Home ECONOMY US adds 850K jobs in June as companies scramble for employees

US adds 850K jobs in June as companies scramble for employees

- Advertisement -

The US added 850,000 jobs last month – topping economists’ expectations for 706,000 jobs – as Americans continued to emerge from the pandemic and businesses scramble to hire new workers, the Fed said on Friday.

The June profit comes after the country added 559,000 jobs in May.

The unemployment rate reached 5.9 percent in June, up from 5.8 percent a month earlier, according to Friday’s much-anticipated jobs report from the Bureau of Labor Statistics. This is still far higher than the 50-year low of 3.5 percent reported in February, before the pandemic hit the economy.

Economists surveyed by the Dow Jones expect the unemployment rate to fall to 5.6 percent.

Recruitment was not nearly as strong as many economists expected during the spring. The jobs report disappointed in both April and May, even as job openings rose by a record 9.3 million.

Many economists have said they are not yet concerned about an economic recovery, predicting that job gains will be pushed into the summer rather than the spring as initially expected.

But others have said the pandemic may have radically reorganized the US labor market and that many of those who left work in the past 18 months do not plan to return to their old jobs.

A handful of states have now cut unemployed people from pandemic-enhanced federal unemployment benefits.
A handful of states have now cut unemployed people from pandemic-enhanced federal unemployment benefits.
Mel Melkon/Los Angeles Times/Shoe/

The new federal data follows a report from payroll processing firm ADP on Wednesday that showed companies hired 692,000 workers in June.

And on Thursday, the Labor Department released new data showing that weekly new jobless claims fell to 364,000 last week, marking a new pandemic, even as nearly 3.5 million Americans claim traditional state unemployment benefits. remain on.

Taken together, the data provide some hope that the nationwide labor crisis is easing, at least in some regions, and also shows that the labor market recovery is fueling hopes of a rapid rebound early this summer. is.

Many business owners, Republicans and economists have blamed the pandemic-enhanced federal unemployment benefits for labor shortages, saying unemployment payments keep workers at home while businesses make sense.

Economists say that in addition to the federal unemployment program, other causes of the labor crisis include fears of COVID-19 and school closures that keep parents at home.

A handful of states have now cut unemployed people from pandemic-boosted federal unemployment benefits, giving unemployed workers an additional $300 per week.

Alaska, Iowa, Mississippi and Missouri all ended the federal program on June 12, about three months before it ended.

The other eight states ended the program on June 19.

In total, at least 25 states are moving away from the federal program to try to get workers back into the labor market.

President Biden confirmed last month that he would allow the federal unemployment benefit program to end after Labor Day.

The White House has defended the additional benefits, saying businesses should pay people more.

Recruitment was not nearly as strong as many economists expected during the spring.
Recruitment was not nearly as strong as many economists expected during the spring.
Christopher Sadowski

But many economists are concerned about further increases in prices for wage inflation. Companies have started raising prices, blaming high labor and supply costs.

For example, Chipotle has said it has increased the prices of its menus by up to 4 percent to cover the cost of higher wages for employees. Executives at other major companies, including General Mills, Unilever and JM Smucker, have also recently warned about rising costs and inflationary pressures.

With the cost of everything from apparel and cars to bacon and milk spiking, shoppers are bearing the brunt of rising prices.

.

- Advertisement -
- Advertisement -
Must Read

Texas murder suspects out on bond arrested for killing Houston deputy, authorities say

NEWYou can now listen to Acesparks articles! Two men out on bond for serial murder cases have been arrested in connection with...
- Advertisement -

Halle Bailey sings as Ariel in Disney’s trailer

ANAHEIM, Calif. – "The Little Mermaid" is swimming and singing again.Disney unveiled the first teaser trailer for the live-action version of the...

Taylor Swift shows ‘All Too Well,’ launches Oscar campaign in Toronto

TORONTO – Taylor Swift, Oscar nominee?A potential run at an Academy Awards run started for the music superstar Friday when she stopped by...

Florida father, son sought after allegedly beating man unconscious at wedding reception, sheriff says

NEWYou can now listen to Acesparks articles! A Florida man and his son are being sought for beating a man unconscious at...
Related News

Texas murder suspects out on bond arrested for killing Houston deputy, authorities say

NEWYou can now listen to Acesparks articles! Two men out on bond for serial murder cases have been arrested in connection with...

Halle Bailey sings as Ariel in Disney’s trailer

ANAHEIM, Calif. – "The Little Mermaid" is swimming and singing again.Disney unveiled the first teaser trailer for the live-action version of the...

Taylor Swift shows ‘All Too Well,’ launches Oscar campaign in Toronto

TORONTO – Taylor Swift, Oscar nominee?A potential run at an Academy Awards run started for the music superstar Friday when she stopped by...

Florida father, son sought after allegedly beating man unconscious at wedding reception, sheriff says

NEWYou can now listen to Acesparks articles! A Florida man and his son are being sought for beating a man unconscious at...

Illinois mayor ‘unhappy,’ says Chicago officials failed to inform him about migrants sent to town

NEWYou can now listen to Acesparks articles! The mayor of a suburban Chicago town is expressing frustration at both city and state...
- Advertisement -