Rate of Unemployment vs Employment

Below are the unemployment and employment rates both viewed on a monthly basis. While there has been much ado about unemployment dropping (it has fallen 8 tenths of a point in the past year), the employment rate has maintained at a fairly steady state over the same time period (increasing 1 tenth of a point since January 2011).

Since the unemployment index drops those who are no longer seeking employment, this growing divide (falling unemployment with stagnant employment) could be a sign that the labor market isn't picking up so much as people are turning off from looking for new jobs.