Grumpy Editor

Sharp eyes read deeper into glowing U.S. jobs report

Uppermost in voters’ minds as midterm elections near are the economy and jobs, notes Grumpy Editor, who finds keen business-oriented observers --- looking beyond bright leads on stories relating to those subjects --- often raise eyebrows.

Friday’s jobs report from the U.S. Bureau of Labor Statistics, for example, indicated the jobless rate fell to 5.9 percent in September and companies added 248,000 positions to payrolls.  That was enough to send the Dow industrials up 208.64 points (again crossing the 17000 mark) to 17009.69.

"You couldn’t ask for a better-looking jobs report,” beamed a New York-based senior economist.

But sharp eyes that continued reading the BLS report noted the average hourly wage decreased a penny in September to $24.53.

As a Wall Street Journal editorial Friday pointed out: “Average earnings have risen only 2 percent in the last 12 months, which means most workers have barely received a raise after inflation.”

Also, and not trumpeted, was the dwindling size of the U.S. labor force which dropped by nearly 100,000, putting the participation rate --- 62.7 percent --- at the lowest level since 1978.

That low rate, a measure of what proportion of the population was employed or actively looking for jobs, compared with 66 percent or slightly higher most of the time between early 2004 and October, 2008.

Although the average work week in September edged up for the first time in six months to 34.6 hours from 34.5 in August, it was still below the long-time traditional U.S. 40-hours work week.

Thus, it’s a recovery that many Americans barely feel.

Look for the next BLS jobs report on Nov. 7 --- three days after Election Day.

 

IN CASE YOUR FAVORITE NEWS OUTLETS MISSED THESE…

In-the-news Ebola emerged four decades ago.  The deadly virus that causes fever, severe gastrointestinal pain, unusual bleeding often resulting in death from fluid loss and organ shutdown, first appeared in small rural villages in central Africa in the mid-1970s…The White House continues to avoid any action to free Marine Sgt. Andrew Tahmooressi languishing behind bars in Mexico after making a wrong turn on a road into Mexico six months ago. He served in Afghanistan and later was diagnosed with PTSD. What’s the latest?  When asked at Wednesday’s press briefing, buck-passing White House spokesman Josh Earnest said, “My colleagues at the State Department are very focused on this issue. I'd refer you to them for their efforts to work with the Mexican government." Rep. Dana Rohrabacher (R-Calif.) said, "Shame on President Obama for not making a 30-second telephone call to the president of Mexico and getting this thing settled a long time ago”…Still dodging pot holes on federal roads because of lack of funds?  Mentioned in a Wall Street Journal Oct. 3 story:  “Since the end of 2001, the U.S. has spent over $100 billion on reconstruction projects in Afghanistan, according to the Special Inspector General for Afghanistan Reconstruction, a Pentagon oversight body”…Acquisition leads to trimming contributors.  Forbes.com, after a majority stake in Forbes Media (which includes Forbes magazine) was acquired by Asian investors in July, axed a number of contributors...Following a police air and ground search for a 10-year-old boy, Cameron Polom, a TV reporter on assignment for ABC Action News in Tampa, found the youngster, missing for about 14 hours, peeking through a fence…Rare humor in a serious story: “If passengers on a delayed flight from New York to Charlotte, North Carolina, got a bit crabby, no one could really say they were being too shellfish,” read the lead in an Associated Press story with a New York dateline. Delaying the Thursday evening flight from LaGuardia Airport:  live crabs that somehow got loose in the cargo hold…The New York Times plans to eliminate about 100 newsroom jobs along with a smaller number of positions from its editorial and business operations.  The action follows 100 newsroom jobs cut in 2008, 100 more in 2009 and an additional 30 early last year…Will thirsty voters be drinking to this?  Taxes on sugar-laden drinks, including sodas, are on next month’s ballots in San Francisco and Berkeley.  Measures call for a two cents an ounce tax in San Francisco and one cent an ounce in Berkeley.

Correcting a reporter who used the “illegal aliens” term, House Minority Leader Nancy Pelosi (D-Calif.) said, “Are you referring to undocumented people who are in the United States?”  The reporter replied, “Illegal aliens, yes ma’am.”  That brought Pelosi to repeat, “Undocumented people, okay.”

