Gallup Finds U.S. Unemployment at 10.1% in September
Underemployment, at 18.8%, is up from 18.6% at the end of August
by Dennis Jacobe, Chief Economist

PRINCETON, NJ -- Unemployment, as measured by Gallup without seasonal adjustment, increased to 10.1% in September -- up sharply from 9.3% in August and 8.9% in July. Much of this increase came during the second half of the month -- the unemployment rate was 9.4% in mid-September -- and therefore is unlikely to be picked up in the government's unemployment report on Friday.

Certain groups continue to fare worse than the national average. For example, 15.8% of Americans aged 18 to 29 and 13.9% of those with no college education were unemployed in September.

The increase in the unemployment rate component of Gallup's underemployment measure is partially offset by fewer part-time workers, 8.7%, now wanting full-time work, down from 9.3% in August and 9.5% at the end of July.

As a result, underemployment shows a more modest increase to 18.8% in September from 18.6% in August, though it is up from 18.4% in July. Underemployment peaked at 20.4% in April and has yet to fall below 18.3% this year.

Friday's Unemployment Rate Report Likely to Understate

The government's final unemployment report before the midterm elections is based on job market conditions around mid-September. Gallup's modeling of the unemployment rate is consistent with Tuesday's ADP report of a decline of 39,000 private-sector jobs, and indicates that the government's national unemployment rate in September will be in the 9.6% to 9.8% range. This is based on Gallup's mid-September measurements and the continuing decline Gallup is seeing in the U.S. workforce during 2010.

However, Gallup's monitoring of job market conditions suggests that there was a sharp increase in the unemployment rate during the last couple of weeks of September. It could be that the anticipated slowdown of the overall economy has potential employers even more cautious about hiring. Some of the increase could also be seasonal or temporary.

Further, Gallup's underemployment measure suggests that the percentage of workers employed part time but looking for full-time work is declining as the unemployment rate increases. To some degree, this may reflect a reduced company demand for new part-time employees. For example, employers may be converting some existing part-time workers to full time when they are needed as replacements, but may not in turn be hiring replacement part-time workers. Another explanation may relate to the shrinkage of the workforce, as some employees who have taken part-time work in hopes of getting full-time jobs get discouraged and drop out of the workforce completely -- going back to school to enhance their education, for example, instead of doing part-time work. It is even possible that some workers may find unemployment insurance a better alternative than part-time work with little prospect of going full time.

Regardless, the sharp increase in the unemployment rate during late September does not bode well for the economy during the fourth quarter, or for holiday sales. In this regard, it is essential that the Federal Reserve and other policymakers not be misled by Friday's jobs numbers. The jobs picture could be deteriorating more rapidly than the government's job release suggests.

Survey Methods

Gallup classifies American workers as underemployed if they are either unemployed or working part time but wanting full-time work. The findings reflect more than 18,000 phone interviews with U.S. adults aged 18 and older in the workforce, collected over a 30-day period. Gallup's results are not seasonally adjusted and tend to be a precursor of government reports by approximately two weeks.

Results are based on telephone interviews conducted as part of Gallup Daily tracking Sept. 1-30, 2010, with a random sample of 18,146 adults, aged 18 and older, living in all 50 U.S. states and the District of Columbia, selected using random-digit-dial sampling.

For results based on the total sample of national adults, one can say with 95% confidence that the maximum margin of sampling error is ±1 percentage point.

Interviews are conducted with respondents on landline telephones and cellular phones, with interviews conducted in Spanish for respondents who are primarily Spanish-speaking. Each daily sample includes a minimum quota of 150 cell phone respondents and 850 landline respondents, with additional minimum quotas among landline respondents for gender within region. Landline respondents are chosen at random within each household on the basis of which member had the most recent birthday.

Samples are weighted by gender, age, race, Hispanic ethnicity, education, region, adults in the household, cell phone-only status, cell phone-mostly status, and phone lines. Demographic weighting targets are based on the March 2009 Current Population Survey figures for the aged 18 and older non-institutionalized population living in U.S. telephone households. All reported margins of sampling error include the computed design effects for weighting and sample design.

In addition to sampling error, question wording and practical difficulties in conducting surveys can introduce error or bias into the findings of public opinion polls.

For more details on Gallup's polling methodology, visit


Lately the President has started again demonizing industry, demonizing banks, insurance companies, and businessmen in general as somehow being against the "people". Divide and conquer is the name of the game and not UNITY>

Has he forgotten that most people actually work for a living in a "business" that provides their livelihood? Why is the administration of a "uniter" consistently dividing the country by race, class, ethnic origin and finances and success. Success is put down, and hate of the successful people is emphasized.

Fiery speeches comparing constantly to slavery the current apparent condition of the population, is getting the county no-place. Demonizing employers, adding to the cost burden of employers though unnecessary mandates ranging from how to dispose of the waste water after washing your service truck to how many gallons are maximum per flush, is not making America or Americans more successful or happy.

The worst fears and forecasts relating to the onerous OBAMACARE mandates are starting to creep in. Employers are already warning of sharp cost increases for health care premiums, and many have announced that they will be canceling coverage altogether with the employees having to be covered on "government" plans of which realistically there are none at present.

