In May, more than nine million Americans reported they were looking for work but couldn't find any. Companies reported having more than nine million unfilled positions, a new high.
As the economy recovers, the process of linking laid-off workers to jobs is proving sluggish and difficult, in contrast to the quick and definitive layoffs that followed the pandemic's earliest stages in early 2020.
The gap explains why so many businesses are having difficulty filling open positions so early in the recovery. It also explains why salaries are rising rapidly despite the fact that the unemployment rate, at 5.9% in June, is significantly higher than the pre-pandemic rate of 3.5 percent. The comparatively high unemployment rate reflects an excess of labour supply, which should, in principle, keep wages down.
This has policy implications: sand in the wheels of the labour market might lead to inflationary pressures, prompting the Federal Reserve to reverse its low-interest-rate policies intended to encourage growth. On the other hand, in the long run, the lengthy matching process may benefit workers by keeping them in employment they want and making the economy more efficient.
The development is due to a number of factors: Many workers relocated during the pandemic and no longer live in areas where jobs are available; many have changed their preferences, such as pursuing remote work after discovering the benefits of not having to commute; the economy has shifted, resulting in jobs in industries such as warehousing that aren't in places where workers live or suit their skills; and extended unemployment benefits and relief checks.
تعليقات
إرسال تعليق
اكتب تعليق لتشجيعنا وشكرا