Employers baffled as U.S. benefits end, jobs go begging – Press Telegram

By Katia Dmitrieva and Olivia Rockeman | Bloomberg

The US emergency unemployment allowance expired two weeks ago, but employers who were hoping for more job seekers are still waiting a long time for them to join.

A federal program that provided unemployed Americans with an additional $ 300 a week, extended benefits for long-term unemployed, and special assistance for self-employed people who expired on September 6. Lifelines have been separated in the hope that they will provide an incentive to return to work.

According to industry-wide employers, that’s not happening.

“People who were on the sidelines generally remained on the sidelines,” said Richard Walkist, chairman of the American Staffing Association, the largest recruiting industry group in the United States. “Nothing has changed when it comes to depressed benefits, and people’s needs continue to grow.”

Even wall kissers are having a hard time. He is looking for 10 temporary workers who will pay as much as $ 25 an hour at an organization meeting in Denver at the end of the month. So far, he has only been able to make two noises.

Nationwide, dispatched laborers and companies have not yet seen a significant increase in their workforce. Goldman Sachs Group economists say the expiration of this month’s federal program will affect about half of U.S. states after the rest of the states end their benefits early, adding 1.3 million to their salaries by the end of the year. I predicted. Other analysts said the end of the federal program should increase labor supply.

Unemployed billing for the week ending September 11 showed an increase in the number of people seeking profit, although the impact of hurricane Ida affected the data. Meanwhile, July saw a record high of 10.9 million jobs, and the major labor shortage has not been resolved.

“The impact of federal UI benefits will only end in a few months from now. In fact, I don’t think we’ll see any big spikes,” said Ann Elizabeth Konkel. Certainly an economist from Inc. “I thought things should be better by Labor Day, but it’s not.”

According to Daniel Zhao, senior economist at Glassdoor, one of the reasons is that savings may be stagnant. Due to stimulus checks, increased unemployment and the expansion of social safety nets, last year’s savings reached a record high of 34% and remained at 9.6% in July.

Joanie Biily, chief workforce analyst at Atlanta-based Employ Bridge, was one of those who thought her company would “significantly increase” the number of online applications when the boosted benefits ended.

“I’ve asked everywhere in the United States:’Are you busy? How do you feel after the benefits are over?” With employees, with a focus on manufacturing, logistics and call centers. Bily, a company that connects companies across the United States, said. “I got the data last night and thought it was better, but it’s not.”

In 20 states that terminated emergency benefits early, the number of applications increased by about 10%, but it was also a boost that lasted only a few weeks, she said.

At the company’s office in California, in the most populous state with recently discontinued benefits, the manager told her that there was a slight increase in administrative inquiries, but “it’s too early to tell.” ..

According to Restaurant 365, a restaurant management software company, the restaurant industry has seen a weekly decline of about 3% to 4% in job listings over the past nine weeks, including after the boosted benefits have expired.

This “contrary to many expectations that aid is the main factor keeping restaurant workers away from the workforce,” said Tony Smith, the company’s CEO and co-founder.

There are many reasons for unemployed workers: childcare barriers, skill mismatches, health concerns-especially jobs in the service industry and large-scale reallocation of work when people rethink their careers.

“I hope there will be more incentives for people to come back when they look at their bank accounts and realize that we are in the holiday season,” said Wahlquist of ASA.

Employers baffled as U.S. benefits end, jobs go begging – Press Telegram Source link Employers baffled as U.S. benefits end, jobs go begging – Press Telegram

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