Economy

Half Of Displaced Workers Are Taking Jobs With Lower Pay

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According to new research by the Federal Reserve Bank of Cleveland, as the Great Recession has worn on, workers have been forced to take jobs that pay less than they were previously earning. In 2012, more than half of displaced workers — defined as workers who lose their jobs because their company moves or their position is abolished — had to take jobs with less pay. “An incredible 36 percent of those who found jobs suffered at least a 20 percent wage loss,” researcher Murat Tasci noted. “Prior to the recession, not only were the odds of being reemployed higher (67 percent), but the odds of being paid more relative to the predisplacement wage were much higher too.”

(HT: Counterparties)