Media fuzziness prevails with market drop, jobs report

It was a tough two days for stock market investors and those with 401(k) plans as the Dow Jones industrial average ended the week tumbling almost 400 points from Wednesday’s level, notes Grumpy Editor.

With a steep decline of 317 points on Thursday, the White House press corps, busy focusing on other world and national matters, didn’t blink eyes or seek amplification on President Barack Obama’s dual declarations at the beginning (“the economy is getting stronger”) and toward the end (“the economy is better”) of Friday’s press conference. 

In the last 30 minutes of trading after the press session concluded, the DJ industrials fell an additional 40 points to close down 70 points for the day, ending the week at 16493.37 --- wiping out stock market gains for the year.

Meanwhile, media fuzziness showed with the monthly jobs report on Friday.  News reports used such uplifting phrases as “sturdy pace” and “most robust stretch of hiring” as the Labor Department tallied an additional 209,000 jobs in July.

Sounds good.

However, that marked a drop from the previous month’s 298,000 jobs created while 9.7 million Americans remained unemployed as July showed an uptick of 6.2 percent without jobs from the prior month’s 6.1 percent.

An interesting element missed by major media but covered by Ali Meyer, economics reporter at CNSNews.com was that the number of unemployed women 16 years and up rose by 227,000 in July while the unemployment rate for females increased to 6.2 percent from 5.9 percent.

Meyer pointed out there were 4,494,000 women unemployed in July. 

With last week’s sharp drop in the stock market, the Associated Press explained the dumping of stocks was caused partly because “a number of large U.S. companies reported poor quarterly results or forecasts.” 

“Poor” turned brighter several paragraphs later when AP answered the question on if the stock market rally is over:  “Company earnings, one of the most important drivers of stock prices, are still at record levels and are expected to grow by 8.6 percent in the second quarter, according to S&P Capital IQ.”  (The New York-based multinational financial information provider is a division of Standard & Poor's.)  

 

IN CASE YOUR FAVORITE NEWS OUTLETS MISSED THESE…

A report from Human Rights Watch and American Civil Liberties Union concluded journalists have to dig harder to obtain sensitive information because they are aware the government can track their exchanges with sources through phone, email and other records, thus leading to fewer “willing talkers” in government…Of special interest to World War II veterans who fought in Europe:  a German general will become U.S. Army chief of staff in Europe, part of the strategy to internationalize the U.S. Army’s overseas operations…Oops, wrong site: On the front page of The Wall Street Journal, a What’s News brief read, “Investigators failed to reach the crash sight of the Malaysia Air jet for a third day…NewsBusters pointed out “on Wednesday's NBC Nightly News, Brian Williams left out a key detail from his news brief about his network's upcoming live production of Peter Pan.”  The anchor announced Allison Williams will play the role of Peter Pan but omitted mention that the actress is his daughter…Gray Lady pushes pot:  In calling for legalization of marijuana, a New York Times editorial said the war on pot is worse for America than using pot, adding "the social costs of marijuana laws are vast" and "the result is racist," then urged Congress to repeal the federal ban on pot, noting the weed is "far less dangerous than alcohol”…LAObserved.com noted KABC-TV, Los Angeles, in connection with the major water main break on Sunset Blvd. near UCLA, got pranked on air by a caller who identified himself as a Los Angeles Department of Water and Power spokesman.  “He blamed the break on activity in one of the Pauley Pavilion locker rooms --- either a cherry bomb in the toilet or ‘a very large dump.’ While co-anchor Ellen Leyva pressed 'are you 100% sure about this?' a male voice could be heard mumbling 'it's a fake call'"…On the heels of slashing about 1,200 U.S. Army captains from the ranks, the Obama administration continued downsizing the military by informing about 550 U.S. Army majors they must leave the service by next spring…Also shrinking:  Procter & Gamble will jettison more than half its brands within two years, leaving it with about 70 to 80 of its top performers.

A RARITY:  T-storm delays INDOOR baseball game.   Los Angeles Angels-Tampa Bay Rays game was delayed 19 minutes in the third inning yesterday afternoon as a lightning bolt triggered a power outage at the enclosed Tropicana Field, St. Petersburg.  Angels went on to win 7-5.

