Total unemployment in July rose to 12.2 percent

US total unemployment increased to 12.2 percent in July, according to Bureau of Labor Statistics. The traditionally-reported unemployment rate also rose to 6.2 percent.

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    This chart shows the US's total unemployment rate since 2000. US total unemployment increased to 12.2 percent in July, according to Bureau of Labor Statistics.
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Thursday's Employment Situation report showed that in July “total unemployment” including all marginally attached workers increased to 12.2 percent while the traditionally reported unemployment rate also worsened rising to 6.2 percent.

The traditional unemployment rate is calculated from the monthly household survey results using a fairly explicit definition of “unemployed” (essentially unemployed and currently looking for full time employment) leaving many workers to be considered effectively “on the margin” either employed in part time work when full time is preferred or simply unemployed and no longer looking for work.

The Bureau of Labor Statistics considers “marginally attached” workers (including discouraged workers) and persons who have settled for part time employment to be “underutilized” labor.

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The broadest view of unemployment would include both traditionally unemployed workers and all other underutilized workers.
To calculate the “total” rate of unemployment we would simply use this larger group rather than the smaller and more restrictive “unemployed” group used in the traditional unemployment rate calculation.

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