Job Hunts Are Taking Longer

As job openings dry up and companies pull back on hiring, unemployed Americans are facing the longest waits for work in years. New federal data show that more than 1.8 million people have been out of work for at least 27 weeks, the longest period outside the coronavirus pandemic since 2017. The typical job hunt now drags on for over 10 weeks, up from 9.5 weeks a year ago—despite a relatively low 4.2% unemployment rate, the Wall Street Journal reports.

Fewer people are working or actively seeking jobs, which economists say makes the jobless rate look healthier than it feels. Layoffs remain low, but the increase in July of the number of people out of work for more than six months suggests employers are choosing to slow hiring, per the New York Times. "Businesses are standing pat with their head counts as they wait to see what lies ahead," Wells Fargo senior economist Sarah House said after the release of Friday's jobs report, per the Journal. Many job-hunters are finding the positions available are lower-paying or require a step down.

In Florida, Jennifer Smith in Florida, laid off last fall, has applied for 900 jobs and landed just one interview since being laid off last fall. She's selling her house to make ends meet as her severance runs out. In Idaho, John Comber, a software engineer, is contemplating early retirement after applying for 500 jobs without success. New graduates are also finding fewer entry-level roles, with AI swallowing up some of those opportunities. Data from LinkedIn suggests job seekers are gloomier now than at the pandemic's outset. "I'm just trying to alleviate the financial stress, and hopefully it will help me not feel so hopeless," Smith said.