Despite dire warnings it doesn't appears that sequestration has hurt job growth, weak as it is.
Since the $80 billion cuts to defense and domestic programs took effect a little over four months ago, the economy has added an average of 183,000 jobs a month. That number is well below what would be expected after the recession officially ended in June of 2009, but it's slightly higher than the 181,000 average monthly job gains since the labor market began improving in October of 2010. Job growth has also been stronger during the four post-sequester months than it was over the previous 12 months, when it averaged 174,000 gains a month.
Though the federal government payroll is shrinking due to layoffs, attrition, and furloughs --bad for the affected workers but good for the country.
In one possible sign of sequestration's effects, the federal government is still shedding jobs. The New York Times pointed out that federal employment has dropped by 40,000 jobs over the past four months, including 5,000 in June, the most recent month for which the Bureau of Labor Statistics has provided data.
Furthermore, Rampell notes, federal workers affected by sequestration are more likely to be furloughed than fired outright. The number of federal employees working part-time for economic reasons jumped to 148,000 in June, from 58,000 the year before, a likely affect of the sequester. Rampell also provided evidence that the industries most dependent on defense spending are lagging behind all others in term of job gains.
I suggest another "meat-cleaver" "across the board" cut next year! How about 5%?