 

Are things really rosy on the U.S. financial front?

Investors heralded the Dow Jones industrial average closing above 17,000 for the first time on Thursday in pre-Fourth of July trading after embracing reports of expansion in U.S. and Chinese manufacturing plus cheering the latest jobs report, notes Grumpy Editor. 

All seems rosy on the financial front. 

But one wonders why all the excitement when, as examples, the communist Chinese are bubbling along in manufacturing while the number of Americans 16 and older, who are not participating in the work force, hit a record 92.1 million last month. 

While a key focus in business reports was U.S. employers adding 288,000 workers to payrolls in June, the number of Americans without jobs and not actively seeking one --- the participation rate --- in the past four weeks is up 111,000 from April, points out Ali Meyer in a CNSNews.com report based on figures from the Bureau of Labor Statistics. 

Most news outlets were mum on the “without jobs” statistic. 

Although the unemployment rate drifted to 6.1 percent in June from 6.3 percent in April, the Bureau of Labor Statistics reported the labor force participation rate for Americans was 62.8 percent, matching a 36-year low, notes Meyer.

Meanwhile, business economics writer Tom Blumer, on the NewsBusters site yesterday in response to an Associated Press story highlighting the “humming” job market and the economy "finally showing the vigor that Americans have long awaited,” points out the AP piece never mentioned that the U.S. has shown “two straight months (April and May) of real declines in consumer purchases; the seasonally adjusted decline of 523,000 in full-time employment paired with an increase of 799,000 part-time jobs in June; April’s and May's trade imbalance coming in worse than March’s, which was already very high; shipments of durable goods barely budging in April and May; factory orders falling in May; or May’s flat construction spending.”

 

 

In case your favorite news outlets missed these…

IN THE ‘HUH?’ DEPARTMENT:  EEOC DECLARES SPEAKING ENGLISH ON JOB IS ‘DISCRIMINATION.’ Wisconsin Plastics, Inc., A Green Bay metal and plastic products manufacturer founded 42 years ago, is being sued by the federal Equal Employment Opportunity Commission for firing a group of Hispanic and Asian employees over their inability to speak English at work.  The EEOC claims the English-language requirement in a U.S. business constitutes “discrimination.”  Says Irene Garcia, of Judicial Watch:  “If you are a private company in the United States, you should be able to require your employees to speak English.”

 

MOBILE ADS SEEN SURPASSING PRINT, RADIO THIS YEAR.  Adweek reports New York-based independent market research firm eMarketer sees mobile advertising accounting for 9.8 percent of total U. S. ads this year, surpassing newspapers (9.3 percent), magazines (8.4 percent) and radio (8.6 percent).

 

ANOTHER (YAWN) BYLINE STRIKE.  Journalists and columnists at Toronto’s Globe and Mail refuse to put their names on copy as negotiations between their union and the paper’s management neared a breaking point.  Other than relatives and friends of the staffers, few readers consider missing bylines something that causes loss of sleep.

 

UNIVERSITY OF COLORADO READIES MEDIA SCHOOL. Slated to debut on the Boulder campus in the fall next year is the College of Media, Communication and Information at the University of Colorado.

 

Drivers in Los Angeles are gearing up for another major gridlock in a chunk of the city as President Barack Obama is slated to visit the area again on July 23, speaking at a DNC fundraising dinner and reception. 

Striking L.A.-Long Beach port clerks nix $195,000 package

Getting surprisingly little national coverage is the eight-day-old Los Angeles-Long Beach Harbor ports strike, triggered by about 800 union clerical workers who seek a hefty boost in their compensation package currently worth $165,000 a year, including wages, benefits and pension contributions, notes Grumpy Editor. 

With about 10,000 other union dock workers refusing to cross picket lines, seven of eight Port of Los Angeles shipping terminals are shut down while three of six adjacent Port of Long Beach terminals are closed. 

About 40 percent of the nation’s imported cargo containers pass through the dual ports.  

The shuttered terminals --- handling an estimated $1 billion of cargo daily --- are affecting the Southern California economy.  The stoppage also is delaying deliveries of goods destined to retailers for year-end holiday sales. 

