Covid-19 has ravaged employment in the United States, from temporary furloughs to outright layoffs. Currently, over 4 million Americans have been out of work for six months or more, including an estimated 1.5 million workers in white-collar occupations, according to my calculations. Though the overall unemployment rate is down from its peak last spring, the percent of the unemployed who are long-term unemployed (LTU) keeps increasing and is currently at over 40%, a level of LTU comparable to the Great Recession but otherwise unseen in the U.S. in over 60 years.
A Crisis of Long-Term Unemployment Is Looming in the U.S.
The stigma of long-term unemployment can be profound and long-lasting. As the United States eases out of the Covid-19 pandemic, it needs better approaches to LTU compared to the Great Recession. But research shows that stubborn biases among hiring managers can make the lived experiences of jobseekers distressing, leading to a vicious cycle of diminished emotional well-being that can make it all but impossible to land a role. Instead of sticking with the standard ways of helping the LTU, however, a pilot program that uses a wider, sociologically-oriented lens can help jobseekers understand that their inability to land a gig isn’t their fault. This can help people go easier on themselves which, ultimately, can make it more likely that they’ll find a new position.