On further analysis, there is absolutely nothing that this new "historic" president had done or said that has improved America's standing in the world, improved the life of any American, employed more people or made the population happier and more content-NOTHING.

Furthermore, through ill advised draconian measures, we are the ONLY country that is NOT drilling for oil in the Gulf of Mexico, while all the others there are sucking up the oil for their own use. The entire group of well paid employees working the rigs for US companies are out of work for no good reason.

It is hard to imagine, that a President would work to actually destroy the economic base of America though his policies and through class envy.

Here are some comments from readers of the WASHINGTON POST, a truly liberal paper, and there was not one comment favoring the president's actions to date...the comments are very interesting, as an insight into the distortions and outright lies put out by the administration in recent speeches.

Here are some of the comments:

In November 2008, more than half of American voters were hypnotized by this mysterious, messianic figure on whom they pinned all their hopes and dreams. But since then, many have gradually realized their shining savior was really an incompetent, deceptive, pathologically narcissistic man entranced by an evil ideology that has left a trail of unprecedented misery and death for 100 years.
"Change" has indeed come to America, but not the kind most people had "hoped" for.

uconnors wrote:
The headline should be...Obama takes his "offensiveness" to GOP country. 32 days.....Nov. 2, 2010

JW13 wrote:
Yeah, I'd say it's offensive alright. The only question is "Does he know he sounds like a nut? Or does he really believe this crap?" Unfortunately, the poor that he and his party have worked overtime to keep that way will buy his bs. Fortunately, those who started watching politics for the first time in a long time are seeing what a bankrupt ideology the left has developed. How pathetic.

gobnait06 wrote:
Still the left tries to convince you that the RIGHT is crazy and dangerous, that the RIGHT is responsible for our crises, that the RIGHT is the one with the problem. It would be hilarious if it weren't so sad.

bucksaw wrote:
Barry has made us his slaves!

larry22 wrote:
Obama planned to use his cap-and-trade legislation to "de-industrialize" America, thereby shrinking our national economy and job market for the middle-class in order to "re-distribute" our nation's wealth creation ability to China, South America, and other parts of Asia to finally create true social and economic justice on a global scale. But, when Obamaonomics produced a middle-class unemployment rate of 30% who was Obama going blame? Greedy capitalist corporations and their Republican stooges?

When America no longer has the national wealth creation abilities through our free market capitalist system to pay the bill for Obamacare and other progressive, social justice, welfare programs was Obama going to blame Bush for this, too!?!?

Obama said he wanted to see a day when the greedy US economy no longer drives the global economy. To achieve this day Obama has to create a nightmare for the middle-class by damaging our economy's ability to grow and create "greedy" wealth. Obama believes growth of the US economy damages the global economy. However, growth of our economy drives the growth of the global economy!!! It is not a zero-sum gain where our nation has to lose in order for other nations to gain.

When America grows others grow as well to the benefit of everyone, not the chosen elite, radical, leftwing, progressive few as is the case in all socialist, totalitarian societies.

Obama, the smartest president in our nation's history, doesn't seem to have even a basic grasp of Economics 101.

bahmi wrote:
Keep giving me candy, stupid people. I will cut your guts out, you stupid people. You haven't seen anything yet. I will make this country just another third world nation, you won't know what hit you, stupid people. Listen to me, idiots. I am the Messiah. You are the losers, now pay up.

uconnors wrote:
5000 characters? Not necessary ! Obama is a "joke"...albeit a dangerous one. It is obvious he is triggering and ginning up his African-American base. His tactic is disgusting. We begin the long process of making inroads into this National nightmare on November 2, 2010. 32 days

herzik wrote:
This country wants to be united again, like we were right after 9/11. But this president continues to divide us, the country does not have a problem with his race, we just have a problem that he continues to ignore what "We the people" want. The democrats have shoved everything down our throats and they and the president continue to move farther and farther left. Until they wake up and realize acting like the Republicans are poison they will never find favor again. I am a independent and will not vote for another democrat until I see them start to listen to the people again. I am fired up more and more when I see statements like this from the president and Pelosi. I hope things are turned upside down in November, and they all have to remember who is really in charge and that is us, "We the People". Wake up America!!!! Take a stand or watch this country continue to crumble!

gobnait06 wrote:
Why is anyone surprised by the state of this country and the impending implosion of this so-called leader? If you had only listened when the few of us who weren't taken in by his unctuous, disingenuous manner and blatant lies, we wouldn't be in this mess. When the MSM dismissed or tried to explain away his unsavory associations, when liberal pundits mocked and debased the right for questioning his motives, you believed them and looked the other way. When Michelle Obama told you that 'Barack wasn't going to let you go back to your old ways', you should have paid attention. The ominous remarks that Obama made before his inauguration, "We are five days away from fundamentally transforming this country"terrified some of us; did you think he was kidding? The signs were there, screaming in your faces. You chose to ignore them and not DEMAND answers and now. we are ALL paying dearly. NOW you're angry. NOW you're worried. You're about three years too late.

rjhasko wrote:
Slaves? Really? We are witnessing the beginning of the inevitable obama meltdown. And do we need any more proof of obama's racist motivations?

songsmithdan wrote:
"hoodwink a whole bunch of folks all across the country" Does that include the democrats that have gone AWOL from his policies? Have they left him for a reason? It it's possible for Bush to be wrong, while Obama does the same things Bush did (while saying "bush policies failed), just who's doing the "hoodwinking". Obama really thinks the people he speaks to are not capable of common sense.

