The Bureau of Labor Statistics (BLS) has this to say about the employment / unemployment situation in June 2010:
In June, about 2.6 million persons were marginally attached to the labor force, an increase of 415,000 from a year earlier. (The data are not seasonally adjusted.) These individuals were not in the labor force, wanted and were available for work, and had looked for a job sometime in the prior 12 months. They were not counted as unemployed because they had not searched for work in the 4 weeks preceding the survey.
Among the marginally attached, there were 1.2 million discouraged workers in June, up by 414,000 from a year earlier. (The data are not seasonally adjusted.) Discouraged workers are persons not currently looking for work because they believe no jobs are available for them. The remaining 1.4 million persons marginally attached to the labor force had not searched for work in the 4 weeks preceding the survey for reasons such as school attendance or family responsibilities.
Click on the graph for a larger image.
GRAPH ONE:
This graph shows the combination of people unemployed and those listed as discouraged from January 2008 through June 2010. This is the
“true” unemployment rate since discouraged workers are no longer counted by the BLS as unemployed. Discouraged workers are no longer looking for work.
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GRAPH TWO:
This line graph shows the total
“true” unemployment from January 2008 through June 2010 along with a line representing the trend for the period.
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GRAPH THREE:
Graph three shows the same data as graph two, only in the period January 2009 through June 2010, President Obama’s current tenure. The trend line for the period is also shown.
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GRAPH FOUR:

The last twelve months are shown on this graph of the
“true” unemployment in the United States, with a trend line.
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GRAPH FIVE:
This graph shows the
“true” unemployment in the United States for the year 2010. The trend line appears flat, suggesting that unemployment may not change in the next several months.
Unemployment represents the people without jobs who are looking for work.
“True” unemployment adds those people who have given up looking and are not employed – hence the term “discouraged”.
The number of discouraged workers is at its highest level since the category began being tracked in 1994. Here is a graph from the BLS website illustrating the situation.
Record numbers of people no longer looking for work and not included in the unemployment figures touted by the Administration represents a serious economic issue, as well as a political one.