Reprinted for private circulation from The American Journal of Sociology, Vol. XLII, No. 4, January, 1937 . PRINTED IN THE U.S.A. Am ANOTHER CENSUS OF UNEMPLOYMENT? HOWARD B. MYERS AND JOHN N. WEBB ABSTRACT In view of the numerous demands for an unemployment census, an analyzing of the possibilities and limitations of the census method is called for. As indicated by the 1930 experience, it is doubtful whether a census can provide a satisfactory answer even to the relatively simple question of how many persons are out of work on a given date. Proper measurement of unemployment duration and accurate determination of the occupation and industry to which a worker is properly assigned require more detailed information than it is practicable to secure through the census method. The method is of little assistance in answering the important and complex questions of what proportion of the unemployed population is actually employable, and what work the employables are best fitted to do. The inability of the census method to provide the foregoing reasonable minimum suggests that attention should be focused on the development of current un¬ employment statistics through a national system of unemployment insurance and em¬ ployment exchanges, rather than on further efforts to report a highly dynamic phenome¬ non through the device of another unemployment census. The recognized need for more information concerning employ¬ ment and unemployment has led to numerous demands for an un¬ employment census. To a number of commentators in the daily press the failure to count the jobless during the last three years is inexplicable. This point of view is clearly stated in the following excerpt: Why the Administration steadfastly refused during these last three years to take a census of the jobless will rank, in our opinion, as one of the minor mys¬ teries of history. Politics aside, it seems utterly irrational that throughout the greatest period of unemployment that this or any country has known no de¬ pendable figures on the subject have been collected.1 A census of unemployment seemed certain to be taken in 1934, in 1935, and again in 1936, but each time failed to materialize. There is no doubt but that demands for a census will continue to be heard, particularly when the next Congress is confronted with the problem of unemployment relief appropriations. It seems pertinent, there¬ fore, to inquire whether a census would assist materially in dealing with relief and unemployment problems, as suggested by its pro¬ ponents. In dealing with this question it may be helpful to indicate briefly 1 Editorial, "How Many Unemployed?" Detroit News, August 1, 1936. S2i 522 THE AMERICAN JOURNAL OF SOCIOLOGY some of the more essential facts needed and then to consider whether a census is likely to supply these facts. An intelligent attack upon the unemployment problem would seem to require current informa¬ tion on at least the following points: (i) How many are unemployed? (2) How long have they been unemployed? (3) From what occupa¬ tions and industries do they come? (4) What proportion is employ¬ able? (5) What work are the employable persons fitted to do? These merely include some of the simpler items on which we need infor¬ mation. More complex matters, such as the proximate causes of loss of employment, the personal and social effects of unemployment, the effectiveness of various methods for reducing unemployment or miti¬ gating its consequences, and the possibilities of vocational training and rehabilitation, also need to be considered. The five simpler items listed above, however, when supplemented by data on per¬ sonal and family characteristics (age, sex, marital status, family composition, etc.) would state the problem numerically, furnish data which are essential to the most effective planning of unemployment relief, and provide some of the facts which are basic to any con¬ sideration of a better adjustment of the available labor supply to the organization of business and industry. How far can a census go in answering these questions?—It is ob¬ vious that the census technique cannot deal effectively with the more complex matters which have been mentioned. Its fact-gath¬ ering possibilities are sharply restricted even on the simpler items, owing largely to limitations inherent in the census method. The census technique is necessarily limited to simple, objective inquiries; the size of the undertaking requires that a considerable period of time elapse before the data become available; and the cost of col¬ lection and tabulation of data on such a vast scale makes the publi¬ cation of census information impracticable except at infrequent in¬ tervals. To illustrate the difficulties, it is instructive to examine the results of the Unemployment Census taken in conjunction with the decen¬ nial Census of 1930. It might be expected that answers to the first three of the questions listed above would be available directly from the tabulations of the data scheduled, and these answers, in turn, might throw at least some light on the last two questions. In fact, ANOTHER CENSUS OF UNEMPLOYMENT? 523 however, the 1930 Census provided a satisfactory answer to none of these questions. From the time the first Census returns were pub¬ lished they were challenged as an understatement of the number of unemployed workers. This uncertainty of coverage, of course, brought into question all of the data derived from the unemploy¬ ment schedule. Moreover, by the time the data were available they were of little value in answering the very practical questions of how many persons were out of work at the time and what should be done about unemployment. Thus the results of the Unemployment Census of 1930 were criticized on two important points: the validity of the count and the time required to make the data available. There are sound rea¬ sons for believing that the results of another unemployment census will be open to the same criticisms despite the experience gained in 1930. The fault lies not with the census method itself, nor with the persons responsible for its