Story perspectives

Functional Unemployment Hits 24.3%, Disparities Widen Among Workers

6/4/2025

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Summary

Story summary

The Ludwig Institute reports a functional unemployment rate of 24.3% for American workers, far exceeding the official 4.2%.
Black and Hispanic workers experience the highest functional unemployment rates at 26.7% and 28.2%, respectively.
Gender disparities show 20% for men and 28.6% for women.
Childcare challenges have driven many Black women out of the labor force since 2020.
LISEP calls for improved economic measures to better represent working-class realities.

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Story summary

The Ludwig Institute reports a functional unemployment rate of 24.3% for American workers, far exceeding the official 4.2%.
Black and Hispanic workers experience the highest functional unemployment rates at 26.7% and 28.2%, respectively.
Gender disparities show 20% for men and 28.6% for women.
Childcare challenges have driven many Black women out of the labor force since 2020.
LISEP calls for improved economic measures to better represent working-class realities.