America has lost one million jobs in the 2000s decade. In the previous decades it averaged 20 million new jobs per decade. America needs to create 20 million new private sector jobs by 2020 to solve the employment and unemployment crisis. Jobenomics, a book written by Chuck Voller, explains the employment problem in America and gives us ways of solving it. Jobenomics deals with the economics of job, wealth and revenue creation.
Employment versus Unemployment
It is employment and not unemployment that is a threat to the future prosperity of America. 15 million Americans out of 390 million are unemployed. An increase in the employment opportunities in the country can help solve the unemployment problem. America’s private sector is collapsing at a faster rate than most people realize. The manufacturing industry has declined by 55% in the last three decades. Today less than 4% of all Americans are engaged in manufacturing. This negative trend in the manufacturing industry cannot continue if the US wants to recover economically.
Positive Attitude towards Business
America needs to have a positive attitude towards business. A negative attitude towards business will cause big businesses to be cautious, limit hiring, close business operations and outsource overseas. It can also encourage small business to go out of business and limit hiring. Anti- business sentiments can slow down investments which are needed to start new business and grow existing ones.
Chuck mentions in his book that America has gone from the largest creditor nation to the largest debtor nation in the last three decades. The federal policy makers have turned a blind eye to addressing debts, deficits, spending and job creation issues.
The Solution to the Employment Problem
The only meaningful way to solve the employment and unemployment problem is the creation of jobs and the creation of revenue. America cannot afford another decade of negative jobs growth. 20 million jobs are needed by 2020 (20 by 20).
20 by 20
20 million new jobs will provide the number of new jobs required for new workers entering the work force (16 million) and about half the workers (4 million) who lost their jobs during the great recession. 20 million new jobs will also provide the tax revenue to keep the economic engine running. America’s innovation and entrepreneurship are the keys to a prosperous future where everyone who wants to work can find a job. Politics leaders will have to use their time and efforts on jobs creation with the same unity and intensity that they did averting financial down fall.
Private Sector Jobs
Business people need to emerge from the private sector to create the next generation of jobs that are applicable to changing demographics, technology and economies.
20 by 20 goals
The 2020 goal for government jobs is zero growth. The 2020 goal for small businesses, emerging businesses and self employment is 7 million new jobs. The 20 by 20 goal for large businesses is 5 million new jobs. The 2020 goal for international corporations is 3 million new jobs. The 20 by 20 goal for the energy technology revolution industry is 5 million new jobs.
More information on how the employment and unemployment problems can be solved can be found in Chuck Vollers book Jobenomics, a plan for America.