politicians and business leaders to find a real and lasting solution to the unemployment problem. There needs to be a greater sense of urgency from government, business and even the media. I suggest Norris walk around some Florida neighborhoods and witness the countless foreclosure signs still going up. Maybe a stroll through almost any downtown outside of New York City, where there are numerous empty storefronts, would give him some perspective. He should take a look at the empty desks that are likely abundant in his own newsroom. Tell me their is a sense of optimism in you, Mr. Norris, when more cubicles are vacated in 2010.

It's tempting to cling to any good news these days, but to imply that the drought might be over is bordering on irresponsible. I don't completely trust unemployment numbers, nor should any good journalist draw too many conclusions from this sort of data. Too many folks are falling through the cracks and not being counted by the Labor Department. If a columnist at The New York Times can't see that, well, I question his observation abilities.