Pink slips in U.S. declined sharply, signaling recovery, though unemployment rate is highest since the past two decades.
The Labor Department reports that companies cut jobs by 345,000 in May as compared to 504,000 in April, which is a steady decline since Q4 last year putting to rest the predicted 520,000 by the market.
Nigel Gault, chief U.S. economist (IHS Global Insight- Lexington, Massachusetts) said that the decline in job cuts indicates that the market is recovering. Unemployment rates recorded beat the1983 benchmark, a shocking 9.4% in May vs. 8.9% in April attributed to job seekers who were not active but are approaching employers now.
