EPI: For workers, the consequences of job loss are staggering
The figure below, from The State of Working America, 12th Edition, shows the average weekly earnings loss of workers who were laid off from a full-time job in the prior three years. Workers who lost a full-time job in 2007–2009 but were reemployed in either full– or part-time jobs in 2010 faced weekly wage cuts of 21.8 percent. Some of this drop is due to the large increase in people settling for part-time work because full-time work is not available. But even restricting the analysis to only displaced workers who were able to find another full-time job, the drop is still a staggering 10.5 percent.