direction, but with the application of the method to the measurement of phenomena for which it is ill adapted. The census method has been most useful when applied to the meas¬ urement of population characteristics which change slowly from year to year. A report at ten-year intervals on age, sex, color, nativity, and similar slowly changing characteristics of the population has in the past largely met the need for this type of information, although even here there has been a growing demand for reports at shorter intervals of time. In contrast, no well-informed person would argue that vital sta¬ tistics, particularly mortality statistics, at ten- or even at five-year intervals would be adequate to chart the changes in the human resources of the nation even though births and deaths can be pre¬ dicted with much greater accuracy than can employment and its corollary, unemployment. The development of current reports of births and deaths illustrates the need for a method of reporting the dynamic aspects of constantly changing phenomena. This need is obviously even greater in the case of unemployment, in view of its extremely rapid fluctuations and its changing characteristics at dif¬ ferent periods within a single year. It would seem, therefore, that the census method of securing a cross-section view of unemploy- 524 THE AMERICAN JOURNAL OF SOCIOLOGY ment at widely spaced intervals of time must be judged inadequate because of its inability to measure intervening change. Another equally important aspect wherein the census methods fail to provide adequate information on unemployment has been touched upon in the preceding discussion. The census method when applied to the national scene must be restricted to the measurement of a limited number of simple and objective facts. The method re¬ quires the use of a large number of enumerators during a brief period of time; these persons are, in the main, untrained in the technique of gathering economic and social data. For this reason census schedules must be simple of structure and must require a minimum of judgment on the part of enumerators if the results are to be worth the cost of tabulation.2 Unfortunately, unemployment is a complex phenomenon. It can¬ not be reported in the simple and objective terms applicable to age, race, and sex. The results of the 1930 Census of Unemployment furnish ample evidence of the difficulties which arise when an at¬ tempt is made to report a complex situation through the use of a method that depends for its success upon simplicity of enumeration. Since the 1930 Census failed to provide a satisfactory answer to the least difficult of the questions it set out to answer—How many workers were unemployed on the Census date?—it is hardly fair to expect that it, or another national census, would provide adequate information on the more difficult questions of duration of unem¬ ployment, employability, and the occupations in which unemployed workers are best fitted to engage. Apparently the complexity of reporting unemployment, and the consequent weaknesses of the census method as applied to this problem, are not fully recognized by most proponents of another unemployment census. It may be well, therefore, to consider briefly some of the simpler questions proposed above as a minimum require¬ ment of adequate statistics on unemployment. How many are unemployed?—Employment and unemployment are complementary states into which the total labor supply is di¬ vided at the time of observation. Neither can be defined for purposes of measurement without at the same time defining, positively or 2 See Leon E. Truesdell, "Methods Involved in the Federal Census of Population," in Methods in Social Science, ed. Stuart A. Rice (Chicago, 1931). ANOTHER CENSUS OF UNEMPLOYMENT? 525 negatively, its complement. Thus definition becomes the axis upon which the problems of measurement turn. A workable definition of employment must include the activities of the factory employee with regular hours and pay, the playwright who writes much and sells little, the youth who works regularly on his father's farm with¬ out wages, the farmer or business man who works all year at a loss, the lawyer with an office and no clients, the absentee corporation president who draws a salary but does no work, and others for whom no single test of time, income, or specific activity is adequate to determine the fact of employment. Unemployment is the absence of such activity on the part of persons relying upon the results of their efforts for full or partial support. In addition, a satisfactory defi¬ nition of unemployment must differentiate between those in and those out of the labor market. It would seem that the factors which must be taken into account in a full and satisfactory definition of employment and unemployment are too complex to admit the simple statements appropriate to a national census. At first thought this statement seems to be contradicted by the section on employment in the instructions to enumerators3 for the 1930 Census. There (p. 38) employment was defined with apparent simplicity as "whether actually at work yesterday." In special cases "yesterday" was to be interpreted as the last regular working day preceding the enumerator's visit. This seemingly simple and prac¬ tical definition was actually not so simple as it appears. It left un¬ settled a number of problems related to the question of when a person is "at work"; in addition the fact of employment was to be determined only for persons defined elsewhere in the instructions as "gainful workers." In effect this shifted the burden of definition from employment, which would have been difficult to define for census purposes, to gainful workers, which was an established con¬ cept in the Census Bureau procedure.4 3 Instructions to Enumerators, Population and Agriculture: Fifteenth Census of the United States (rev. ed.; Bureau of the Census, Washington, D.C., 1930). < However, the Bureau of the Census does not appear to be satisfied with this defi¬ nition. In the article cited earlier, Dr. Truesdell stated: "The gainful employment classification is dependent in considerable measure on another artificial or 'manu¬ factured' definition. The borderline along the edge of gainful employment is rather indefinite, and even the definition given to enumerators is not as specific as one might wish." It should be noted that this article is dated October 30, 1928. 