Also affected are thousands of truck drivers, independent contractors who are paid per haul.

Employers mention the striking union members are the highest paid clerical workers in the U.S.   But that is not enough.  The union clerks are snubbing an offer of an 18 percent boost in a total compensation package worth $195,000 a year.

 

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UPDATE:  Just prior to the arrival of a federal mediator, the clerical workers agreed to a new contract with terminal operators last night.  Details were not disclosed.  Union members were returning to work today.

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October jobs report ups pre-election media comment

Word today that the October jobless rate ticked up a bit to 7.9 percent from 7.8 percent in September will trigger media to discuss whether it benefits President Barack Obama or Mitt Romney with Election Day just four days from now, notes Grumpy Editor. 

The U.S. Bureau of Labor Statistics reported the unemployment rate last month at 7.9 percent compares with 7.8 percent in September and 8.1 percent in August.

At the same time, BLS said employers added 171,000 jobs in October. 

That compared with 114,000 positions originally reported in September but the figure was later revised upward to 148,000. 

Bulk of October’s job creation stemmed from the services category which accounted for a  gain of 150,000, said BLS.

A month ago, with the sudden 0.3 percent drop in September’s unemployment rate from August, some eyebrows were raised. 

Most noteworthy reaction to September’s tally came from Jack Welch, former General Electric CEO who, in an initial tweet ("Unbelievable jobs numbers…these Chicago guys will do anything...can't debate so change number”) and later on television appearances, suggested manipulation. 

With today’s figures, Associated Press writer Christopher S. Rugaber noted, “Still, President Barack Obama will face voters with the highest unemployment rate of any incumbent since Franklin Roosevelt.”

Salty talk in the office grabs spot on ABC radio news

With all the happenings in the world --- ranging from a small earthquake in the Los Angeles area to pre-Olympic Games activities --- what’s a piece on “swearing at work can harm your career prospects” doing as one of the major news events heard Wednesday on top-of-the-hour ABC News on radio, wonders Grumpy Editor. 

Anyone who is on a company payroll or wearing a suit in job hunting should be well aware that repeatedly uttering naughty words is not tolerated in the business world. 

(An exception might be when brass at a major Madison Ave. advertising agency, for example, is notified it is losing a big account.) 

Yet, grabbing the attention of ABC News on a hot July day was a press release from CareerBuilder, Chicago, noting 64 percent of employers say they would think less of a worker who repeatedly uses curse words, while 57 percent say they'd be less likely to promote someone who swears in the office. 

Seeking more information, Grumpy Editor finds the Harris Interactive survey includes more than 2,000 hiring managers and 3,800 workers in companies of various sizes, according to CareerBuilder which describes itself as “the global leader in human capital solutions.” 

Noteworthy, though, is that the survey reports 51 percent of workers swear that they swear in the office.

(Perhaps that’s after they receive their paychecks.) 

Some 95 percent confess they cuss in the presence of co-workers, 51 percent say they do so in front of the boss, although workers were least likely to use expletives while facing senior leaders (13 percent) and their clients (7 percent), according to the survey.

(Saying salty words in front of a vice president is a sure way to get replaced.)

Among other survey findings in modern office culture:  Men are more likely to swear at work (54 percent) vs. women (47 percent); Washington, D.C. (home of Congress, the White House and 13,000 registered lobbyists) is the top-swearing U.S. city, and 35 to 44-year-old workers rank as the top swearing group.

 

Nevada nixes state-based ad agencies to promote tourism

Nevada-based advertising agencies are grumbling about the Nevada Commission on Tourism selecting four out-of-state finalists for a two-year, $3 million contract to sell the Silver State as a tourist destination, finds Grumpy Editor.

Eight of the 19 companies that submitted a proposal for the job were Nevada agencies. 

Getting an early nod, with interviews expected to start this week --- with a final decision due during summer --- are out-of-staters Aristotle Inc. of Little Rock, Ark.; Daniel J. Edelman Inc.'s Los Angeles office; Fahlgren Mortine of Columbus, Ohio, and Burson-Marsteller, New York. 

