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Last Updated on October 6, 2023 by Robert C. Hoopes
Title: Unseen Impact: Striking Workers Excluded from Monthly Jobs Reports
As the number of strikes in the United States reaches record highs, the exclusion of striking workers from the government’s monthly jobs reports is raising concerns. According to Cornell University’s Labor Action Tracker, over 450,000 workers have participated in 312 strikes across the country this year alone. The exclusion of these workers in official employment figures has sparked debates about the accuracy of the data.
The Bureau of Labor Statistics (BLS), responsible for producing the jobs reports, utilizes two surveys to compile employment data. One survey relies on employers reporting the number of employees based on payroll records for the particular pay period that includes the 12th of the month. If striking workers receive any pay during this reference period, even for just one hour, they are classified as employed. However, if they are not working during the reference pay period, they are subtracted from the employment level until they return to work.
This approach has significant implications for striking workers. United Auto Workers members, for instance, who were on strike during September’s reference week, were still counted as employed. However, if the strike continues through the following week, they will not be included in the October jobs report. The same applies to the ongoing SAG-AFTRA strike, which began in July and impacted employment in the motion picture and sound recording industries. The September jobs report noted its impact but may not reflect the full extent of how it affected hiring data.
The exclusion of striking workers also becomes apparent when considering the separate survey used to calculate the unemployment rate. This survey asks individuals if they worked in a given week, and data from it determines the unemployment rate. Contractors and freelancers on strike can impact these figures; if they were actively looking for work but not employed, they would be classified as unemployed. However, if they earned money through alternative means during the reference period, they would still be counted as employed.
The Bureau of Labor Statistics acknowledges that a worker who is on strike for an entire reference period and does not have a job would be classified as employed but not at work due to a labor dispute. This classification further complicates the interpretation of the monthly jobs reports and their accuracy in reflecting the true employment situation.
In conclusion, the omission of striking workers from the government’s monthly jobs reports needs reevaluation. With the number of strikes increasing, it is crucial to have comprehensive and accurate employment data that includes all affected workers. This issue particularly affects industries heavily reliant on contract workers and freelancers, as their exclusion can distort the true impact of labor disputes on employment figures.