Scars of recession

The recession has directly hit more than half of the nation's working adults, pushing them into unemployment, pay cuts, reduced hours at work or part-time jobs, according to a new Pew Research Center survey.
HT Image
HT Image
Updated on Jul 01, 2010 12:18 AM IST
Copy Link
None | ByMichael A. Fletcher, The Washington Post, Washington

The recession has directly hit more than half of the nation's working adults, pushing them into unemployment, pay cuts, reduced hours at work or part-time jobs, according to a new Pew Research Center survey.

The economic shock has jolted many Americans into a new, more austere reality, which is likely to have lasting consequences for an economy fueled mostly by consumer spending. More than six in 10 Americans say they have cut down on borrowing and spending, the survey found.

The reason: Nearly half of the survey's respondents say they are in worse financial shape as a result of the downturn, which destroyed 20 per cent of Americans' wealth.

The longest and deepest recession since the Great Depression has exacted a punishing toll that continues nearly a year after the economy started growing again. Hardest hit are the 9.7 per cent of workers who have been out of a job for an average of nearly six months.

Many Americans are delaying retirement and others have lower expectations for their children's futures, the Pew poll found.

Among adults 62 and older who are still working, 35 per cent say they have postponed retirement. Six in 10 working adults between ages 50 and 61 say they may be forced to do the same.

Meanwhile, half of respondents say they have whittled down their mortgages, credit card balances, car loans and other borrowing.

Four in 10 adults say they have tapped savings and retirement accounts to make ends meet. Others have sought help from friends and family. Almost a quarter say they have borrowed money from someone. And one in 10 — including 24 per cent of workers from 18 to 29 years old — say they moved back in with their parents to weather the economic storm. The new, more frugal lifestyles may outlast the recession and its immediate aftermath, the survey indicated.


In an exclusive partnership with The Washington Post. For additional content visit www.washingtonpost.com

SHARE THIS ARTICLE ON
Close Story
QUICKREADS

Less time to read?

Try Quickreads

  • Higher National Diploma (HND) students take part in a demonstration demanding the resignation of Sri Lanka's President Gotabaya Rajapaksa over the country's crippling economic crisis, in Colombo on May 21, 2022. (Photo by ISHARA S. KODIKARA / AFP)

    In crisis-hit Sri Lanka, state of emergency lifted: 5 key developments

    Embattled President Gotabaya Rajapaksa had announced a state of emergency with effect from May 6 midnight, almost a month after imposing the first phase, on April 1. Citing an improvement in the law and order situation, the Presidential Secretariat announced emergency had been lifted with effect from Friday midnight, local media reported. Under the state of emergency, police and security forces had sweeping powers to arbitrarily arrest and detain people.

  • Besides participating in the third Quad Leaders Summit, Prime Minister Modi will have bilateral meetings with Japanese Prime Minister Fumio Kishida and US President Joe Biden in Tokyo. (HT FILE PHOTO.)

    Quad Summit to focus on key challenges, ways to keep Indo-Pacific free and open

    The Quad Leaders Summit in Tokyo next week will discuss challenges and opportunities across the Indo-Pacific and focus on ways to deliver on the vision of a free, open and inclusive region, foreign secretary Vinay Kwatra said on Saturday.

  • Australian Prime Minister Scott Morrison leaves a polling station after casting his vote during the Australian general election in Sydney.

    Australia PM Scott Morrison loses national elections, labor party to take power

    Australia's Labor Party is set to take power for the first time since 2013, as voters booted out Prime Minister Scott Morrison's conservative government in a shift likely to bring greater action on climate change, women's issues and anti-corruption efforts. The Australian Broadcasting Commission said Labor won at least 72 seats, compared with 52 for Morrison's Liberal-National Coalition, with independents and third parties taking the rest. It wasn't all good news for Labor.

  • Shireen Mazari, Pakistan’s former minister for human rights (File Photo)

    Ex-Pak minister Shireen Mazari arrested; kin, party say PTI leader ‘kidnapped’

    According to a <strong>report</strong> in the former miShireen Mazari, Dawn, Pakistan's former minister of human rights in the Imran Khan government which was ousted last monthstody of the Anti-Corruption Establishment (ACE). “Male police officers have beaten and taken my mother away. All I have been told is that Anti Corruption Wing Lahore has taken her,” tweeted Imaan Zainab Mazari-Hazir, Mazari's daughter.

  • Attendees at the the Liberal National coalition party election night event in Sydney, Australia, on Saturday, May 21, 2022.&nbsp;

    Australian election: Early vote count indicates close contest

    There was no uniform swing in early counting of votes in Australia's election on Saturday, indicating a close result in a tight race that will decide whether Prime Minister Scott Morrison's conservative government can defy odds and rule for a fourth three-year term. Opposition leader Anthony Albanese's center-left Labor Party ended the six-week campaign as a favorite to win its first election since 2007.

SHARE
Story Saved
×
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Saturday, May 21, 2022