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Wednesday

Sep152010

BLS SCAM ALERT: Are temporary poll workers being used to inflate government job numbers?

Keep an eye on this one when the September BLS employment numbers are released. After the Census job-counting scam, and birth-death model adjustments, and last week's job loss estimates that included 9 states with made-up numbers, you should put nothing past the Obama White House when it comes to fudging the figures.

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From the NY Post:

Workers at polling places for today's primary and November's general election are being required to file tax withholding forms for the first time ever in a move that could be aimed at inflating the nation's employment numbers.

Is this really a little Election Eve trick? Here's what I learned, you decide.

The New York City Board of Elections, which uses 30,000 to 36,000 temporary workers for both the primary and general election, said it is being ordered by the Internal Revenue Service to make "employees" out of the very temporary workers who tend the polling sites.

But an IRS spokesperson couldn't find such an order.

"The Internal Revenue Service has determined that all poll workers are considered employees of the Board of Elections for tax purposes," said a Board memo dated Aug. 2 and signed by Rosanna Kostamoulas Rahmouni, coordinator of Election Day Operations.

"Therefore, the Board is required to have every poll worker complete the following before processing your application for work," her note added, listing tax forms W-4 and IT-2104 as necessary.

"It is imperative that you promptly submit the forms or you will not be paid for your training class or processed to work on Election Day," she said.

Although the note was dated Aug. 2 it apparently wasn't delivered to poll workers until very late in August. Workers get paid only $100 for training and $200 each day for working the primary and general election. So it's unlikely that the main purpose of this order is to collect the measly amount of taxes that would be owed -- mostly by the low-income retirees who man the polling centers -- on such a small amount of wages.

But if the election boards in all 50 states suddenly report an influx of additional government workers, the effect on the monthly employment numbers could be very, very significant.

As you know, the monthly employment report -- in which the number of jobs created or lost by the US economy is revealed -- is closely watched by the public and the financial community. And it's often cited publicly by President Obama.

The next employment report before the election will come on Oct. 8.

Because this report is more complex than others it is being released on the second Friday of October, not the first Friday. And because of this it will be one week closer to the election.

There won't be another employment report until days after the Nov. 2 election.