“All things being relatively equal, there should be a process in place to use some common sense that would lean toward supporting businesses in Nevada,” says Valerie Glenn, CEO of Reno-based Glenn Group, adding “especially given our economic situation and our governor’s stance on promoting economic development and job creation.”

Bill Marion, principal at Purdue Marion & Associates, Las Vegas, another Silver State firm washed out as a contender, says advertising and public relations firms in Nevada are used to marketing to a global audience and thus have the knowledge to sell the state. 

With the contract destined to go to a non-Nevada firm, Marion reminds that’s $3 million leaving the state. 

He points out a contract to a Nevada agency “would mean the creation of jobs in Nevada, not only for the firms that are selected, but also the firms that they would contract out for printing, for distribution, for other services because you know a Nevada firm would use other Nevada partners that they’ve worked with in the past.” 

Nevada’s unemployment rate for March was 12 percent, 3.8 percent above the national level.

Bethany Drysdale, Nevada Commission on Tourism’s public relations director, trumpets:  “We are looking for the best and the brightest to represent our agency based on the criteria that we ask for. We’re not necessarily looking to market just to Nevadans, we’re looking to market to the entire United States.” 

Adds Drysdale: “It would be wonderful if we could have a Nevada firm.”

 

First Lady collects campaign funds in Las Vegas today

No doubt about it, the president and first lady love Las Vegas.

Michelle Obama makes her second visit in little over a month to Las Vegas today, part of a four-state campaign swing, where a breakfast fundraiser carries a price tag of $2,500 a person, notes Grumpy Editor. 

Las Vegas in this election year is high on the charts for the Obamas. 

Nevada is an important swing state in November’s voting. 

President Barack Obama also has made two trips this year to Las Vegas, a city that he knocked in recent years that resulted in scaring off tourist and convention activity. 

In February, 2009, aiming at business gatherings, he declared, “You can’t take a trip to Las Vegas or down to the Super Bowl on the taxpayers dime.”  Then a year later, he warned, “You don’t blow a bunch of cash in Vegas when you’re trying to save for college.” 

With ebbing of visitors in a sour economy, thousands of casino workers lost jobs and Las Vegas rose to the top of the foreclosed homes list in the U.S. 

Last year’s unemployment in Las Vegas, at 13.3 percent, was among the highest in the nation. 

Following the Las Vegas visit, Mrs. Obama is schedule to make campaign stops in Colorado Springs, Colo.; Tucson, Ariz., and Albuquerque, N.M. 

 

Tribune Co. continues editorial cuts --- with L.A. Times

Shakiness of editorial staffers these days was underscored this week with another in a series of Tribune Co. “workforce reductions” that this time hit the Los Angeles Times newsroom, following last week’s release of 15 Chicago Tribune workers, notes Grumpy Editor. 

In the latest round, about a dozen Times employees from news operations, copy desk and design were affected. 

Among them, accepting a buyout:  Craig Turner, arts and entertainment editor, with the newspaper for almost 41 years, including the position of metropolitan editor. 

As Grumpy Editor mentioned on March 16, editorial employees at some Tribune Co. newspapers may be getting edgy following the prior day’s downsizing at the Chicago Tribune. 

Besides the Los Angeles Times and Chicago Tribune, the Tribune Co. family includes the Baltimore Sun, South Florida Sun-Sentinel and The Hartford Courant. 

Ironically, as Los Angeles Times staffers were departing, the business section posted an opening for “an ambitious reporter to cover the food and farm beat.”

 

Other Tribune Co. workers fidgety after Chicago staff cut

Editorial employees at some Tribune Co. newspapers may be a bit edgy today (after all, it is Friday), following yesterday’s release of 15 Chicago Tribune staffers, including reporters, editors and managers, figures Grumpy Editor. 

The downsizing action in the newsroom continues at the Chicago Tribune, where a buyout last month reduced the payroll by about 10.

That follows about 20 editorial positions cut at the Tribune Co.’s flagship newspaper last July. 

Other newspapers in the Tribune family include the Los Angeles Times, Baltimore Sun, South Florida Sun-Sentinel and The Hartford Courant, among several others. 

The Chicago Tribune, founded in 1847, is aiming for a leaner staff in efforts to slice costs and revive profits as the operation gears up to exit bankruptcy later this year.