ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Monday, August 19, 1996                TAG: 9608190150
SECTION: NATIONAL/INTERNATIONAL   PAGE: A-4  EDITION: METRO 
DATELINE: WASHINGTON
SOURCE: Associated Press


U.S. JOBLESS RATE FALLS AS OTHER LANDS' RISE FRANCE: CUT HOURS, HIRE MORE WORKERS

U.S. unemployment has dropped by almost half in the past 15 years, while Japan, Germany and other competing countries have shown a strong rise.

``There's a different focus of the government, especially in France, Germany and Italy,'' was the explanation of Mark Anderson, director of international trade for the AFL-CIO.

``They focus more on a fairer distribution of income and not throwing someone on the street to work for whatever wage he or she can get.''

European governments worry a lot about unemployment, but have failed to reverse the upward trend. On Thursday, a French law went into effect that encourages businesses to cut working hours and hire more workers. But many employers doubt it will work.

The long-term trends emerge from detailed figures that the Labor Department has just published, covering the last third of the century.

American joblessness peaked at 9.7 percent in 1982, the second year of President Reagan's administration. It declined steadily for the next seven years, then rose again to 7.5 percent in 1992, the last year of President Bush's term.

Then it dropped again, hovering in recent months around the 5.6 percent level it reached last year. It stood at 5.4 percent in July.

Throughout the 1960s and early 1970s, Japan kept its unemployment rate below 2 percent, breaking that barrier only in 1976. A slow, steady rise over two decades pushed it above 3.5 percent this year.

Some independent labor-watchers think the Japanese figures would be considerably higher if Japanese business dropped the practice of holding on to unneeded workers because they might be needed some day. American managers would be more likely to lay them off.

France and especially West Germany also had a history of keeping unemployment low in the 1960s and early 1970s. But in 1975, West German unemployment more than doubled, to 3.4 percent. In France there was also a sharp rise, to 4.2 percent from 2.9.

Since then West Germany's rise has continued, reaching 6.5 percent last year. That percentage does not include the former East Germany, which has been united with West Germany throughout the 1990s. German government figures show the same trend for the country as a whole, with even greater unemployment in the east.

French unemployment reached 11.5 percent last year, and Italy's 12 percent - more than twice the U.S. rate. Figures for Japan, Germany, France and Italy have continued to edge up in 1996.

Britain's joblessness peaked at 11.8 percent 1983 and has since dropped to 8.3 percent.


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