526 THE AMERICAN JOURNAL OF SOCIOLOGY This proved to be an unhappy solution of the difficulty presented by the need for a comprehensive definition of employment. It was not that the definition of a gainful worker was inaccurate, but that the definition was made to serve a purpose wherein it was inade¬ quate. This may be seen from the description of a gainful worker.5 249 [col. s, Unemployment Schedule], Does this person usually work at a gainful occupation?—Write "Yes" if the person is usually employed at any occu¬ pation yielding an income of any amount. This applies to part-time workers even though they work only a few hours a day or only a day or two a week 250. Persons will be found who have been long unemployed because of change in industry, the introduction of machines, or the decline of production in certain lines. If able and willing to do work of any kind, these persons should be re¬ turned as usually working at a gainful occupation, without regard to the length of the period of idleness, provided they still expect to find employment and re¬ sume work. The inclusion of the qualification "usually" requires either a judg¬ ment on the part of the enumerator or an opinion from the person enumerated; omit this qualification throughout and the difficulties inherent in the definition are apparent. It is doubtful if this description was adequate to the task of distinguishing within the total population of 1930 those persons to whom the simple question, "Were you at work yesterday?" was applied for the purpose of establishing the primary distinction be¬ tween the employed and the unemployed. It seems likely that this description permitted the inclusion of persons who were not prop¬ erly a part of the total labor force simply because they had a usual occupation when work was available. It is clear that it excluded others—recent additions to the labor force—simply because they had never previously been employed. Certainly this indirect method of establishing the basis for determining employment and unem¬ ployment left many troubling questions to be answered when the jobless were grouped into Classes A to G according to their employ¬ ment status and reasons for idleness. It seems evident that an attempt to count the number of em¬ ployed and unemployed workers without first having defined what meaning was to be attached to these terms was to invite criticism s Instructions to Enumerators, op. cit., p. 43. ANOTHER CENSUS OF UNEMPLOYMENT? 527 of the results. Moreover, the group to be included in an unemploy¬ ment count should have been limited to those actually in the labor market at the time of the census, without reference to experience, rather than to those who were "usually employed." Considering the experience of the Census Bureau officials and their demonstrated success in obtaining other types of population data, the criticisms of the 1930 unemployment returns must logically be attributed to the shortcomings of the census method. How long have they been unemployed?—Next in importance to the number of unemployed persons is the duration of their unemploy¬ ment. Without this information the social and economic effects of unemployment cannot properly be appraised. Short periods of un¬ employment may have very little significance: e.g., unemployment resulting from transfer from one job to another, vacations without pay, periods of inventory, the breakdown of machinery. As the du¬ ration of unemployment increases beyond these short periods, the effect varies with the earning capacity of the worker. Unemploy¬ ment for a period of several months frequently forces workers at the lower wage levels to apply for public assistance, whereas the same period of idleness is likely to be tided over by means of reserves accumulated by workers at the higher wage levels. In addition to the importance of duration data in the planning and administration of public relief or unemployment benefits, there is its importance in determining the effects of prolonged idleness on skill and thereby upon employability. Granting the importance of accurate information on duration of unemployment, there arises the question of how it shall be meas¬ ured. From the last job of any kind, provided that job lasted more than one day, as in the Census of 1930? From the last job at the usual occupation, no matter how long held? From the last regular job at any occupation? In short, how shall a job be defined as to nature and length for purposes of measuring duration of unemploy¬ ment? The difficulty of obtaining satisfactory answers to these questions can be demonstrated from the employment record of a worker inter- 528 THE AMERICAN JOURNAL OF SOCIOLOGY viewed in one of the studies made by the Division of Social Research, Works Progress Administration: Occupation Industry From To Machinist Laundry ma- January, 1930 March, 1931 chinery (beginning of record) Unemployed Lived on savings April, 1931 May, 1933 Laborer Fruit farm June, 1933 August, 1933 Unemployed On relief September, 1933 May, 1934 Machine operator.... Basket factory June, 1934 August, 1934 Unemployed On relief September, 1934 January, 1935 (end of record) In this case, which is by no means an extreme one, how shall the duration of unemployment be measured, and from what occupation and industry was the worker unemployed? He was employed as a machinist when the record began, and this occupation was indicated in the proper space as his usual occupation. If duration of unem¬ ployment is measured from the last job at his usual occupation, this worker had been unemployed for three years and nine months when the record was made. If duration of unemployment is measured from the last job of any kind, this worker had been unemployed for four months when the record was made. Moreover, if unemployment is measured from the last employ¬ ment at usual occupation, the worker is properly returned as a skilled worker and is so listed in the inventory of available labor supply which is an important by-product of unemployment surveys. If, on the contrary, unemployment is measured from his last job, this worker is counted among the semiskilled workers. It may be instructive to take another illustration, again from actual records, of situations that present considerable difficulty: Occupation Industry From To Student College January, 1930 June, 1931 (beginning of record) Unemployed Dependent July, 1931 August, 1932 (but seeking work) Student College September, 1932 August, 1933 Teacher Public school September, 1933 March, 1934 Laborer C.C.C. camp April, 1934 September, 1934 Unemployed On relief October, 1934 January, 1935 (end of record) ANOTHER CENSUS OF UNEMPLOYMENT? 