OrnleyGumfudgen wrote:
It's a shame our liar and moron in chief is so intellectually and historically challenged. He utterly fails to comprehend the reason slavery didn't end instantly was largely due to the fact we didn't have instantaneous global communications technologies that cover the earth in a matter of seconds rather than a communications system that took days, weeks, months and even years to discriminate information.

JohnLeeHooker1 wrote:
It was said by other posters: Odumbo, our Erkel president, is a pathetic little man who never misses an opportunity to inject race into the discussion.

acalmingeffect wrote:
This ObombaClown has been EXPOSED as a Fraud, The Hope & Change Magic Pixie Dust has lost its Mystical Powers.It Now only works on the Stupid Gullible Weak and Lazy who are still waiting by the Mailbox for the Unicorn & Golden Ticket to Willy Wonka's Chocolate Factory . Trusting ObombaClown with the Safety & Security of this country is like letting your 9yr old son do a sleep over @ Micheal Jackson's Neverland Ranch

Rightly wrote:
Why does the media persist in the "Bush Era tax cuts for the rich" fallacy. Check the facts. A great many of the tax cuts (capital gains rates, dividend rates) affect people earning well under $200,000. The media support of this tax cuts for the rich line is one of the great Democratic triumphs in this campaign.

SamIam9 wrote:
What a disgrace this president is. What an embarrassment. What a mistake some people made in electing him. The man deceived the nation and lied about who and what he was but evidence of the truth about him was out prior to the election so there is no excuse.

If you helped inflict this catastrophe on our country you must begin to make amends next election by voting for divided government that can at least slow down his destructive agenda and policies.

fbanta wrote:
Is there anything that the president hasn't lied about? How can anyone listen to him when he has lied to us about every policy he has promoted?

He told us that if we gave him $1 Trillion that unemployment wouldn't exceed 8%: he lied.

He told us that he was suspending drilling in the Gulf (sending the only high paying jobs left in the Gulf to Brazil) because his 'expert panel' told him to: he lied!

He told us that healthcare reform would reduce costs for everyone: He Lied! He said we could keep our existing plans: He Lied! He told us we could keep our doctors: He lied! He told us there wouldn't be rationing: He Lied!

He told us that the surge in Iraq wouldn't work: he lied! He told us he had a plan for Afghanistan: he lied!

He told us he would post all legislation on the Internet for 5 days before signing it: he lied!

He told us he'd bring new transparency to government: he lied-with backroom deals with Big Pharma and Big Healthcare; Big Unions: all done in secret.

He told us he would build bridges and bring Americans together: he Lied! He's the most divisive president in our history, intentionally driving wedges between large segments of our population for his own purposes.

He told us that he would go through the Budget line by line to eliminate ineffective programs: he lied! Instead he added a layer of czars (un-vetted by Congress) over the existing Cabinet infrastructure. And, we still don't have a Budget!

He blames the opposition for failure to pass legislation although he has a filibuster-proof majority in the Senate and an overwhelming majoriy in the House: he lies!

He said he would "fundamentally transform the USA": and he is doing his best to do so: but he has no Constitutional authority to do so and must be impeached for usurping powers not delegated.

gneubeck wrote:
Barack is fond of complaining of late that his opponents: "treat me like I'm a dawg". Well Barack, has it ever occurred to you that it just might be the Marxist dawg food that you've become fond of trying to force down the throats of a Center-Right America? Quite a difference from the $100/lb Kobe beef, lobster thermidore, and caviar that you and Michelle have become accustomed to as your standard WH fare. When is your next AF #1 sojourn to New York for a 5-star dinner and a Broadway show? It's become obvious to most by both your incendiary remarks and your conduct, particularly in the presence of foreigners, that you are the most anti-American President in our history. Your haven't said what kind of Dawg you envision yourself as; but for certain, the American electorate will neuter you this coming November. Greg Neubeck

BigLouie wrote:
Taking the words from John Kerry 'The electorate is uniformed' and as a result in 2008 they elected this liar who was supposed to rise above racism. However, much to the dismay of many, he and his AG - Holder have done nothing but exhibit and promote RACIST behavior. He is setting back many gains made by the blacks. MLK would take this guy to the wood shed.


The USA, ostensibly the most successful country in the history of the world, a country that has advanced the working class status to being able to live comfortably, own homes, several cars, and have plenty of food to be purchased on every corner, is now being ridiculed for its success by its own president!

The President who has personally profited from his status as a "black-man" though universities which gave passing grades, through no real jobs all on the public dole, and he now has reported over $5 million of cash in the bank though book deals and the like is now demonizing other who worked to achieve financial success...go figure!