Last week, the United States Federal government reported that the unemployment rate soared to 8.5% for March, 2009. It said that 5.7 million Americans are currently filing unemployment claims.

But these numbers are grossly understated. These unemployment numbers (called U-3), cited by the government, represent the minimal measure of joblessness.

For example, they do not include those people looking for full-time work, have failed to find it, and have taken part-time work instead. The part-time work is generally at a much lower wage rate than what they were accustomed to while working a full-time job.

The government numbers also exclude discouraged workers who have given up looking for a job because there are none.

Then there is another factor that many don’t consider. The government has consistently understated monthly unemployment numbers and then revises them upward several months later when they don’t seem to be that important.

These massive upward revisions have occurred in eleven out of the last twelve months. So this is another factor in understating unemployment numbers.

I’m not the only one who feels that unemployment is being understated each month.

John Williams of ShadowStats.com follows government reporting, primarily unemployment and inflation numbers.

According to Williams, the true unemployment rate for March was actually 19.8%.

The federal government publishes a broader measure of unemployment (called U-6). This report is never publicized. This number does include many discouraged and part-time workers. This pushes up the unemployment rate to 15.6% per the government.

However, this number is understated. During the Clinton administration, the term “discouraged workers” was defined as those who had been discouraged for less than one year. Therefore anyone who has been discouraged for more than a year is excluded. However, these people are still unemployed and should be included. According to Williams, this is a very large number.

The peak unemployment during the Great Depression was 25%. But we really don’t know how that number was determined back in the 1930s. So that number could have been higher.

No matter how you calculate the unemployment numbers today compared to back then, our numbers today are approaching “depression” level numbers.

And we are nowhere close to reaching the bottom.

Many people are saying we are close to a bottom in this economic decline. I wish that was true.

We will probably see unemployment numbers improve over the next few months as the massive economic stimulus plans take effect.

We can argue whether the unemployment numbers place us at a depression level or at a severe recession level. We can talk about whether the unemployment rate is 15% or 20%. The bottom line is that these are huge numbers and will only grow worse.

I have stated the importance of having a backup plan as the unemployment rate rises. I feel this is critical for those looking for an alternative source of income.

Here is my personal story

A few short years ago, I had been a chief financial officer for over 20 years. I had a strong desire to retire and leave Corporate America. Unfortunately for me, I couldn't afford to retire.

I developed a Plan B - a backup plan. I jumped into network marketing. Although I struggled for a few years and remained in my corporate job, I am so happy I had the Plan B in place.

Last year I was introduced to "internet attraction marketing." It was at this time that my fortunes changed. I have been able to retire from my CFO position.

Online attraction marketing training is the key to success on the internet.

If you are considering internet marketing as an alternative source of income, getting detailed, step by step training is critical.

There are two very important factors to keep in mind. First, you do not need to leave your corporate job in order to get the training. The second thing is that your online attraction marketing training should give you a clear pathway to follow in order to achieve success.

Scott Hubbard has retired from 25 years as a Chief Financial Officer in Corporate America. He now enjoys teaching corporate professionals and network marketers how to apply attraction marketing online and how to generate free qualified MLM leads on the internet. 

He is happy to give a free consultation for those having a serious interest in being an entrepreneur.  You can reach him toll-free at 877-878-4036 or by email at Scott.Hubbard3@gmail.com.  You can learn more about Scott by going to his blog at http://www.YourGuideToRetirement.com.