A car drives by a 'now hiring' sign that is posted outside of the soon-to-be-open Marin Ace Hardware store on November 30, 2011 in San Rafael, California.Former Obama economists Jason Furman and Wilson Powell III said only 24% of the unemployed are returning to work.
They said the shortfall is likely temporary and comes down to unemployment benefits and health concerns.As the economy is beginning to recover from the pandemic, there's a record number of job openings, but that's not the big story, former Obama economists wrote in a paper released Monday. Jason Furman, chair of the Council of Economic Advisers under President Barack Obama, and Wilson Powell III, former research economist at the council, released afor the left-leaning Peterson Institute, looking into the unemployed who aren't returning to work despite a record number of job openings. It found that since September 2020, transition from employment to unemployment has been lower than the norm, most recently at 24%.
The economists added that"at the very least, there is no reason the transition rate should not be around, say, 29 percent, the 80th percentile of its historical value." At that level, an extra 500,000 people would have transitioned from unemployed to employed each month.
I guess that means wages need to go up to attract workers.
wow
Finance Finance Latest News, Finance Finance Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
10 industries set to raise pay, and 10 that won't: Morgan StanleyOne chart shows the 10 industries poised to pay you a higher salary soon, and the 10 that probably won't, according to Morgan Stanley good luck Certain countries only
Source: BusinessInsider - 🏆 729. / 51 Read more »