President Joe Biden defended his financial record on Monday as much of the US work reveals the complexities: millions remain unemployed after the epidemic, but businesses say they can’t find anyone to hire them.
The failure of corporations to recruit workers has led to controversy over the potential causes, while Republicans and other businessmen claim that the high cost of unemployment is a barrier to employment.
The main reason, he says, is an increase in Biden management $ 300 a week to increase unemployment insurance. In high-paying countries, one profit can reach $ 600 a week, which is about $ 16 an hour. That is twice the minimum wage.
Unexpected labor struggles threaten to undermine the expectations of economists and business owners in the hope of a resilient economy.
Speaking at the White House, Biden said his economic ideas were “working” despite a decline in employment last month, where businesses wrote 266,000 new employees, much less than the 1m that economists expect. He stressed that there was no “substantial evidence” that unemployment insurance was part of it incentive system it was a daunting task.
“We need to focus on the challenges ahead – fighting the epidemic and creating jobs,” he said.
Entrepreneurs say unemployment is a reality in sectors including food, transportation and infrastructure.
They own franchises in retail stores 7-eleven asked the company not to force them to resume working day and night because they could not find anyone working at night. Managers at a short McDonald’s in Texas have put up a sign on its call for endurance because “no one wants to work again”, making the restaurant popular on TikTok.
Breakfast makers Post Holdings said the shortage of staff has led to significant delays in production. On Monday, Donnie King, chief operating officer at Tyson Foods, the largest meat retailer in the US, said “it has taken us six days to work five days due to overcrowding and unemployment” at his pig farm, which belonged to severely beaten in the early months of the epidemic.
The National Federation of Independent Business, a small business group, says 42% of small businesses say they cannot meet the responsibilities. Among them is Matt Glassman, who owns the Greyhound Bar & Grill in Los Angeles.
Two weeks before the opening, Glassman arranged for 15 interviews to recruit kitchen staff. But twelve people did not come, he said. Of the three that did, one was “completely wrong at work” and one resigned on the first day, leaving only one paycheck.
“We’ve done cultural things, we’ve done Craigslist, we’ve done it before [hiring website] Captured, cooks, tried Instagram, I tried to talk to my staff, I tried to walk down the street, ”said Glassman. “He didn’t do well.”
The rising cost of human labor during the Covid crisis has led many low-income earners to consider whether their jobs are worth paying for, their rights activists and financial experts have said. For those with children, the constant closure of some schools and other child care facilities has made it difficult to return to work.
“The idea is that I have to go back to work and put my family at risk and make it one third [the tips] What I already do is a decision I probably wouldn’t make, if I were a co-worker, ”said Glassman.
Some say that unemployment benefits have kept people from finding employment. Among other things oil fields According to the Permian government in western Texas, “there are a lot of people applying for jobs and oil and gas are resuming and they are ready to hire,” said Wesley Burnett, director of business in Odessa. “But the federal system he has set up has changed everyone back a little bit as much as they would like to stay home instead of going to work.”
Henry McMaster, Republican South Carolina’s ambassador, told his government to stop paying extra at the end of June, two months before Washington’s suspension.
“The plan to provide short-term financial assistance to vulnerable and long-term refugees has turned into a dangerous, motivating and cost-effective way for workers to stay home instead of encouraging them to return to work,” McMaster said.
Generous groups say there is an easy way to attract more employees: give more.
“The bosses are now saying, ‘Well, we can’t find people to do the job’, but what they need to say is ‘we can’t find people to do the job for the price we pay’,” said Melissa Boteach of the Liberal National Women Law Center. “As a result, you feel that when you need more workers you have to increase your wages to increase your income.”
Data from the U.S. Department of Labor indicates that some employers are starting to do this. The entertainment and hospitality businesses raised wages in April, though their earnings continued to decline as they did with Covid.
Some are going too far. Uber set up its own $ 250m “incentives” a program to attract new drivers. The company said it had 22% less drivers than it did last year even though the demand for passengers was rising, and remittances were high.
Fabio Sandri, Pilgrim’s Pride poultry chief, told experts that his company spent $ 40m raising wages in the first half of the year. He also said that he continues to sell money to support the working class.
Many economists expect that all job losses will disappear, predicting that as Covid cases decline, schools reopen and more unemployment benefits expire in September, skeptical workers will return.
But some may not return to the work they were doing before the plague. Glassman said many of his colleagues had fled California.
Additional reports of Derek Brower