US functional unemployment reaches new high

A new analysis indicates that nearly 24.9% of American workers were functionally unemployed in July. This metric includes individuals unable to find work, those forced into part-time roles due to a lack of full-time availability, and workers earning less than $26,000 annually before taxes.

While the official government unemployment rate stands at 4.1%, critics argue that the Bureau of Labor Statistics does not accurately reflect economic prosperity or survival. The report notes that functional unemployment has risen for four consecutive months, coinciding with a decline in workforce participation.

Economic pressures are further compounded by inflation and wage trends. In July, consumer prices rose 3.4% year-over-year, while wages increased by only 3.2%, resulting in a loss of purchasing power for the average worker. Additionally, employers reportedly eliminated 23,000 jobs during the same period.