Economy picked up 266,000 jobs in April, fewer than expected as economy tries to rebound [View all]
Source: Washington Post
The U.S. economy added just 266,000 jobs in April, a disappointing month of growth that fell well below economists’ estimates for more robust month of recovery as vaccine distribution increases and caseloads fall around the country.
The unemployment rate remained relatively unchanged at around 6 percent, although economists caution the number is misleadingly low, given how many people have dropped out of the labor force in the last year, and are thus not counted as unemployed.
Hiring has accelerated so quickly, in fact, that some businesses have complained to the White House and lawmakers that they are having a hard time recruiting workers, particularly for low-wage, hourly jobs.
The tension spilled into public on Thursday, when Senate Minority Leader Mitch McConnell (R-Ky.) blamed the stimulus package passed by the White House and Congress in March for acting as an incentive for people to not return to work. Biden administration officials have countered that the $1.9 trillion stimulus package provided vital assistance to millions of Americans and has only helped the economy grow.
The U.S. economy added a robust 916,000 jobs in March, edging the unemployment rate down to 6 percent. The labor market has improved since the coronavirus pandemic ravaged numerous industries last year, but it remains millions of jobs short of where it was before the outbreak began in early 2020. The April jobs report will give further clues as to whether the hiring trend has continued or is slowing in any way. It could also show whether companies are paying higher wages than in recent months.
Many aspects of the recovery have been bumpy. Global supply chains still have not recovered. Many workers still have not returned to their offices, and the travel industry remains heavily affected. But for companies that are trying to ramp up, there are other pressures. A number of firms, including in the construction and restaurant industries, have complained to the White House about their inability to find enough workers for new positions.
Read more: https://www.washingtonpost.com/business/2021/05/07/april-jobs-report-economy-unemployment/
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