529 This is a case of a worker entering the labor market during the depression. Not only is it difficult to determine the duration of unemployment, but it is also difficult to determine what occupation and industry is to be charged. Additional examples of cases wherein duration of unemployment, usual occupation, and industry present difficult problems of defini¬ tion could be multiplied at will from the unemployment relief records. A few of the more common are: women entering the labor market after a long period of absence because of the insufficient earnings of the head of the household; seasonal, migratory, casual, and part-time workers; gainful workers leaving the labor market voluntarily or otherwise; newcomers in the labor market who have never had gainful employment or who have been employed only on work-relief jobs. Because of these and other difficulties it seems evident that duration of unemployment cannot be measured accurately from a single entry of last employment. At least two entries are required: the last job at the usual occupation and the last job of any kind. The inclusion of a time qualification on the length of these last employments is so important that a third entry is probably essential in order to distinguish the last regular employment from makeshift or stop-gap jobs. In a sense, an increase in the number of job entries needed for measurement of duration of unemployment is a compromise between the inadequate single entry and a complete job record for a period of several years preceding the inquiry. It is only from job histories that the real significance of employment and unemployment can be obtained for use in planning how to relieve and reduce the effects of enforced idleness. However, job histories are virtually impossible in large-scale census enumerations, and even addition of one or two questions concerning last jobs, as suggested above, would create difficulties in securing uniform returns. What occupations and industries?—Adequate unemployment sta¬ tistics should provide an occupational inventory of the surplus labor supply, together with an indication of the industries responsible for this surplus. Correct occupational information on the unemployed is particularly important because of the commitment in this country 53° THE AMERICAN JOURNAL OF SOCIOLOGY to work relief in place of direct relief. If work projects are to be most useful to both the worker and to the community, the work provided must take account of the available skills. This is particu¬ larly important in the long-range planning of public projects which will serve to cushion the downward swing in employment and keep the surplus labor force occupied productively until needed again in private industry. Without accurate occupational data work projects are likely to be initiated which force a downward shift in occupational skills. For instance, too many road construction projects in an area may readily force skilled manual and white-collar workers to accept as¬ signments which are better suited to the unskilled. This is counter to the real objective of public work projects, which aim to preserve or develop skills through use of socially desirable activities. A worker's occupation is less subject to change than is his em¬ ployment status (i.e., employed or unemployed). Largely for this reason the census method can be used to good effect in providing an inventory of available skills, provided care is exercised in deter¬ mining the occupations reported. It should be obvious from the two examples of relief cases used above that an occupational inven¬ tory based upon an arbitrarily determined single entry, particularly if that entry were the last job held during a depression period, would result in an inaccurate account of occupational skills for use on work projects or for reporting to private industry the nature of the surplus labor supply. An accurate occupational inventory of available workers cannot be taken unless some provision is made for distinguishing stop-gap and made work from regular employment or, what amounts to much the same thing but is more difficult, unless the definition of usual occupation is better than any here¬ tofore available. The importance of correct industrial returns, as distinct from but accompanying the occupational entries, lies in the information they provide on the nature of unemployment. Since many occupations are common to more than one industry, it is frequently difficult to determine whether a surplus of one occupational group represents a short- or long-term change in the industrial structure. Moreover, when duration of unemployment is classified by industry there is ANOTHER CENSUS OF UNEMPLOYMENT? 531 provided valuable information both on the incidence of unem¬ ployment and on the probability that these industries will reabsorb the existing labor surplus. What proportion of the unemployed is employable?