The pandemic wants Americans to raise wages and increase benefits in the workplace, National Urban City League chief Mark Morial told Acesparks on Friday.
“I feel there is a shortage of good-paying jobs because this labor shortage is at the bottom of the economic ladder,” Morial said at Power Lunch.
Meanwhile, the former mayor of New Orleans said the situation left two choices against employers. “I think smart employers are faced with ‘I pay more’ or ‘I can’t meet customer demand.’
Seventy percent of jobs lost during the Covid era have returned, Morial said, assuring that the labor market is recovering faster than the Great Depression.
The Department of Labor said Friday that wages were up 850,000 in June, higher than the Dow Jones ’706,000. Wages rose 0.3% last month and 3.6% from a year earlier, according to expected results.
“We have to follow the evidence, and the evidence shows that, for example, in those states where unemployment benefits are reduced, job search won’t be faster,” Morial said.
Other executives believe there is more to work in a labor shortage.
Danny CEO John Miller told Acesparks on Thursday that the restaurant chain is struggling to fill open positions because people are hesitant to return to work – it’s not a staff barrier.
Susanna Clark, executive director of the U.S. Chamber of Commerce, told Acesparks on Thursday that the lack of skilled labor, the government’s unemployment benefits and childcare opportunities due to the pandemic, and work visa restrictions for employees have contributed to labor across the country. shortage
Morial believes workers, especially women with childcare responsibilities, may be concerned about the risk of contracting Covid-19. Concerns are heightened, especially in countries where vaccination rates are low, as some may be able to earn a good salary or work at home.
He noted that the fall season will be a significant transition period as children return to school and more parents return to the workforce.
Those looking for alternatives to low-wage jobs without regular wage increases are also showing interest in self-employment and small business, Morial said.
“One thing that is very clear from watching the nation is that people have been given high rents because there is a housing shortage because of childcare and these costs have dragged on and all this is creating a new reality after the pandemic.” Morial said.
The post-pandemic reality requires “employers and others and politicians to understand the existence of‘ BC ’,‘ After Kovid ’and‘ AC ’, and that is AC,” he said.