Retail & Wholesale Job Security Continues Decline

Retail and Wholesale Job Security Continues Decline

23% Drop, Over Four Month Period

The Scorelogix® Retail and Wholesale Job Security Index™ fell by 5.9% in August, the fourth consecutive month of decline. The index has fallen eight times in the past thirteen months, and has closely mimicked the National JSI. The credit crisis, weakening economy, and an overall decrease in disposable income affect these two indices similarly, attributing to the correspondence.

All nine of the US census regions posted lower Retail and Wholesale job security levels in August than in July. The regions which experienced the largest decline in Retail and Wholesale job security were the East North Central (7.3%) and Pacific regions (7.1%). The West South Central and Mountain regions recorded the smallest decrease in Retail and Wholesale job security at 4.9 percent.

The significant decline in solvency for jobs in the Wholesale & Retail sector is directly related to the current fiscal meltdown. As banks tighten their lending, or close their doors, less money is available at higher rates, to businesses and individuals alike. Businesses lack the capacity for growth, and individuals lack the ability to spend freely. Coupled with inflation and declining house prices, there is just less capital available for spending in Wholesale & Retail. This inevitably leads to instability in job security, across the nation, and specifically, in the Wholesale & Retail sector. Stabilization of the credit markets and fortification of the broader economy are integral to job security recovery. Until such stabilization occurs, one can expect the National JSI as well as the Wholesale & Retail JSI ton continue its precipitous drop.

To obtain further information about Scorelogix’s Job Security Index, or to receive a more in depth analysis of the data provided above, please email Bill Dougherty @ bill.dougherty@scorelogix.com