Personal Income Rises Amid Breadlines

The number of job seekers compared to available jobs may dishearten recruiters, but this real problem is not indicative of all aspects of the state of the economy.  As huge numbers of people remain unemployed for another month, the fact is that the entire country’s population is making more money from their income.

Just in the month of February, personal income increased by $38.1 billion.  Disposable personal income increased $36 billion.  Was the prior month terrible– thus, justifying this huge increase?  Not so much.  In January, personal icome increased $147.4 billion.

Manufacturers and goods-producing industries were the only major groups of employers that paid less money to their employees, decreasing their payrolls by 1.5 billion.  Service-producing industries and government workplaces both experienced increases in their payrolls.

Meanwhile, the people in this country who were renting their homes seemingly faced higher rents.  Landlords experienced an increase of $8.2 billion during the cold month of February.

When surrounded by large numbers of cover letters, it may be difficult to imagine that many people in the country are becoming richer.    What does this increase in income mean for the economy?  Can recruiters expect to see more positions to fill, or will that money sit quietly in a bank?