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Unemployment for IT occupations and insolvency projections up

CompTIA’s analysis of the Bureau of Labor Statistics report was published on Friday, showing unemployment for IT occupations up to 4.6% from 4.4% in the previous month.     IT services growth was driven by demand for cloud and cybersecurity, and gains in manufacturing helped IT.  

Economists continue to warn that even though the jobs report beat expectations, the labor market recovery is stalling. 

Looking internationally, Atradius has released data about insolvencies, projecting a growth forecast as percentage year over year.  In the US, that’s 39%.   From the report “While many countries have implemented fiscal stimulus measures to soften the blow, these cannot last forever and worldwide economies are starting to realize the true economic impact in the form of recession and a bleak return to rising insolvency levels.”

Meanwhile, a professor at Northwestern University has released research showing that breakthroughs in innovation are best fostered in cities with a minimum population of 1 million, with an emphasis on being part of broader, more diverse communities.  That emphasis is not just on demographic but of ideas, as larger cities have cultural institutions, universities for research, and more than one industry and business sector.  

Why do we care?

I’m linking several stories about productivity here to paint a picture.     Unemployment is up and economists project more insolvencies.  This contrasts with survey data I see indicating optimism for a recovery in Q4 – which I contend is based on no data, particularly as I contrast with actual data that shows these rough waters.

So why did I include the data around cities?    That’s to highlight the fact that the recovery will be inconsistent.     Larger cities are likely to do better with a more diversified economic engines.

I’ll also highlight that the research shows that “work from anywhere” is not entirely true – all things in moderation, including moderation, right?   There IS value in coming together and centralized work, just as there is value in flexibility and work from home.   

Source: CIO Dive

Source: Channel Partner Insights

Source: Fast Company