Job Confidence Hits Record Low Since Great Recession Amid Sluggish Economy

Americans' Job Confidence Hits Lowest Level Since Great Recession A recent survey by the New York Federal Reserve has revealed that Americans are now more pessimistic about finding a new job than at any point since 2013, a period known as the depths of the jobless recovery following the Great Recession. According to the August 2025 Survey of Consumer Expectations, the perceived probability of securing a new job in case of job loss has dropped to 44.9%, the lowest reading since the start of the series in June 2013. The decline was broad-based across age, education, and income groups, with those having at most a high school education experiencing the greatest pessimism. "This is a concerning trend, especially for low-skilled workers who are already facing significant challenges in the job market," said James Orr, economist at the New York Fed. "The fact that confidence has dropped across all demographics suggests that this is not just a problem for one particular group, but rather a broader issue with the economy." The term "jobless recovery" predates the Great Recession, which began in 2008 and was triggered by the subprime mortgage bubble bursting. It took many years for the economy to recover all the jobs lost during this period. The current decline in job confidence is likely due to a combination of factors, including slow wage growth, rising inequality, and the ongoing impact of technological change on the workforce. "This is not just about people being pessimistic; it's about reality," said David Autor, economist at MIT. "The labor market has changed significantly over the past decade, with many jobs becoming more precarious and less secure. It's no wonder that workers are feeling anxious about their prospects." The economic impact of this trend is significant. A decline in job confidence can lead to reduced consumer spending, which in turn can slow down economic growth. "If people don't feel confident about their ability to find a new job, they're going to be less likely to spend money on big-ticket items like cars and homes," said Orr. The current status of the labor market is one of continued uncertainty. While the unemployment rate remains low, wage growth has been sluggish, and many workers are struggling to make ends meet. The next developments will likely depend on how policymakers respond to this trend. "We need policies that address the root causes of job insecurity, such as lack of access to affordable education and training," said Autor. In conclusion, the recent survey by the New York Federal Reserve highlights a concerning trend in American job confidence. As the economy continues to evolve, it's essential for policymakers and business leaders to prioritize policies that promote job security and economic growth. By the numbers: 44.9%: Perceived probability of securing a new job in case of job loss (August 2025 Survey of Consumer Expectations) 2013: Last time Americans were this pessimistic about finding a new job 2008: Year the Great Recession began 10 years: Time it took for the economy to recover all jobs lost during the Great Recession Sources: August 2025 Survey of Consumer Expectations, New York Federal Reserve James Orr, economist at the New York Fed David Autor, economist at MIT *Reporting by Fortune.*