—Most studies of unemployment do not attempt to report the employability of those out of work, although this should be one of the most important inferences to be drawn from these studies. It is generally assumed that the definition of a gainful worker as a person who is usually employed at an occupation yielding an income is sufficient indication of employability. This assumption is incorrect in many instances. The fact that a person was usually employed prior to the loss of his last job is no basis for assuming that he can or will return to gainful work as employment opportunities increase. In many cases the loss of the job that initiated the period of unemployment under observa¬ tion represented, in fact, the act of discarding of a worker because he was no longer productively employable according to the stand¬ ards of that particular industry. In many, if not most, instances the worker does not know why he was separated from employment. Certainly this is true of those who are discharged or "laid off" be¬ cause they were marginal or obsolete labor in the judgment of the employer. This fact indicates that the employability of the unem¬ ployed cannot be determined with any confidence from the worker's own opinion of his chances of returning to his former job. The most frequent device for determining employability in un¬ employment is that of ability and willingness to work. Ability is vaguely defined as freedom from physical or mental handicaps, including age—"too young or too old"—which would render work impossible. Willingness to work is variously defined as actively seek¬ ing employment, expressed desire for a job, registration with an employment agency, etc. In so far as ability and expressed willing¬ ness to work actually report employability, it does so from the point of view of the worker rather than from that of the employer. An unskilled worker of fifty years may be without a physical flaw, sound of mind, and actively looking for work, and still be unemployable in the judgment of the employment office that released him, because of the competition of younger men. One of the arguments advanced in support of a work-relief pro- 532 THE AMERICAN JOURNAL OF SOCIOLOGY gram is that it preserves skills and work habits; i.e., it helps to retain employability against a return of the demand for these work¬ ers in private industry. It seems extremely important that there be some practical and effective measure of employability in terms of ability to return to private employment. Obviously there is no single objective measure of employability. However, there are objective and measurable factors which provide a basis for fairly sound infer¬ ences concerning the general question of employability. Chief among these factors are age, physical condition, duration of unemployment, usual occupation and industry, and continuity and duration of work experience. In combination, these data promise to provide a sound basis for estimating the employability of the unem¬ ployed. For instance, a study6 of urban workers receiving unemploy¬ ment relief shows that of persons leaving the relief rolls because of private employment those having a short duration of unemployment from the usual occupation go first; and that there is a marked inverse relationship between age and duration of unemployment among unskilled and semiskilled workers. Moreover, it is known that the "hard core" of unemployment, representing the least employable part of the idle population, has an overrepresentation of workers from specific occupational and industrial groups. Far too little has been done thus far in examining the relation between the character¬ istics of the unemployed and their work histories for the purpose of determining the likelihood of return to private employment. What work are the employables fitted to do?—The preceding discus¬ sion suggests the need for determining the usual occupations at which unemployed workers are employable. In addition, it is im¬ portant to know whether the occupation followed in the past is the one which the worker is best fitted to follow in the future. The utility of this information is obvious, both for the planning and operation of a public-work program and for the replacement of jobless workers in private industry. The difficulties of securing the information are also obvious; the question is one which requires 6 Palmer and Wood, Urban Workers on Relief, a forthcoming monograph of the Divi¬ sion of Social Research, Works Progress Administration. Unpublished data in the files of the Division of Social Research show a consistent relationship between relief turnover and duration of unemployment. ANOTHER CENSUS OF UNEMPLOYMENT? 533 careful and detailed analysis of such factors as previous work his¬ tory, age, physical condition, and the attitude and inclinations of the worker. At the same time, the type of vocational analysis sug¬ gested is essential to the maintenance of a properly functioning labor market, and contribution to such analysis is clearly one of the most important end results to be desired from studies in the unem¬ ployment field. Summary and conclusions.—The problem of collecting the infor¬ mation needed to deal effectively with unemployment is by no means as simple as it appears to most persons pressing for an unem¬ ployment census. The census method of gathering data on a national scale is most useful when applied to phenomena which can be defined in simple, objective terms, and which change slowly with time. It is not well adapted to dealing with the complex and rapidly chang¬ ing situations presented by unemployment. Because of limitations inherent in the method, the census technique fails, in large part, to provide a reasonable minimum of reliable and timely information on the increasingly important problem of unemployment. Recognition that the census method has serious limitations when applied to the collection of essential data on unemployment should emphasize the need for a national system of current unemployment statistics. Eventually such a system must be developed in connec¬ tion with the administration of unemployment insurance and some form of national employment exchanges. For the present it seems that more would be gained from a concerted effort to further this eventuality than from an attempt to overcome the difficulties of the census method. Division of Social Research Works Progress Administration